Flannery O’Rourke

Policy & Data Brief Summary The labor dispute disqualification provision that exists in nearly every state’s unemployment insurance (UI) law is confusing, ill-defined, and irrationally broad.

Summary Unemployment insurance (UI) benefits can be a lifeline for unemployed workers. But each year many workers who apply for benefits are improperly denied. An improper denial occurs when a state UI agency denies UI benefits to a worker who, based on the law and the facts, is entitled to benefits. Any improper denial can cause significant hardship for a worker, even if the denial is ultimately reversed. For example, consider if you are laid off from your job.

NELP opposes the SHIELD Act, not only because it would disqualify striking workers from receiving unemployment insurance (UI), but because the bill’s language is so broad that it would disqualify workers who may never strike, may not be a member of the union that goes on strike, and may not even be in the same state as the workers who go on strike.[i] Any worker who is impacted by a labor dispute could be disqualified under this bill.