How Does Workers’ Compensation Relate to Unemployment in Colorado?

 Posted on July 23, 2020 in Workplace Injury

The topic of unemployment, along with the benefits a worker may be entitled to after being laid off or furloughed, has been garnering increased media attention due to rising rates of unemployment and recent debate at the federal level. Although the spike of unemployment in the United States due to the COVID-19 pandemic has begun to decrease, the Bureau of Labor Statistics reported in June that the unemployment rate across most industries still more than doubles the rate of unemployment from the same time frame in years past. Given our current state of affairs in this country, it is important to consider how workers’ compensation may affect unemployed workers in Colorado.

Can I Receive Unemployment Benefits and Workers’ Comp Simultaneously?

This sudden rise in the rates of unemployment across the country has caused many families a lot of stress and worry, but how does this surge impact those currently receiving workers’ compensation? The number of nonfatal workplace accidents recorded in 2018 exceeded 900,000 according to the Insurance Information Institute (III). Even though the number is sure to be lower in 2020 due to higher than normal unemployment rates and quarantining practices, many people receiving workers’ compensation may find themselves also being displaced by the pandemic.

What happens if someone receiving workers’ compensation is suddenly laid off due to downsizing or other factors related to COVID? The Colorado Department of Labor and Employment reports workers’ compensation and unemployment benefits may not be collected simultaneously. However, receiving workers’ compensation does not disqualify you from receiving unemployment, as “you may be eligible to receive unemployment insurance payments after the end of the continuous disability period.” Typically, a workers’ compensation claim is fully paid out before an employee injured in the workplace receives unemployment insurance payments from his or her employer.

Among other factors, an injured employee who finds himself or herself in this position must still meet all the eligibility requirements of unemployment. Due to the complex nature of workers’ comp claims, compounded by the laws surrounding unemployment claims, it is important to seek legal counsel if you or a loved one is currently facing this type of situation.

Contact a Fort Collins Workers’ Compensation Lawyer

Suffering an injury that reduces, or even eliminates, one’s earning potential can be a life-derailing event. Do not allow uncertainty surrounding the COVID pandemic to cause you to miss out on the compensation you may deserve. A Larimer County workers’ compensation attorney can help fight for the justice you deserve. If you or someone you love has been injured on the job or has been treated unfairly by an employer following a workplace injury, call 970-225-2190 today to schedule a free consultation with the knowledgeable legal team at the accomplished Hoggatt Law Office, P.C.

Sources:
https://www.bls.gov/news.release/pdf/empsit.pdf
https://www.iii.org/fact-statistic/facts-statistics-workplace-safety-workers-comp
https://www.colorado.gov/pacific/cdle/faq-wc