[Minnesota] Unemployment and W2 and 1099 question.

Minnesota UE Question.

This pertains to my wife. She was working a W2 job and was let go due to downsizing in June 2024.

She was 3 months pregnant at the time, searching for work and claimed benefits through August 2024. Eventually she did find a new job, went through the interview process and was hired. After she was hired, she felt obligated to mentioned she was Pregnant and due to have a baby in December. The employer then stated due to timeline, she would not being able to get maternity leave since she would only be at company for “XX” amount of days, that the best course of action would be to take a 1099 position and then she can go back on unemployment at the end of her contract. With the idea of hiring her full time/W2 come March 2025.

Well now we are requesting unemployment benefits and the 1099 employer is saying she can’t get unemployment, because she left. I think there was mention of a disability too? But having a baby doesn’t count? That she should be getting unemployment from her previous W2 job.

But the state of Minnesota is denying because her 1099 job is fighting her unemployment request.

Should she just say that the 1099 job was temporary because they didn’t hire her full time, since she was having a baby?

It’s all very frustrating and confusing. Maybe we just don’t get unemployment benefits, which is fine….but I feel like the 1099 employer (and possible future W2 job in March) pulled a fast one on her. I don’t think she should go back to this company if they lied to her like this.