By: John J. Stanzione

There are lots of questions swirling about regarding eligibility for Unemployment Compensation or Worker’s Compensation as a result of the COVID-19 pandemic. Here is some basic information to help employers and employees navigate some of these potential employment issues.

Employees in Pennsylvania who are unable to work because of Coronavirus disease (COVID-19), may be eligible for Unemployment Compensation benefits or Workers’ Compensation benefits. Eligibility for Unemployment Compensation generally is limited to “W-2” employees who have been employed (somewhere) as an employee in the last year and a half. “Gig” workers (like Uber drivers, etc.) and other “1099” employees are unlikely to qualify for Unemployment Compensation.  However, such employees may qualify for Workers Compensation benefits.

Unemployment Compensation Benefits

An employee may be eligible for unemployment compensation benefits if:

1. The employer temporarily closes or goes out of business because of COVID-19.
2. The employer reduces the employee’s hours because of COVID-19.
3. The employee has been told not to work because his or her employer feels he or she might get or spread COVID-19.
4. The employee has been told to quarantine or self-isolate, or live/work in a county under government-recommended mitigation efforts

Applying online is the fastest and easiest way to file for unemployment compensation (UC) benefits.  Please note the following:

1. If you are eligible for UC, you will receive two letters and a four-digit PIN.
2. Your PIN will arrive in the U.S. mail – keep it in a safe, easy to remember place.
3. If approved, your first benefit payment should arrive within four weeks of filing for UC.
4. Continue filing your bi-weekly claim (every two weeks) – even while waiting for approval.

Previously, claimants were not eligible for benefits during their first week of unemployment (the “waiting week”).  This prior rule/law has been suspended.  Eligible claimants may receive benefits for the first week that they are unemployed.

Work search and work registration requirements are temporarily waived for all UC claimants.  Claimants are not required to prove that they have applied or searched for a new job to maintain their UC benefits.

Workers Compensation Benefits

An employee who believes that he or she may have been exposed to COVID-19 in his or her workplace, may be eligible for workers’ compensation disability benefits as well as payment of his or her medical expenses.  To be eligible, an employee must:

1. Notify his or her employer that they suffered a “disease injury” claim.
2. Provide medical evidence that he or she was exposed to COVID-19 in the workplace.

OR

3. Notify his or her employer that he or she suffered an “occupational disease”. This requires a showing that COVID-19 is occurring more frequently in the employee’s occupation/industry than in other occupations.

The employer is required to either accept or deny the workers compensation claim within twenty-one (21) days from the report of the claim.  If the employer accepts the claim, then the employer and its workers compensation insurance company will pay all medical bills for treatment of the COVID-19.  The employee will also receive disability benefits for any wage loss that he or she suffers.

If the employee is out of work, the employee will receive total disability benefits equal to two-thirds (2/3) of his or her average gross earnings calculated over the 52 weeks prior to his or her illness.  Such total disability benefits are subject to certain minimum payments and maximum payments defined by law.  If the employee is still working but at reduced hours because of his or her illness, then the employee is entitled to two-thirds (2/3) of the difference between his or her pre-illness earnings and his or her current earnings.

If the employee’s claim is denied, the employee may file a Petition with the Pennsylvania Bureau of Workers Compensation.  That Petition will be assigned to a Workers Compensation Judge for further legal proceedings. The employee should seek legal representation prior to filing any Petition.

Further, the Pennsylvania Workers Compensation Act may provide wage loss benefits to certain employees who were injured at work prior to the COVID-19 outbreak and now find themselves unemployed due to business shutdowns or closures due to the COVID-19 pandemic.  If because of the COVID-19 pandemic an employee is discharged from a light duty job that he or she was performing as a result of a work injury that limited his or her ability to perform his or her regular duty job, then the employee may be entitled to workers compensation disability benefits.  The employee should contact a lawyer to discuss this further.

For more information on who is eligible for unemployment compensation benefits or worker’s compensation benefit, contact Lamb McErlane PC at 610-430-8000. www.lambmcerlane.com.

_________

John J. Stanzione is a partner at Lamb McErlane PC. He concentrates his practice in workers compensation, employment, social security disability, personal injury, ERISA and commercial litigation.

He can be reached at jstanzione@lambmcerlane.com or 610-701-4415.

.

.

.

[lp-contribute]