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Settlement deal required resignation? No unemployment benefits for former employee

07/22/2015

Workers whose employers make it unbearable to come to work are still eligible for unemployment compensation. That’s called constructive discharge. But what about an employee who files an EEOC complaint alleging unbearable working conditions and then settles the case for a lump-sum payment in exchange for resigning? According to a recent Minnesota decision, that’s a voluntary resignation, blocking benefits.

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