Business is sold: Father- Son/daughter-in-law, everything else is identical. Can employees get unemployment?

Question

If the new owners of the company do not hire the previous employees, are the previous employees eligible to claim unemployment from the new owners of the company if not hired by them?
The employees earn comission only. The company name, building, everything else is the same.
It is a government contract that is periodically up for bid.

Answer 1

Under the law, the employees are entitled to security of tenure. They just can't be dismissed without cause. On the other hand, the new owner of a corporation has the right to choose which employees to hire and consequently they are under no obligation to retain the employees of the previous owner of the business.

I guess we should make a distinction between selling a corporation in good faith and selling it to get rid of the employees. In the first instance (selling in good faith) the new owners cannot be obligated to reinstate or provide separation pay to employees cut off their jobs. The previous employers will have to be answerable to them, and not the new one.

If however the sale is tainted by bad faith and the real purpose is simply to get rid of certain employees, the new owners of the business may be compelled to absorb the employees or provide them with separation pay should management decide not to retain them.

Since you did not say if the employees are regular or casual, I cannot say categorically if they are entitled to reinstatement and/or separation pay. The fact that they are paid on commission basis is not enough to determine if they are regular or mere casual employees.

Answer 2

it depends if you are totaly commison then that normal stands under self employed or sub contractor. if you are commison only and you have been claming your taxes on any pennie you make then good. and if you been paining into social secirity you are good. go to the unemployment office and sence your job laid you off ask for a layed off form bring it with you and they will get your paper work filled out. if you dont clam taxes on it the you are out of luck if you report that you want unemployment irs will be at your door for not paying taxes