The Connecticut Department of Labors Shared Work Program

The Connecticut Department of Labor’s Shared Work Program Keeping employees on the job during a business slow down.

What is the Shared Work program? Shared Work, also known as work sharing or short-term compensation, is a voluntary program that helps employers during business downturns by providing an alternative to layoffs. Rather than laying off some employees, employers are able to reduce the hours of work for an entire group of affected employees. Shared Work cushions the adverse effect of the reduction in business activity and keeps employees on-the-job for when business upturns. 2

Here’s How it Works Rather than being laid off, eligible employees work a reduced number of hours in the work week and receive a portion of their weekly unemployment compensation (UC) payment based on the percentage of the reduction in hours. 3

Here’s how Shared Work Compares to a Layoff John Smith normally works 40 -hours per week and earns $20 an hour in regular pay. Under the Shared Work program, John’s hours are reduced by 2 ½ day of work per week, from 5 days to 2 ½ days or a 50% reduction. How does this compare to a total layoff for John? 50% Work Reduction 100% Layoff Unemployment Compensation Short-Term Compensation $20 x 40 hours per week = $800 2 ½ days regular pay $400 Total weekly UC payment $400 + Weekly Shared Work payment $200 _______________ Total weekly income: $600 (A difference of $200 a week with the Shared Work program) 4

How do I receive payment? Methods of Payment Direct Deposit Free (subject to the rules of your bank) Benefits are deposited directly into your Checking or Savings account To sign up for Direct Deposit benefits, visit our website www. filectui. com, create an account with the DOL and select “Direct Deposit” as a Method of Payment Debit Card Offered to individuals who do not have or do not wish to open a checking or savings account or simply prefer the pre-paid card Can be used to get cash from an ATM, Bank, Credit Union or to make purchases directly Fees and surcharges may be incurred with the debit card method

Shared Work helps employees… • Maintain health and retirement benefits • Continue working versus being completely laid off in a challenging labor market • Reduce commuting cost • Retain a connection with their current employer. • Remain ready for when times get better and business increase. 6

The Shared Work program protects an employer’s greatest asset – its employees! When business is down, employers keep their workforce intact and employees on-the-job and are ready for when business demand increases. 7

Frequently Asked Questions • How does this work? Do I have to file each week just like regular unemployment? • Will there be a lot of paperwork to fill out? • Will my employment with a different part time employer effect my shared work payments?

Want to Learn More? CT Department of Labor Shared Work Telephone: 860. 263. 6660 Visit: Shared. Work. CT. com Email: DOL. Shared. Work@ct. gov 9