Texas Unemployment After Being Fired: Misconduct, Denials, and Your Options

Being Fired Does Not Automatically Disqualify You

Many people assume that getting fired means they cannot collect unemployment in Texas. That is not how it works. TWC evaluates whether the termination was for "misconduct connected with the work" — and the legal definition of misconduct is narrower than most people think.

If your employer let you go because of a layoff, restructuring, position elimination, or general performance issues that do not rise to the level of misconduct, you typically qualify for benefits. The burden is on the employer to prove misconduct, not on you to prove innocence.

What TWC Considers Misconduct

Under Texas Labor Code §201.012, misconduct means mismanagement of a position by action or inaction; neglect that jeopardizes another person's life or property; intentional wrongdoing or malfeasance; intentional violation of law; or violation of a policy or rule adopted to ensure orderly work and employee safety. It does not include an act in response to an employer's or superior's unconscionable act. Examples that TWC has treated as disqualifying misconduct:

• Repeated, documented violations of a known workplace policy after warnings
• Insubordination — deliberate refusal to follow reasonable instructions
• Theft, fraud, or dishonesty in the workplace
• Showing up to work under the influence of drugs or alcohol
• Deliberate destruction of company property

What is usually not misconduct for unemployment purposes:

• Poor performance — being bad at your job, making honest mistakes, or not meeting production targets
• A single policy violation is not automatically misconduct. TWC considers whether you knew or should have known the act could lead to discharge.
• Personality conflicts with a supervisor or coworker
• Inability to perform due to lack of training, skills, or physical capacity the employer knew about at hire
• Violating a rule you did not know existed — the employer must show the policy was communicated

The distinction matters. An employer can fire you for any reason (Texas is an at-will employment state), but that does not mean every firing constitutes misconduct under unemployment law.

The Investigation

When you file a claim after being fired, TWC contacts your former employer for their side of the story. The employer has 14 calendar days to respond. If they allege misconduct, TWC opens a fact-finding investigation.

Both sides are interviewed — typically by phone. The investigator asks the employer to describe the specific behavior, whether the employee was warned, whether the policy was communicated, and what documentation exists. You are asked to give your account of what happened.

This is where documentation becomes critical. The employer must show a specific act of misconduct connected with the work that happened close to the discharge, and that you knew or should have known you could be fired for it. Warnings, an employee handbook acknowledgment, or incident reports may be relevant evidence.

If Your Claim Is Denied

A denial based on misconduct comes as a formal Determination on Payment of Unemployment Benefits. TWC sends correspondence by U.S. mail unless you sign up for Electronic Correspondence; with EC, most but not all notices appear in the secure online mailbox. The letter states the finding and gives you 14 calendar days from the mailing date to appeal.

File the appeal within that 14-day window. The appeal goes to a TWC Appeal Tribunal for a hearing before a Hearing Officer. The hearing is a fresh review — the Hearing Officer listens to both sides, reviews evidence, and makes an independent decision. Many misconduct determinations are reversed at this stage, particularly when the employer's documentation is thin or the behavior in question does not meet the legal standard for misconduct.

At the hearing, you can:

• Give sworn testimony about what happened
• Submit documents (emails, text messages, performance reviews, written warnings or lack thereof)
• Cross-examine the employer's witnesses

If the employer does not appear for the hearing, the Hearing Officer decides based on your testimony and any evidence already in the file.

Keep Filing Payment Requests During the Appeal

While your appeal is pending, continue submitting biweekly payment requests on your assigned day. If the appeal reverses the denial, TWC can pay only for weeks you requested payment and met all other eligibility requirements. If UBS lists backdated weeks, use Request Additional Payment to request them.

When to Get Legal Help

If the termination involved allegations of theft, fraud, or conduct that could have legal consequences beyond unemployment — or if the misconduct determination could affect future employment — consider contacting a legal aid organization before the appeal deadline:

• Texas RioGrande Legal Aid (TRLA): 833-329-8752
• Legal Aid of NorthWest Texas (LANWT): 888-529-5277
• Lone Star Legal Aid: 800-733-8394

The Filing for Unemployment in Texas guide covers the full claim process including how separation investigations work, what TWC looks for in misconduct cases, and how to organize your documentation for a fact-finding interview or appeal hearing.

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