When a worker becomes unemployed, they can apply to collect benefits from a state unemployment compensation fund until they land another job. Every employer is obligated to pay unemployment insurance on every employee. These payments are put into the state fund. Former employees can collect unemployment if they lost their job for reasons out of their control. If a person voluntarily leaves or is fired because of misconduct, it is harder for the worker to make a claim.

If an employee is laid off or if hours are substantially decreased, the worker will receive unemployment as long as they are eligible under their state’s program. Fired employees can claim unemployment benefits if they were terminated for any reason except misconduct. Not all actions that cause termination are serious enough to be considered misconduct.