Unemployment Compensation


See Business Office Memorandum No. 146, Unemployment Compensation Policy and Responsibilities, dated November 18, 1971.


The University provides unemployment compensation coverage to all staff members, except Purdue University student employees, through the Indiana Employment Security Act. The State's Department of Workforce Development administers the program and determines those eligible to receive benefits. However, the University reimburses the actual cost of benefits paid by the State for benefit charges against the University's account. The cost incurred from unemployment benefits comes from monies that normally would be appropriated for wages/salaries and/or other staff benefit programs.


All non-Purdue student staff members are eligible for unemployment benefits if they meet the following requirements:

  1. are unemployed through no fault of their own;

  2. serve a one week waiting period;

  3. file a claim at a local office of the Department of Workforce Development;

  4. are physically and mentally able to work, available for work, and making a concerted effort to find work; and

  5. sign a weekly voucher that he/she is still not working.

The claims deputy of the local Department of Workforce Development determines eligibility and whether the claimant shall receive full, partial, reduced or no benefits.

Full Benefits

After one week waiting period, full benefits will be received by individuals who quit with good cause or are laid off (termination of employment which is indefinite or permanent in duration).

Partial Benefits

After one week waiting period, partial benefits will be received by persons whose hours were cut to fewer than their regular full-time week and subsequently earn less than their unemployment insurance would be if they were completely out of a job.
In this case the weekly payment would be the amount the individual would receive if totally unemployed minus the earnings from his regular employer.

Reduced Benefits

Persons who refuse suitable work; quit without good cause, i.e., quit for home obligations, or are dissatisfied with job; were discharged for bad conduct or poor attendance, may receive reduced benefits after earning an amount equal to their weekly benefit amount in each of eight different weeks. The total amount of payment would be reduced 25% of the amount the claimant would receive if he was eligible for full benefits.

No Benefits

An individual will not receive any benefits if he/she is discharged for gross misconduct, defined as: assault or threatened assault upon supervisors or co-workers, dishonesty, arson, sabotage, or other offense constituting misdemeanor or felony under the law and committed in connection with work, and which is admitted or results in a conviction in a court of competent jurisdiction.


Employing departments must process IMMEDIATELY two copies of the Termination Report to the Department of Human Resources and one copy to Payroll.

It is recommended that supervisors refer to the section on Termination of Employment for details concerning procedures for terminating staff members.
It should also be noted that Timeliness, Speed, Accuracy and Completeness are a "must" for processing Report of Termination of Employment, Human Resources Form 4, for each staff member (except student employees) terminating employment with the University. Supervisors must document actions leading to a discharge.

Suitable Work

If a former employee refuses suitable work without good cause, his/her benefits will be suspended until an amount equal to the employee's weekly benefit amount has been earned in each of eight different weeks. In determining whether work is suitable, the division considers the individual's health and safety; physical fitness; training and experience; length of time of unemployment; prospects for local jobs; and the distance of the job offered from his/her home.


If the claimant believes he/she was unjustly denied benefits he/she may request a hearing before a referee of the State of Indiana Department of Employment and Training Services. If the University disagrees with the local office determination of eligibility, the Department of Workforce Development will ask for a hearing before a referee. The request must be filed in the Division Office within 20 days after the initial determination was received. If either party does appeal, both parties will be notified as to the date and time of the hearing. It will be necessary for the supervisor who was involved in the separating act to appear at the hearing.

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