The State of Utah recently made some changes to their laws regarding the collection of Unemployment Benefits after a Worker’s Compensation claim. While the changes were minimal, it is a good time to review how Utah will adjust the Base Period calculation (a period in which the state reviews a claimant’s earnings and the employers that paid those earnings) when there has been a recent Worker’s Comp claim. Claimants cannot collect both Unemployment and Worker’s Compensation at the same time. Generally, having a Worker’s Compensation claim and being out of work may lead to an individual not being able to qualify for Unemployment if they do not have enough wages in the base period. This law allows the state to use an alternate base period if they meet certain criteria and are unemployed after they return to work full time.
Claimants who did not work due to a work-related illness or injury may qualify for an adjusted base period if each of the following requirements are met:
- The claimant received temporary total disability (TTD) compensation for the illness or injury under the worker’s compensation or occupational disease laws in Utah or under federal law.
- The claimant received TTD for at least seven (7) full weeks during the base period immediately preceding the effective date of the claim. The weeks in which the claimant received TTD need not be consecutive. Utah will se either the first four of the last five completed calendar quarters or the last four completed quarters.
- The initial claim for unemployment insurance benefits was filed not later than 90 days after the claimant was released by their health care provider to return to full-time work, not including release to limited or light duty work. The effective date of the eligible claim must be within 90 days regardless of the date the claimant contacted the state to file the claim.
- The initial claim for unemployment benefits was filed within 36 months of the week the covered injury or illness occurred. The covered injury may be the initial injury or a re-injury that caused the claimant to go back on TTD.
Wages previously used to establish a base period may not be reused. The claimant may file a claim using wages paid during the first four of the last five completes calendar quarters immediately preceding the effective date of the claim or the first four of the last five completed calendar quarters before the date the claimant left work due to the illness or injury.
When reporting separations to Thomas & Company let us know if there has been a recent Worker’s Compensation claim. This allows us to be aware of any potential alternate bases periods that may be used in Utah. If you have any questions, please feel free to reach out to your Client Relationship manager for additional information.
Thomas & Company continually monitors State Workforce Agencies for changes that may impact you as an employer. Our goal is to alert you of potential changes and keep you informed of any changes to the unemployment process.