How it works
A Shared-Work plan is for a group of workers affected by work slowing down. You can choose to cut their hours by 20 to 40 percent. Workers will share the hours. If the hours worked differ from the plan, they might not get Shared-Work benefits for that week.
If you have more than one group affected, you can make another plan for them. All workers in a group must have the same amount of hours cut. Your plan is active until the end date you pick or until business gets better.
Employees covered by a Shared-Work plan receive a percentage of their Unemployment Compensation (UC) Weekly Benefit Rate while they work a reduced schedule, if they are otherwise eligible.
Additional resources:
Employer Benefits and Unemployment Contributions
- Keeps your full staff for future growth.
- Saves money on hiring and training new workers later.
- Helps workers stay productive.
- Keeps experienced workers.
- Lessens money worries for workers.
- Keeps worker spirits up.
If you're a employer, your UC contributions might go up based on Shared-Work benefits paid out. If you're a reimbursable employer, you'll pay for the UC benefits your workers get.
Shared-Work lets you cut worker hours for a while and then bring things back to normal. This saves you from finding, hiring, and training new workers. Plus, it helps your workers avoid the financial problems of a full layoff.
Employer UC Contributions
If you are a contributory employer, the experience-rated portion of your UC contributions may increase based on the Shared-Work benefits that are paid.
If you are a reimbursable employer, you will be responsible for the portion of UC benefits that are attributable to the employee’s service with your company.
Employee Information
Employer Information
Frequently Asked Questions (FAQs) for Employers
No, an employer may limit a Shared-Work plan to a specific department or shift. You may have more than one Shared-Work plan.
Yes, workers who haven't worked for at least three months before the plan is sent can't join. Also, workers who are supposed to work 40 hours or more each week during the plan can't join either. Corporate officers can't join Shared-Work.
If a worker can get regular unemployment benefits, they can also get Shared-Work benefits until the Shared-Work plan ends or until their regular UC benefits end. If they don't go back to normal hours after the Shared-Work plan, they might still get regular UC benefits.
A Shared-Work plan can last up to 52 weeks. Employer are limited to a maximum of 104 weeks of shared work.
Yes, an employer can end a Shared-Work plan at any time by sending a written notice to the department. The department can also end a plan for good cause.
No, you can't lay off any workers in a Shared-Work plan while it's going on. Everyone in the same plan has to have the same cut in hours, and it has to be the same for everyone in a week. If you want to change the cut in hours, you have to write it down and get approval first.
Yes. However, after the Shared-Work plan ends, work with another employer could affect the employee’s eligibility for regular UC benefits, going forward.
No, Shared-Work workers don't need to register for work. But to get Shared-Work benefits, they have to be ready to work their usual hours with their Shared-Work employer.
If you get paid for time off during the week you're supposed to work less, it doesn't change your benefits. But if you work the hours and get extra pay for other days, your benefits will be decided differently. For example, if you work fewer hours from Monday to Thursday because of the plan, but get paid for a holiday on Friday.
If the employer gives health and retirement benefits, they still have to give them to you if you're in the Shared-Work plan. They have to treat you the same as other workers who aren't in the plan.
If any worker in the group is part of a union, the union has to agree to the plan in writing before the Department can approve it.
Yes.
No, the union cannot unilaterally modify or end an active Shared-Work plan.
The Shared-Work Program benefits the business and all the employees because it:
- Eliminates the need to train new employees when full-time work returns
- Maintains a high level of productivity and the skills of those employed
- Sustains the union workforce
Shared-Work gives more benefits to employees than just having their hours cut and getting partial benefits.
Shared-Work benefits are charged the same way as regular UC benefits.
Yes. The plan must include:
- Name
- Social Security number
- Normal hours worked per week
- The proposed reduced of hours per week for the employees in the “affected unit.”
Employers are told in writing when a plan is approved or disapproved. If approved, the plan will be effective the Sunday after the week the plan is approved.
As the employer, you need to tell your employees to apply for UC on the UC website to join the Shared-Work program. Also, you'll need to file claims for your employees every week.
Frequently Asked Questions (FAQs) for Employees
If your boss gives you health and retirement benefits, they still have to give them you the same benefits as other workers who aren't in the Sared-Work plan.
You'll get part of your weekly benefit based on how much your hours are reduced. For instance, if your weekly benefit is $400 and your hours are cut by 20%, you'd get 20% of $400, which is $80 in Shared-Work UC. But remember, the actual amount you get might be less because of deductions for things like taxes or debts. You can check your "Pennsylvania Unemployment Compensation Handbook" for more details.
It depends. If you don't already have unemployment benefits when the Shared-Work Plan starts, you'll have to wait one week without pay first. If you already waited a week, you don't have to wait again when the Shared-Work Plan starts.
No, you do not have to apply for another UC claim, because your current claim will be reactivated. But it is recommended that you reopen your current UC claim online to give the Department the most recent information.
Yes, you can work part-time for another employer while in a Shared-Work plan. Your Shared-Work benefits will not be affected by your other job. But you must be able to work during the normal work hours of the Shared-Work employer.
No, you don't need to tell about the money you earn from your part-time job while you're on a Shared-Work plan. But if the plan ends and you're still getting benefits, then you have to report all the money you earn from all your jobs each week.
No. However, to get Shared-Work benefits, you must be available for your normal weekly hours of work with the Shared-Work employer.
Yes, if anyone in the group has a special work agreement, their group representative has to agree to the Shared-Work plan in writing before it can be approved by the Department.
Yes.
No, the union cannot change or end an active Shared-Work plan.
The Shared-Work Program benefits the business and all the employees because it:
- Eliminates the need to train new employees when full-time work returns
- Maintains a high level of productivity and the skills of those employed
- Sustains the union workforce
While preventing a full layoff, Shared-Work provides significantly more UC benefits to employees, compared to employees who have simply had their hours reduced and filed for partial UC benefits.