Overview
The U.S. Supreme Court settled the issue of the COVID-19 vaccine mandate for certain employers under the Occupational Safety and Health Administration’s (OSHA) Emergency Temporary Standard (ETS) on January 13, 2022, by blocking its implementation. However, it ruled in favor of the Centers for Medicare and Medicaid Services (CMS) emergency regulations for COVID-19 vaccine requirements for certain healthcare workers.
Meanwhile, employers across the nation, who are not prohibited by a state law, may impose their own vaccination policy. The question arises whether a worker who refuses an employer’s vaccine mandate is eligible to collect unemployment benefits, and if so, are employer unemployment accounts impacted by those claims. The answer, as you might expect, is complicated.
Thomson Reuters reached out to state agencies for guidance and reviewed legislative activity to bring you this rundown on all 50 states.
Alabama
Legislation (L. 2021, S9), requires employers to permit employees to claim medical or religious exemption from the vaccine, and employers are prohibited from requiring the vaccine if the exemption form is completed. The Department has adopted an emergency rule in regard to vaccination exemptions and has set up a Vaccination Exemption Information Portal.
A spokesperson for the Alabama Department of Labor has informed Thomson Reuters that claims related to vaccine refusal will be reviewed on a case-by-case basis.
Alaska
The Alaska Department of Labor and Workforce Development did not respond to our request. In general, a worker will be found ineligible for: (1) being unable to work or unavailable for work; (2) voluntarily leaving without good cause; (3) being discharged for misconduct; or (4) refusing suitable work. Whether refusal of a vaccine falls under these circumstances would be determined by the Department.
Arizona
A spokesperson for the Arizona Department of Employment Security (DES) has informed Thomson Reuters that while vaccination requirements are not specifically addressed, the DES will review specific circumstances of individual cases to determine eligibility. Losing a job because of a failure to become vaccinated will not immediately disqualify an individual from benefits in Arizona. However, there are several factors that must be considered for eligibility, therefore, not all individuals who lose a job because they cannot or choose not to become vaccinated will be eligible. All case-by-case reviews will include obtaining information from the individual and the former employer as part of the fact-finding process.
Arkansas
Legislation passed on October 13, 2021, prohibits an employer from terminating an employee for failure to comply with an employer’s vaccine mandate if the employee qualifies for an exemption. If an employer terminates an employee for failure to comply with vaccination requirements even though they qualified for an exemption, the employee will be eligible for unemployment benefits in addition to any other remedies available to the employee.
Impact on employer’s account: The legislation does not address the impact of such claims on an employer’s unemployment account.
California
The California Employment Development Department did not respond to our request. In general, a worker is ineligible for benefits if: (1) they voluntarily leave without cause; (2) they are discharged for misconduct; or (3) they refuse suitable work. Whether refusal of a vaccine falls under these circumstances would be determined by the Department.
Colorado
The Colorado Department of Labor & Employment did not respond to our request. In general, a worker is ineligible for benefits for refusal to accept suitable work or gross misconduct. Whether refusal of a vaccine falls under these circumstances would be determined by the Department.
Connecticut
The Connecticut Department of Labor did not respond to our request. In general, a worker is ineligible for benefits for: (1) voluntary leaving without good cause; (2) discharge for misconduct; (3) refusal of suitable work; or (4) loss of employment due to a labor dispute. Whether refusal of a vaccine falls under these circumstances would be determined by the Department.
Delaware
The Delaware Division of Unemployment Insurance has issued a statement explaining that employees and claimants that fail to comply with employer-initiated COVID-19 vaccination requirements, in most instances, would not qualify to receive UI benefits upon separation from the employer. Like all unemployment claims, eligibility will depend on the specific circumstances as each claim is unique and reviewed on a case-by-case basis.
District of Columbia
The D.C. Department of Employment Services has stated that it evaluates all unemployment claims on their individual merit and does not adjudicate an entire classification of potential claims.
Florida
The Florida Department of Economic Opportunity has told Thomson Reuters that individuals who are fired based on their COVID-19 vaccination status are not being denied Reemployment Assistance benefits. Individuals fired based on COVID-19 vaccination status are eligible for Reemployment Assistance benefits in accordance with state law, pending all other eligibility requirements are met. DEO Rule 73B-11.0191 provides eligibility for benefits for workers that refuse a vaccine mandate of governmental entities and educational institutions that impose COVID-19 vaccination mandates as a condition of employment and all private employers that impose COVID-19 vaccination mandates without also offering exemptions.
Impact on employer’s account: The rule does not speak to the impact on such claims on an employer’s contribution rates or experience rating.
Georgia
The Georgia Department of Labor did not respond to our request. In general, a worker is ineligible for benefits for: (1) voluntary leaving without good cause; (2) discharge for misconduct; (3) refusal of suitable work; or (4) loss of employment due to a labor dispute. Whether refusal of a vaccine falls under these circumstances would be determined by the Department.
Hawaii
The Hawaii Unemployment Insurance Division has told Thomson Reuters that every claim for unemployment insurance benefits is examined individually on a case-by-case basis, therefore, the Division could not issue a general statement about eligibility for benefits.
Idaho
The Idaho Department of Labor did not respond to our request. In general, a worker is ineligible for benefits for: (1) voluntary leaving without good cause; (2) discharge for misconduct; (3) refusal of suitable work; or (4) loss of employment due to a labor dispute. Whether refusal of a vaccine falls under these circumstances would be determined by the Department.
Illinois
The Illinois Department of Employment Security has informed Thomson Reuters that in general, individuals may be eligible for unemployment insurance benefits if they lose work through no fault of their own. Each claim is unique and reviewed on a case-by-case basis. The Department advises that if an individual believes they may be eligible for unemployment insurance benefits, they should file an unemployment claim.
Indiana
Proposed legislation was referred to the Senate on January 19, 2022. The bill provides that an individual is not disqualified from unemployment benefits if the individual has complied with the requirements for seeking an exemption from an employer’s COVID-19 immunization requirement and was discharged from employment for failing or refusing to receive an immunization against COVID-19.
Impact on employer’s account: Under the proposed legislation, contributions rates or experience rating will be charged for workers who request exemption, refuse vaccination, and then are subsequently discharged of the account of the separating employer only.
Iowa
Effective October 29, 2021, legislation provides workers who are discharged from employment for refusing the vaccine will not be disqualified from unemployment benefits.
Impact on employer’s account: Claims related to a discharge for refusal will not impact an employer’s contribution rate or experience rating.
Kansas
Legislation (L. 2021, H2001), effective November 23, 2021, permits a worker who has been discharged due to a refusal of the vaccine where an exemption was denied to be eligible for UI benefits.
Impact on employer’s account: The Governor’s news release in regard to the legislation clearly states that workers who refuse an employer’s vaccine mandate will be eligible for unemployment benefits. The legislation does not address the impact on an employer’s experience rating or contribution rates.
Kentucky
The Kentucky Office of Unemployment Insurance did not respond to our request. In general, a worker is ineligible for benefits for: (1) voluntary leaving without good cause; (2) discharge for misconduct; or (3) refusal of suitable work. Whether refusal of a vaccine falls under these circumstances would be determined by the agency.
Louisiana
The Louisiana Workforce Commission did not respond to our request. In general, a worker is ineligible for benefits for: (1) voluntary leaving without good cause; (2) discharge for misconduct; or (3) refusal of suitable work. Whether refusal of a vaccine falls under these circumstances would be determined by the agency.
Maine
The Maine Department of Labor informed Thomson Reuters that generally, workers who refuse an employer’s vaccine mandate will not be eligible for unemployment benefits. Refusing to comply with an employer’s policies, including a health or safety policy, typically disqualifies a person from being eligible to receive unemployment benefits. However, the Department examines each claim on a case-by-case basis.
Maryland
A spokesperson for the Maryland Department of Labor has stated that unemployment claims are adjudicated on a case-by-case basis and multiple factors figure into a determination. The Department noted that Maryland employers have the right to set reasonable conditions of employment on their employees if those policies are consistently applied and include valid medical and religious exemptions. The Department clarified that Maryland is one of just four “mitigation states” in the country. This mitigation state status means that adjudicators are required to follow up and determine whether a claimant’s misconduct, quit, or job refusal has mitigating factors. This statutory requirement applies to all claimants with a dispute whether the reason for their unemployment status concerns a vaccine requirement or not.
Massachusetts
The Massachusetts Department of Unemployment Assistance has stated that generally, employees are not eligible for benefits if an employer imposes a reasonable requirement, and the employee does not have a reasonable basis for refusing to comply. Cases are dependent on the facts presented and the Department cannot comment on individual cases.
Michigan
The Michigan Unemployment Insurance Agency stated in its September 2021 Michigan Employer Adviser that whether an individual will be eligible for unemployment benefits for refusing an employer’s vaccine mandate will depend on the facts and circumstances of the case. Eligibility will be determined on whether the failure to be vaccinated constitutes or rises to the level of misconduct. Additionally, the agency will consider whether the worker has good cause attributable to the employer for quitting the job such as whether the worker expressed concerns with the employer and whether the employer attempted to remedy those concerns.
Minnesota
The Minnesota Unemployment Insurance Program did not respond to our request. In general, a worker is ineligible for benefits for: (1) voluntary leaving without good cause; (2) discharge for misconduct; (3) refusal of suitable work; or (4) loss of employment because of a labor dispute. Whether refusal of a vaccine falls under these circumstances would be determined by the agency.
Mississippi
A spokesperson for the Mississippi Department of Employment Security (MDES) informed Thomson Reuters that a worker’s claim will be reviewed on a case-by-case basis based on compliance with the federal and state eligibility requirements, along with the specific circumstances of the job separation, to determine if unemployment benefits are payable. Proposed legislation (L. 2022, S2654) permits workers to decline an employer’s vaccine mandate for religious beliefs. Workers of employers that do not permit an exemption may claim unemployment benefits as well as sue for damages against the employer.
Impact on employer’s account: The proposed legislation does not address the impact on an employer’s contribution rates or experience rating. Proposed legislation (L. 2022, S2736) would permit an individual who refuses the vaccine to collect unemployment benefits.
Impact on employer’s account: In addition to regular contributions, employer will reimburse the Department for the total amount of claims paid to individuals who were discharged for failure to comply with an employer vaccine mandate.
Missouri
The state is currently floating three pieces of proposed legislation related to employer vaccine mandates and unemployment benefits.
Proposed legislation provides that vaccine refusal will not be considered misconduct for unemployment claim purposes if it would violate the worker’s religious or philosophical beliefs or pose a medical contraindication. The bill was referred to Commerce, Consumer Protection, Energy and the Environment Committee on January 10, 2022.
Impact on employer’s account: The proposed legislation does not address the impact on an employer’s contribution rates or experience rating.
Proposed legislation seeks to amend the definition of “misconduct” to explicitly exclude termination or discharge for the failure to comply with an employer’s vaccine mandate for sincerely held beliefs will not disqualify an individual from unemployment compensation. On January 12, 2022, the House completed a public hearing.
Impact on employer’s account: The proposed legislation does not address the impact on an employer’s contribution rates or experience rating.
Proposed legislation requires that an employer vaccine mandate must allow a worker to be exempt for medical or religious reasons. Workers may claim unemployment benefits if the employer fails to provide an exemption. Workers may receive retroactive payment of benefits if the claimant was disqualified from benefits during the period of September 9, 2021, through the effective date of the bill. This bill was referred to the Judiciary on January 6, 2022.
Impact on the employer’s account: Back pay benefits will be subject to repayment by the employer.
Montana
On May 7, 2021, the Governor signed legislation (L. 2021, H702) that prohibits discrimination based on vaccination status or having an immunity passport. The law prohibits an employer from refusing employment, barring a person from employment, or discriminating in any term, condition, or privilege of employment based on vaccination status or whether the person has an immunity passport.
A spokesperson from The Montana Department of Labor & Industry has informed Thomson Reuters that cases related to vaccine refusal will be reviewed on a case-by-case basis.
Nebraska
The Nebraska Department of Labor has released a Guidance Document, on November 19, 2021. The guidance states that individuals who began work prior to a vaccine requirement who are discharged for refusal of vaccine will be considered discharged for reasons other than misconduct and will not be disqualified for benefits.
Impact on the employer’s account: The employer’s experience account will be determined under Neb. Rev. Stat. §48-652.
Nevada
The Nevada Employment Security Division has informed Thomson Reuters that claims due to a refusal of an employer’s vaccine mandate will be reviewed on a case-by-case basis. The agency would approach the case as a violation of an employer policy, whether the refusal was misconduct or a quit for good cause. To determine good cause, the division would look at the employer’s policy, the nature of the work being performed, the claimant’s personal circumstances and any other relevant facts.
New Hampshire
The New Hampshire Employment Security (NHES) has released FAQs regarding unemployment eligibility and employer vaccine mandates. The FAQs state that whether an employee will be eligible for benefits based on a vaccine refusal will depend on whether the NHES determines if the employer’s policy is reasonable and whether mandate is intended to serve a legitimate business interest of the employer. Generally, employees that quit or are fired for refusing to comply with reasonable alternatives to a vaccination mandate, such as a face mask requirement, would not be eligible for unemployment benefits. A worker who is not provided reasonable alternatives to a vaccine mandate may be eligible for UI benefits because the employer failed to provide a reasonable policy.
Proposed legislation (L. 2022, H1377) would permit a worker discharged, placed on leave, or given zero hours of billable time due to noncompliance of an employer’s vaccine mandate to be eligible to an additional six months of standard UI benefits beyond the maximum duration or benefit amount, payable by the employer or NHES.
Impact on the employer’s account: The proposed legislation does not address the impact on an employer’s contribution rates or experience rating.
New Jersey
A spokesperson for the New Jersey Division of Unemployment Insurance has stated that all claims are reviewed on a case-by-case basis for unemployment eligibility.
New Mexico
The New Mexico Department of Workforce Solutions has informed Thomson Reuters that whether an individual who has refused an employer’s vaccine mandate can collect unemployment will be examined on a case-by-case basis.
New York
The New York Department of Labor has stated in its FAQs that claims will be reviewed on a case-by-case basis. Workers in a healthcare facility, nursing home, or school who voluntarily quit or are terminated for refusing an employer-mandated vaccination will be ineligible for unemployment absent a valid request for accommodation because such employers have a compelling interest in the mandate and already require other immunizations. Similarly, a public employee who works in a public setting and is subject to a local government mandate to submit proof of vaccination or negative testing may be disqualified from the receipt of UI if they refuse to get vaccinated or tested. In contrast, a worker who refuses an employer’s directive to get vaccinated may be eligible for UI in some cases; if that person’s work has no public exposure and the worker has a compelling reason for refusing to comply with the directive.
There is proposed legislation (L. 2022 A8335/S7403) that would permit workers who refuse to comply with an employer’s mandate to collect unemployment benefits. The legislation has been referred to the Labor committee on January 5, 2022.
Impact on employer’s account: The proposed legislation does not address the impact on an employer’s contribution rates or experience rating.
North Carolina
A spokesperson for the North Carolina Department of Employment Security has informed Thomson Reuters that individuals who are fired or quit their jobs because they refuse to follow their employer’s vaccine requirement should not expect to receive unemployment benefits. However, the department will determine eligibility on a case-by-case basis considering the facts and circumstances of the claim.
North Dakota
Job Service North Dakota has informed Thomson Reuters that it will review unemployment claims on a case-by-case basis. To make a determination of eligibility, the agency will gather information from both the individual applying for benefits and the individual’s separating employer.
Ohio
A spokesperson for the Ohio Unemployment Insurance Operations has stated that each unemployment claim is individually adjudicated and appealable. Generally, those who voluntarily leave a job are not eligible for unemployment. However, each application for unemployment is reviewed to determine eligibility based on the specific details of the situation.
Oklahoma
Proposed legislation (L. 2022, S1157) would allow individuals to collect unemployment benefits that have terminated due to vaccine status and provides retroactive eligibility to claimants. The legislation would provide an exclusion from employment misconduct for such claims.
Impact on employer’s account: The proposed legislation does not address the impact on an employer’s contribution rates or experience rating.
Oregon
The Oregon Employment Department has stated that regardless of occupation, if a worker refuses to get a vaccination and separates from employment, the department will review the circumstances of each situation individually to determine eligibility for unemployment benefits. However, in general, if an employer has a policy requiring COVID-19 vaccinations, and the employee is unwilling to get the vaccine or use a reasonable alternative protection if their employer permits it, their claim may be denied. A claim also may be denied if someone turns down suitable work because the employer requires a vaccine or other alternative form of protection from COVID-19, such as working remotely or wearing a face covering. Some exceptions apply. Generally, people will not be denied benefits for refusing to get the vaccine if they have a sincerely held religious belief, are medically unable to get the vaccine, or if a collective bargaining agreement or law excepts them from the vaccination requirement.
Pennsylvania
The Pennsylvania Office of Unemployment Compensation addresses the topic through its FAQs. The agency states that generally, if an employee voluntarily quits work, the employee is typically ineligible for benefits. However, if the employee can meet the burden of showing that he or she has a “necessitous and compelling reason” to quit, benefits may be granted. In the context of COVID-19 vaccine mandates that are being implemented in the workplace, employers must consider reasonable accommodations for an employee who, because of a disability or sincerely held religious belief, did not or cannot get vaccinated for COVID-19. It is possible that the employer’s policy would allow an employee to refuse to obtain a COVID-19 vaccine, and the employer would provide accommodations for that refusal such as alternatives such as masking, regular COVID-19 testing, working at a social distance from others, working a modified schedule, being given the opportunity to telework, or reassigning the employee to a different position. A claimant may be ineligible for UC benefits if they intentionally refuse to comply with an employer’s policies, either mandating vaccination or allowing for acceptable alternatives to vaccination.
Proposed legislation (L. 2022, S968) provides a required exemption process for employer vaccine mandates and alternatives such as testing or proof of immunity. The bill prohibits employers from terminating an employee for failure to comply with a mandate if the employee complies with exemption process. The bill allows a worker to collect unemployment if the employer violates the provisions and the worker is terminated, forced to resign, or leave work. The bill was referred to Labor & Industry Committee on December 21, 2021.
Impact on employer’s account: The proposed legislation does not address the impact on an employer’s contribution rates or experience rating.
Rhode Island
A spokesperson from the Rhode Island Department of Labor and Training has informed Thomson Reuters that state law provides that employees have to follow their employer’s policies when those policies are reasonable in nature and have been clearly communicated. If a COVID-19 vaccination requirement falls under those guidelines and an employee refuses to get vaccinated, the Department said that the claim will most likely be denied. However, if an employee refuses to get vaccinated due to a legitimate medical or religious exemption, they may qualify for a payment. Claims will be examined on a case-by-case basis.
South Carolina
The South Carolina Department of Employment and Workforce has stated that unemployment claims will be reviewed on a case-by-case basis. In general, benefits are provided for individuals who have lost their jobs through no fault of their own. The spokesperson explained “there is no “one size fits all” answer to the question of whether a person who is fired for not complying with a business’s mandatory vaccination policy would be eligible for benefits or not.”
South Dakota
A spokesperson for the South Dakota Department of Labor & Regulation has informed Thomson Reuters that claims will be reviewed on a case-by-case basis.
Tennessee
Effective November 12, 2021, legislation provides that a person who leaves work voluntarily due failure or refusal to comply with an employer’s vaccine mandate will not be ineligible from unemployment benefits. Further, benefits will not be reduced or denied for refusal to receive a COVID-19 vaccine. The claimant will be entitled to a retroactive payment of unemployment benefits if the claimant was denied benefits on grounds that the claimant’s separation from employment for failing or refusing to receive a COVID-19 vaccine was insufficient for benefits.
Impact on employer’s account: The proposed legislation does not address the impact on an employer’s contribution rates or experience rating.
Texas
A spokesperson for the Texas Workforce Commission (TWC) has confirmed with Thomson Reuters that it is unlikely that a claimant will be disqualified from receiving unemployment benefits if the work separation was caused by the employee’s failure to receive the COVID-19 vaccine, although each individual case is different. The last employer on an individual’s claim may be exempt from paying reimbursements if the person separated due to misconduct or quit without good cause. Being vaccinated or lack thereof is not determinative in and of itself regarding work separation. Facts will be reviewed on a case-by-case basis. The TWC has set up a webpage that allows individuals to report a vaccine job loss.
Impact on employer’s account: Claims related to refusal of an employer’s vaccine mandate will impact employer contributions to the trust fund and experience ratings when determining yearly tax rates.
Utah
The Utah Workforce Services did not respond to our request. In general, a worker is ineligible for benefits for: (1) voluntary leaving without good cause; (2) discharge for just cause, for noncriminal misconduct, or for refusal of suitable work; or (3) loss of employment because of a labor dispute. Whether refusal of a vaccine falls under these circumstances would be determined by the agency.
Vermont
The Vermont Department of Labor has posted on its website that an employer may mandate the vaccine as a condition of employment. The Department explains that while it is not required, it is a best practice that an employer provide alternatives to a worker who refuses or cannot get vaccinated. It is strongly recommended that employers provide a medical and religious exemption. A worker is not eligible for UI if they voluntarily leave their job because they do not want to be vaccinated and do not have a qualifying exemption. If the employer follows the best practices outlined above, the employer should make clear to the employee that work is available but only if the employee is vaccinated. If the employee refuses to get vaccinated, they will not be eligible for benefits.
Virginia
Proposed legislation (L. 2022, H1201) introduced January 18, 2022, would provide that “misconduct” would not include an employee’s refusal to receive the vaccine or booster as it relates to claiming unemployment benefits.
Impact on employer’s account: The proposed legislation does not address the impact on an employer’s contribution rates or experience rating.
Washington
The Washington Employment Security Department (ESD) has addressed the issue in its FAQs. ESD states that if an employee’s separation is the result of failure to comply with an employer’s vaccine requirement, ESD will examine several factors. These factors may include when the employer adopted the requirement, whether the employee is otherwise eligible for benefits, the specific terms of the vaccine policy including allowable exemptions, and the reason why the employee did not comply with the vaccine requirement. For example, when the employer offered religious or medical accommodations, but the employee does not qualify for an accommodation and does not comply with the vaccine requirement, a claim would likely be denied. However, some individuals may still qualify based on their own unique circumstances.
Proposed legislation (L. 2022, S5864) would permit a worker who refuses an employer’s vaccine mandate to collect unemployment benefits. The bill has been referred to Labor, Commerce & Tribal Affairs on January 14, 2022. The bill is unlikely to pass.
Impact on employer’s account: The bill proposes to charge an employer account for any claim related to an employer’s vaccine mandate and not required by a federal, state, or local government.
West Virginia
Workforce West Virginia did not respond to our request. In general, a worker is ineligible for benefits for: (1) leaving most recent work voluntarily without good cause involving fault on the part of the employer; (2) discharge for misconduct; (3) refusal of suitable work; or (4) loss of employment because of a labor dispute. Whether refusal of a vaccine falls under these circumstances would be determined by the agency.
Wisconsin
The Wisconsin Department of Workforce Development has posted on its FAQs that whether a worker may be eligible for benefits when refusing an employer’s vaccine requirement will depend on the circumstances of the separation. Generally, if a person quits a job, the presumption is benefits are not payable unless an exception outlined in state law applies. Also, individuals are denied benefits until six times their weekly benefit is earned in covered employment. If an individual is aware of a condition to maintain employment (such as complying with a vaccine requirement) and fails to take action to maintain their employment, they may not be eligible for unemployment insurance benefits. All factors related to the employee’s separation will be considered in determining eligibility, including whether the person is unable to receive the vaccine for medical or religious beliefs.
Proposed legislation (L. 2022, S547/A542) would exclude vaccine refusal and refusal to provide vaccine proof from misconduct and substantial fault for unemployment benefit purposes. Further a worker who quits may claim unemployment if receiving the vaccine or proof of vaccination is a condition of employment.
Impact on employer’s account: The proposed legislation directs the DWD to charge the balancing account for the cost of unemployment benefits of reimbursable and experience rated employers for any employee show voluntarily terminate under these circumstances.
Wyoming
The Wyoming Department of Workforce Services did not respond to our request. In general, a worker is ineligible for benefits for: (1) voluntary leaving without good cause attributable directly to employment, except for bona fide medical reasons; (2) discharge for misconduct; (3) refusal of suitable work; or (4) loss of employment because of a labor dispute. Whether refusal of a vaccine falls under these circumstances would be determined by the agency.
To learn more about state mandates for the COVID-19 vaccine, sign up for a free trial and visit Checkpoint Edge’s Payroll Create-a-Chart on State Guidance on Vaccine Mandates.
