Qualification Rules

• Initially, unemployed or underemployed workers must file their applications online or by telephone. They must provide their wages earned during their standard base periods to determine whether they qualify for benefits. Standard base periods in Michigan include the first four of the last five calendar quarters before applicants file for unemployment benefits. Effective Jan. 4, 2009, applicants must have earned at least $2,871 in total wages in one quarter and their total wages for all four quarters must be at least $4,306.50.
  
  

Rework Rules

• Unemployed workers can reapply for subsequent unemployment benefits after they find employment but are terminated again or voluntarily terminate employment. According to Michigan law, eligibility for reapplication is limited to earnings before they reapplied for additional benefits. An employee reapplying for benefits for good-cause termination can only qualify for benefits if she earned at least 12 times her weekly benefit amount before reapplying. An employee terminated for misconduct can reapply if he earned at least 17 times his weekly benefit amount. However, an employee discharged for willful or serious misconduct may only qualify for limited benefits, depending on the nature of his misconduct .
  
  

Severance Pay

• Severance pay will reduce benefits for the weeks claimants file for unemployment compensation. The state uses remuneration rules to determine the total reduction. When claimants receive severance pay in one week that equals or exceeds 1.5 times their unemployment weekly benefit allowance, then they are ineligible for benefits for that week. When severance pay is less than 1.5 times their weekly benefits, then Michigan subtracts the full amount of the severance from 1.5 times their weekly benefit allowance. When severance is equal to or less than their weekly benefit amounts, then the state will reduce half of the severance pay from their weekly benefits. Employers who provide lump-sum severance payments without designating which weeks the severance covers can only avoid paying unemployment benefits for the week their employees receive their severance payments.
  
  

Full-Time Hours and Disqualification

• Under Michigan law, employees who work full-time are not considered unemployed and cannot collect unemployment benefits. The definition of "full-time employment" is defined by individual employees and their employers and can include less than 40-hour workweeks.
  
  

Considerations

• Since state laws can frequently change, do not use this information as a substitute for legal advice. Seek advice through an attorney licensed to practice law in your jurisdiction.