Unemployment Insurance in New Jersey

Unemployment Insurance (UI) is a federal-state program that provides temporary financial assistance to workers who have lost their jobs through no fault of their own. In New Jersey, the UI program is administered by the Department of Labor and Workforce Development (LWD). This article will explore the details of the UI program in New Jersey, including eligibility, benefits, and how to apply.

Eligibility for UI in New Jersey

Individuals who have lost their jobs due to reasons beyond their control, such as a layoff or business closure, may be eligible for UI benefits in New Jersey. To be eligible, a worker must have earned enough wages during their base period, which is the first four of the last five completed calendar quarters before the claimant filed the claim. Additionally, the worker must meet the state’s requirements for having lost their job through no fault of their own and being able and available to work.

Workers who quit their jobs voluntarily or are fired for cause may not be eligible for UI benefits. However, there are some exceptions to this rule, such as if the employee quit due to unsafe working conditions or if they were fired for a reason unrelated to their job performance.

It is important to note that self-employed individuals may not be eligible for UI benefits, as they are not considered employees. However, under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, self-employed individuals may be eligible for Pandemic Unemployment Assistance (PUA).

Finally, individuals who are receiving other types of income, such as severance pay or workers’ compensation, may still be eligible for UI benefits, but their benefits may be reduced or delayed.

Benefits of UI in New Jersey

UI benefits in New Jersey are designed to replace a portion of a worker’s lost wages. The amount of benefits that a worker is eligible for is based on their earnings during their base period, up to a maximum of $713 per week as of 2021.

UI benefits are also subject to federal income tax, and claimants have the option to have taxes withheld from their benefits payments.

In addition to the weekly benefit amount, claimants may also be eligible for an additional $300 per week in supplemental benefits under the Lost Wages Assistance (LWA) program, which was created in response to the COVID-19 pandemic. The program provides temporary additional benefits to eligible claimants who were unemployed or partially unemployed due to disruptions caused by COVID-19.

How to Apply for UI in New Jersey

Individuals who believe they are eligible for UI benefits in New Jersey can apply online through the state’s Unemployment Insurance website. Before applying, it is recommended that claimants gather all necessary information, including their Social Security number, work history, and reason for unemployment.

Once the application is submitted, the LWD will review the claim and determine if the claimant is eligible for benefits. If approved, the claimant will receive their first benefit payment within two to three weeks after filing their claim.

It is important for claimants to continue to certify for benefits every week that they are unemployed, in order to continue receiving benefits. Failure to certify for benefits may result in a delay or interruption of benefits payments.

FAQ

Conclusion

Unemployment Insurance provides a safety net for workers who have lost their jobs through no fault of their own. In New Jersey, the UI program is administered by the Department of Labor and Workforce Development and provides temporary financial assistance to eligible claimants. To be eligible for benefits, workers must have earned enough wages during their base period and meet other eligibility requirements. Claimants can apply for benefits online and may be eligible to receive up to 26 weeks of benefits, with additional weeks available under the CARES Act.