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This question is about employer.
Can a 1099 employee collect unemployment?
Historically, 1099 employees could not collect unemployment; however, that has changed due to the Covid-19 pandemic. Before the pandemic, 1099 employees could not collect unemployment as they were considered independent contractors, which means they work for themselves.
Historically, If a 1099 employee was out of work, it was treated the same as if a business owner was not currently earning money from their business. That business owner, like a 1099 employee, would not qualify for benefits.
Due to the coronavirus in 2020, the federal government has created new provisions that provide relief for 1099 employees during the ongoing pandemic. It is unclear whether or not these provisions will continue after the pandemic.
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