What to Do When an Employee Files for Unemployment in Ohio: A Step-by-Step Guide for Cannabis Operators
An employee just filed for unemployment. You got a notice in the mail or in your employer portal. Now what?
For most cannabis business owners who have never dealt with this before, the process is unfamiliar, and the deadlines are tight. This guide walks you through each step so you know what to do, in what order, and why it matters.
A note upfront: unemployment claims are legal and administrative proceedings. If a claim involves a disputed termination or could expose your business to financial liability, consider consulting an employment attorney before submitting your response.
How Ohio Unemployment Works (The Quick Version)
Ohio unemployment is administered by the Ohio Department of Job and Family Services (ODJFS). When a former employee files a claim, ODJFS notifies you and gives you an opportunity to provide information about the separation. Based on what both sides submit, ODJFS issues a determination about whether the employee qualifies for benefits.
Whether you should contest a claim, and how strongly, depends entirely on why the person left. The general rule is this: employees who are laid off or separated through no fault of their own are eligible for benefits. Employees who are discharged for just cause, or who quit without good cause, are not.
Ohio law defines just cause in discharge cases as conduct that a person of ordinary intelligence would consider a justifiable reason for termination. There must be some fault on the part of the employee. Sloppy performance that was never documented, policies that were never communicated, or disciplinary steps that were skipped all make it harder to establish just cause, even if the termination was reasonable.
This is why strong documentation habits guides are so important. When an unemployment claim lands on your desk, your documentation is your evidence.
Step 1: Watch Your Employer Portal and Mail Immediately
When a former employee files a claim naming your business, ODJFS sends you a Request to Employer for Separation Information. This can arrive by mail or through the Ohio Job Insurance (OJI) employer portal at unemployment.ohio.gov, depending on how your account is configured.
You have 10 business days from the date the request is sent to respond. This is not a soft deadline. Missing it means ODJFS decides the claim without your input, and you lose your most important opportunity to shape the outcome.
Action items for this step:
- Log into your OJI employer account at unemployment.ohio.gov regularly, especially in the weeks following any separation.
- Make sure your employer account has a current email address so you receive notifications.
- If you received the notice by mail, note the date on the notice, not the date you received it, for calculating your 10-day window.
- Assign a specific person in your organization to be responsible for checking for and responding to unemployment notices. Do not leave this to chance.
Step 2: Pull Your Documentation Before You Respond
Before you fill out a single field on the ODJFS form, gather every document related to this employee’s separation. The separation information form asks not only why the employee is no longer working for you, but also for your company policy related to the separation reason and the employee’s signed acknowledgment of that policy.
What you need to pull:
- The employee’s personnel file, including their offer letter, signed handbook acknowledgment, any written warnings or performance records, and their termination paperwork.
- Any written policies directly relevant to the reason for separation, such as your attendance policy, conduct standards, or drug and impairment policy.
- The employee’s signed acknowledgment that they received those policies.
- Any relevant communication records, manager notes, or incident documentation that supports the separation reason.
If you don’t have documentation that the employee received and acknowledged your policies, this is the moment you will feel the absence of it most. ODJFS is specifically asking for that acknowledgment record because it proves whether or not the employee knew what was expected of them. Without it, a discharge for policy violation becomes harder to defend.
Step 3: Complete and Submit the Separation Information Form
Log in to the OJI employer portal at unemployment.ohio.gov and complete the Request for Separation Information form online. You can also respond by paper, but online is faster and creates a clear submission record.
The form asks for:
- The claimant’s last day of work and reason for separation (discharge, layoff, voluntary quit, etc.)
- A detailed explanation of the specific reason for the separation, stated factually and without opinions
- Any relevant company policy and documentation of whether the employee acknowledged receiving it
- Any final pay information, severance, vacation payout, or other compensation paid at separation.
How to write your separation explanation. Be specific, factual, and chronological. Don’t use emotional language. Don’t characterize the employee’s intentions. State what happened, when it happened, what policy was violated, and what steps preceded the separation. If there is a documentation trail, reference it. If there is not, describe what you can from memory as accurately as possible.
For example, if an employee was terminated for repeated attendance violations:
Weak response: “The employee was always late and we had to let them go.”
Strong response: “The employee received a verbal warning on [date] for tardiness, a written warning on [date] for a second incident, and a final warning on [date]. On [date], the employee arrived 45 minutes late without notification. Per our attendance policy, which the employee signed on [date], a third offense after a final warning results in termination. The employee was separated on [date] for violation of this policy.”
The second version gives ODJFS a factual basis for a just cause finding. The first does not.
Cannabis-specific note on drug policy terminations. Under Ohio law, as revised by Senate Bill 56 (effective March 2026), an employee who is discharged for cannabis use in violation of an employer’s drug testing policy or drug-free workplace policy is considered to have been discharged for just cause and is not eligible for unemployment benefits. For this defense to hold, however, you need a written, clearly communicated drug policy and documentation that the employee received it. “We have a drug-free workplace” without a written policy in the handbook and a signed acknowledgment from the employee, is a weak foundation.
Step 4: Respond Within 10 Business Days
Submit your completed response through the OJI portal or by mail before the 10-business-day deadline.
After you submit, save or print a confirmation. If you responded online, take a screenshot of the submission confirmation. If you responded by mail, send it with delivery tracking.
ODJFS will use your response, along with information from the employee, to issue its determination. Processing typically takes three to four weeks from the date the claim was filed.
Step 5: Review the Determination Notice When It Arrives
ODJFS will send you a determination notice. Ohio has changed its process, so you may receive multiple notices. Read each one carefully. A monetary determination addresses whether the employee earned enough wages to qualify. A non-monetary determination addresses whether the separation reason makes them eligible.
If the determination allows benefits and you believe the decision is incorrect based on the facts of the separation, you have 21 calendar days from the date on the determination to file an appeal. The clock starts on the date the determination was issued, not the date you received it.
If the determination denies benefits and the employee appeals, you will receive notice and have an opportunity to participate in the redetermination process and any subsequent hearing.
Step 6: If You Need to Appeal, Do It in Writing and Within 21 Days
Appeals are filed in writing through the OJI portal, by mail to the address on the determination notice, or by fax to your processing center. Include the claimant’s name and Social Security number, the date and type of determination you are appealing, and a clear statement of why you disagree with the determination.
After an appeal is filed, ODJFS has 21 days to issue a Director’s Redetermination or refer the case to the Unemployment Compensation Review Commission (UCRC). If the case goes to the UCRC, a hearing will be scheduled, conducted most often by phone.
Hearings are where documentation makes or breaks a case. A hearing officer will take testimony from both sides and review documents submitted by each party. If you have a signed acknowledgment that the employee received your policy, a written warning that names the specific violation, and a termination record that explains the basis for the discharge, you are in a much stronger position than an employer relying on verbal accounts and general descriptions.
If you anticipate a hearing involving a disputed termination, consider consulting an employment attorney. The employee may have representation. The most important element to the strength of your case is going to be your documentation.
What This Process Reveals About Your HR Systems
Most cannabis operators encounter the unemployment process for the first time after a difficult termination. What they usually discover is that their documentation, or the absence of it, is the deciding factor in whether a legitimate just-cause discharge holds up.
The two documents ODJFS specifically asks for are the company’s policy and the employee’s signed acknowledgment of that policy. Both are items that your employee handbook and onboarding process should be generating automatically for every hire.
If you don’t yet have a written handbook, signed acknowledgment forms, or a consistent documentation system for performance and discipline, those gaps are not just an internal management problem. They are a direct liability in any unemployment proceeding, labor complaint, or employment dispute.
KushHR’s Ohio Cannabis Employee Handbook template and our Performance Management and Termination Toolkit templates are designed to produce exactly the documentation the ODJFS process asks for.
Quick Reference: Ohio Unemployment Claim Timeline
- Day 0: Former employee files claim. ODJFS sends you the Request for Separation Information.
- Within 10 business days: You must submit your separation information response to ODJFS.
- 3 to 4 weeks after filing: ODJFS issues its Initial Determination.
- Within 21 calendar days of the determination date: Either party may file a written appeal.
- After appeal: ODJFS issues a Director’s Redetermination or refers the case to the UCRC for a hearing.
- Within 21 calendar days of redetermination: Either party may appeal to the UCRC.
- After the UCRC decision: Further appeal to the Common Pleas Court is available within 30 days.
FAQ
Do I have to contest every unemployment claim?
No, and you shouldn’t contest every claim. If an employee was genuinely laid off, let go for economic reasons, or separated through no real fault of their own, contesting the claim is likely to be unsuccessful and uses your time without benefit. Focus your response on claims where the separation was for documented just cause and where the facts support your position.
What happens if I miss the 10-day response deadline?
ODJFS will make its determination without your input. In a contested separation, that typically means the employee receives the benefit of the doubt. You may still be able to appeal after the initial determination is issued, but you will have lost your first and most important opportunity to put your version of the facts on record.
Does contesting a claim cost me money even if I win?
Potentially, yes. Ohio employers pay unemployment insurance taxes based in part on their “experience rating,” which reflects how many former employees have successfully collected benefits against their account. Successfully contesting a claim can help protect your experience rating. Losing a claim, or having benefits paid out from your account, can raise your rate over time.
What do I do about current employees who vocally support a coworker who files for unemployment?
Ohio law prohibits retaliation against employees for filing unemployment claims or participating in unemployment proceedings. This means reducing a current employee’s hours, issuing discipline, or taking any adverse action because they support a coworker who filed a complaint creates legal exposure for your business. Do not do it.
What if I believe the claim is fraudulent?
If you receive a notice about a claim for someone who is still actively employed by you or whose separation reason is entirely incorrect, report it immediately through the OJI portal or by calling ODJFS. Unemployment fraud is a real issue, and ODJFS has processes for investigating and closing fraudulent claims. Note that if you have already reported the claim as fraudulent, no further action is required on your part if ODJFS later sends you determination notices while it processes and closes the fraudulent claim.