(1) A worker is ineligible for benefits during the first two weeks of an unpaid suspension or until the unpaid suspension ends, whichever occurs first. The department shall consider a worker who receives a regular rate of pay during a suspension to be employed.

(2) When an unpaid suspension remains in effect for two weeks, the department shall consider the employer to have discharged the worker.

(3) The department shall determine whether the employer discharged the claimant for misconduct based on evidence provided by the employer, the claimant, and other sources. When the department determines claimant was discharged for reasons other than misconduct, an otherwise qualified individual is eligible for benefits.