States May Offer Unemployment Pay to Workers With COVID-19

The U.S. Department of Labor has announced new unemployment insurance (UI) guidelines offering states the flexibility to offer UI to employees who have COVID-19, are quarantined, or are staying home to care for family members who contracted coronavirus. Under the guidance, federal law permits states to amend their regulations for providing UI benefits and does not require an employee to quit in order to receive these benefits.

Employees who are being paid through sick leave or family leave are not eligible for UI benefits under the new guidelines. However, they could begin receiving UI benefits once their paid leave runs out.