Lenca v. Employment SEC. Dept. of State

**Worker Wins Unemployment Benefits After Pay Cut** This case involved a worker named Lenca who applied for unemployment benefits after quitting their job at Schwan's Home Service due to a significant pay reduction. The state's Employment Security Department initially denied Lenca's benefits claim, ruling that they weren't eligible for unemployment compensation. The Court of Appeals overturned this decision and sided with Lenca. The court found that the state agency had failed to properly consider important evidence - specifically pay stubs that showed Lenca's pay had been cut by more than 25%. Under Washington law, workers can qualify for unemployment benefits if they quit due to a substantial pay reduction, and a cut of more than 25% meets this threshold. The court sent the case back to have the evidence properly reviewed and also ordered that Lenca's legal fees be paid. This ruling matters for workers because it establishes that you may be entitled to unemployment benefits if you quit due to a major pay cut, even if your employer doesn't lay you off. Workers should keep documentation like pay stubs to prove significant wage reductions, as this evidence can be crucial in unemployment benefit appeals.