New York State Department of Labor - Shared Work- The layoff alternative

THE PLAN REQUIREMENTS

Any New York employer who has five or more full-time employees and who with any predecessor has been liable for unemployment insurance purposes for at least four completed calendar quarters may apply to participate in the Shared Work Program. The employer's plan must meet the following basic requirements:

The employees’ hours and wages must be reduced at least 20% but not more than 60%.
Only full-time employees who normally work between 35 and 40 hours per week are eligible to participate.
The employees' fringe benefits cannot be reduced or eliminated.
The plan cannot exceed 53 weeks. (*See below "BENEFIT ELIGIBILITY")
The employer cannot hire additional full-time or part-time employees for the work group covered by the plan.
If the employees are covered by a collective bargaining agreement, the collective bargaining agent must approve the Shared Work plan.
The plan must be in lieu of a layoff of an equivalent percentage of employees.

BENEFIT ELIGIBILITY

Employees who would normally be eligible to receive regular unemployment insurance benefits in New York State are eligible to participate in the Shared Work Program.

The employee must serve a waiting week before receiving Shared Work benefit payments unless a waiting period has already been served on an existing claim.
The Shared Work weekly amount will be the employee’s weekly unemployment benefit rate multiplied by the percentage that the employee’s hours and wages are reduced under the Shared Work plan.
Because Shared Work is an alternative to layoffs, a plan can not result in benefits paid exceeding what benefits would have been paid if a total layoff occurred. Although a Shared Work plan may be approved for up to 53 weeks, only 20 weeks of benefits can be paid in a benefit year. Each plan will be examined individually to determine the amount of Shared Work benefits available.
During a benefit year an employee may receive a maximum of 20 weeks of Shared Work benefits. However, an employee may not receive more in Shared Work benefits combined with regular unemployment insurance benefits in a benefit year than the person could have received under the regular unemployment insurance program alone (26 x regular benefit rate).
The employee must be fully available for work for the Shared Work employer, but is not required to look for other work.
Any work with a different employer or self-employment will reduce the amount of Shared Work benefits for which an employee is eligible.
Employees are not eligible for Shared Work benefits in any week in which they receive supplemental unemployment compensation benefits (SUB Pay).


		THE PLAN REQUIREMENTS Any New York employer who has five or more full-time employees and who with any predecessor has been liable for unemployment insurance purposes for at least four completed calendar quarters may apply to participate in the Shared Work Program. The employer's plan must meet the following basic requirements: The employees’ hours and wages must be reduced at least 20% but not more than 60%. Only full-time employees who normally work between 35 and 40 hours per week are eligible to participate. The employees' fringe benefits cannot be reduced or eliminated. The plan cannot exceed 53 weeks. (See below "BENEFIT ELIGIBILITY")* The employer cannot hire additional full-time or part-time employees for the work group covered by the plan. If the employees are covered by a collective bargaining agreement, the collective bargaining agent must approve the Shared Work plan. The plan must be in lieu of a layoff of an equivalent percentage of employees. BENEFIT ELIGIBILITY Employees who would normally be eligible to receive regular unemployment insurance benefits in New York State are eligible to participate in the Shared Work Program. The employee must serve a waiting week before receiving Shared Work benefit payments unless a waiting period has already been served on an existing claim. The Shared Work weekly amount will be the employee’s weekly unemployment benefit rate multiplied by the percentage that the employee’s hours and wages are reduced under the Shared Work plan. Because Shared Work is an alternative to layoffs, a plan can not result in benefits paid exceeding what benefits would have been paid if a total layoff occurred. Although a Shared Work plan may be approved for up to 53 weeks, only 20 weeks of benefits can be paid in a benefit year. Each plan will be examined individually to determine the amount of Shared Work benefits available. During a benefit year an employee may receive a maximum of 20 weeks of Shared Work benefits. However, an employee may not receive more in Shared Work benefits combined with regular unemployment insurance benefits in a benefit year than the person could have received under the regular unemployment insurance program alone (26 x regular benefit rate). The employee must be fully available for work for the Shared Work employer, but is not required to look for other work. Any work with a different employer or self-employment will reduce the amount of Shared Work benefits for which an employee is eligible. Employees are not eligible for Shared Work benefits in any week in which they receive supplemental unemployment compensation benefits (SUB Pay).