Shared Work Programs are voluntary employer programs intended to provide a practical and mutually beneficial alternative to layoffs when business declines. These plans enable companies to keep their skilled workforce intact, and eliminate costs associated with recruiting, hiring and training new employees.  Participating workers are able to avoid hardships associated with total unemployment.  Both are able to quickly return to full operational status, once economic conditions rebound.

In basic terms, the hours of all workers participating in an approved Shared Work Program are reduced, but lost wages are then supplemented by partial unemployment insurance (UI) benefits.  Participating workers are not subject to normal unemployment requirements regarding availability and work search; however, they must be available for their scheduled work week.

Employers interested in participating in a Shared Work Program must apply for plan approval with the state unemployment insurance agency.  Once formally approved, an employer will need to supply weekly or bi-weekly certification information on each participating worker to the agency.

Each state agency’s plan will specify:

·         Plan duration (generally 6 months to a year)

·         Range of reduced hours allowed (normally10%-40%)

·         Number of partial UI benefit weeks allowed (usually 26 or 52 weeks)

·         Amount of weekly UI benefits payable

The states listed below offer Shared Work Programs.  Details can be found on the unemployment agency websites as follows:

Tammy Mullin