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My friend is collecting unemployment and secretly has a job what legally can his old boss do if he finds out?

if someone is collecting unemployment but secretly has a job can their old employer do something about it if they found out? or maybe if the government finds out? I’m guessing he or she stops receiving unemployment but can it be taken a step further like for example can the previous employer sue them for the unemployment they have received while they were “secretly” employed? or could they be registered as someone who has abused the collection of unemployment and maybe not be eligible to receive unemployment ever again?

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4 Responses to “My friend is collecting unemployment and secretly has a job what legally can his old boss do if he finds out?”

  1. DaveInSeoul says:

    First of all, from a legal standpoint, you are “aiding and abetting” this crime.

    Which is what it is – a crime called ‘embezzlement – NOT simply abusing the collection of unemployment.

    Most employers and government agencies take embezzlement very seriously – it is a felony that can get your friend three to five years of jail time if he his caught. How is it embezzlement and not a white lie? Well, anytime you take money from anyone that you pretend to be entitled to, but in fact are not entitled to, that is ‘embezzlement of funds’. And you, sir or ma’am are guilty of aiding and abetting a felony, by knowing a that a felony is committed and not telling the authorities about it. Would the authorities proscecute you? Probably not, but they legally could. However, they will most certainly go after you friend, if they find out.

    Worse case – your friend goes to jail – then worrying about unemployment comp will be the least of their worries.

    You should probablly advise your friend to stop.

  2. Mopery Sharper says:

    All his old boss can do is report his suspicions, and let the Department of Labor resolve it. It could be perfectly legitimate. In many states, it is possible to work, and still collect unemployment insurance. In Pennsylvania, for example, someone who’s collecting can work part-time, and earn upwards of 40% of his benefits without penalty.

  3. Pearl L says:

    i would turn in your friend anonymously , hes or she is breaking the law

  4. Anna K. P says:


    Although specific eligibility requirements vary from state to state, most states have the same basic standards for collecting unemployment benefits. They include:

    -You must be unemployed or working less than full time
    -You must meet certain income requirements
    -You must be ready, willing, and able to work
    -You must have involuntarily left your job

    In general, you won’t be eligible for benefits if:

    -You quit your job simply because you didn’t like it
    -You’re fired for committing a crime (e.g., stealing)
    -You’ve never worked before

    In your friend’s case, it was legal when he applied, but it seems to be out of the state and he was supposed to report.

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