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Can you collect unemployment in Indiana if you are demoted from your current position to a considerably lower paying job?

by Alan
(South Bend, IN, U.S.A)

I am currently a salaried worker with no official title. If they demote me to make me hourly again and say it is about a $300 a week cut, but expect the same job from me, can I quit and get unemployment. Or since I didn't take the job offered do I lose my unemployment benefits?



Hi Alan,

Good question, and I have been trying to find an definitive answer, but the only decision I found which even comes close to your situation is this one. It has to do with an employer having a valid reason for a demotion and reduction in pay. You of course can search for other Indiana decisions here.

I think if the reason for the demotion and reduction in pay of $300 is not a disciplinary action of some sort, then it would probably constitute a valid reason for quitting due to an unacceptable change in the condition of employment, but I don't know how much you made or the reasons for the demotion and reduction.

I always prefer to find a definitive answer, so I suggest you call the State of Indiana's Dept. of Workforce Development .. and not a claims center, but an appeal office.

I think it is unacceptable that this information is not readily obvious whether it's for Indiana or any other of the states that have been negligent in making it available.

If you find out, please come back and update this page with a comment. Most states have precedents which define how much is too much to accept when your wages are reduced.

Sorry I couldn't be more helpful.

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Apr 18, 2009
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by: Anonymous

It's about a 30% reduction in pay. I don't know if this will help your research, but that is what it amounts to. Also, I have never had a verbal warning or anything else, this was something trivial that just happened and I believe the company did this because they are hurting from the economy.



I think it is unwise to make assumptions and then offer it as fact. It's the difference between what you "think" or "feel" is the employer's motivation and what they contend motivated them.

Here's another decision to read. Personally, I think it should, if it was not .. be appealed. Makes absolutely no sense .. to me.

http://www.in.gov/judiciary/opinions/pdf/10310803jgb.pdf


I think you should be very careful. It appears Indiana views "economic downturns" as a factor which should change perception of what is actually good cause. They choose to focus on not losing the health benefits instead of a $6 dollar an hour decrease in wages. I think it's a BAD decision.



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