Layoff with Settlement Package (Escondido, Mesa: insurance, unemployment benefits, income)

[Artemishera]

In September I received lay-off notice for 12-28-09. I chose to leave early to facilitate an out-of-state move. My employer offered me a settlement agreement to avoid a lawsuit. In the agreement, I received full-pay until 12-28-09, a cash settlement, and health benefits.

I intend to file for unemployment effective today. Is the cash settlement considered severance?

[kettlepot]

This sounds like a perfect query for the "Work & Employment" forum. You should consider asking this thread to be closed, and reposting this question in that forum.

[ferretkona]

I would consider a cash settlement as a bonus or income.
A insurance settlement is not income nor is disability.

[nmnita]

I think you are within the law doing exactly that. Several years ago I was in a similar situation. I was given an option of downgrading or termination. In my case I choose the downgrade, but several involved on that horrible day choose to leave the company. We were offered pretty much what you are saying, and were also elegible for unemployment immediately.

Nita

[oddstray]

This is old, but still may apply.

Fifteen years ago I was one of several laid off with a similar package. Most of them applied for unemployment at the office in Escondido (I think). I applied at the office in Kearny Mesa. They were told they needed to wait out at least part of the severance package. I was given unemployment benefits right away.

So, maybe it depends who you ask.