LIEB BLOG

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Showing posts with label worker. Show all posts
Showing posts with label worker. Show all posts

Tuesday, September 07, 2021

New Legislation - Shared Work Program Gives Employers Flexibility to Avoid Layoffs

Struggling employers can reduce their employee's hours and those employees can offset their lost wages with unemployment insurance (UI) under the Shared Work Program, which now offers even more flexibility thanks to S.4049, which Governor Hochul signed on Labor Day (9/6/21).


The Shared Work Program provides employers with an alternative to laying off workers during business struggles by allowing employees to receive partial UI benefits while working reduced hours. 


Previously, under the Shared Work Program, employees could only collect partial UI benefits for up to 26 straight weeks, regardless of what their maximum benefit entitlement is under UI. 


Now, the new legislation changes the cap on shared work benefits from 26 straight weeks to an amount of time equal to 26 weeks' worth of benefits. In other words, employees can now collect UI benefits until they have reached their maximum benefit amount under UI. 


This change will ultimately extend the length of time a worker will receive benefits under the Shared Work Program.


According to Gov. Hochul, "these bills [workforce legislation package] will ensure that workers receive fair wages, benefits, and are kept safe in their work places." 


How big of an impact do you think this new legislation will have on workers and employers going forward?