What Is Work-Sharing?
Work-sharing is an innovative unemployment insurance (UI) program that has saved nearly half a million jobs over the past five years. By giving employers an alternative to layoffs when facing a financial downturn, work-sharing helps businesses retain skilled workers until economic conditions improve, and helps employees maintain financial stability until they return to full-time work.Under work-sharing, distressed employers reduce workers’ hours instead of laying people off, and the program helps the workers recoup some of their lost income through UI compensation.Twenty-four states still do not have work-sharing programs. They have until the end of 2014 to enact conforming legislation in order to qualify for their state’s share of $100 million in federal grants for both program implementation and promotion/enrollment.
More Resources for Advocates
This resource page is for advocates who are promoting the adoption of UI work-sharing (a.k.a. “short-time compensation”) programs in their states. The materials, prepared by the National Employment Law Project and the Center for Law & Social Policy, can be used to educate members of the executive and legislative branches, businesses, worker advocates, and the general public about the value of work-sharing and the mechanics of enacting a state work-sharing law.
Additional Resources:
Primary Resources
- Frequently Asked Questions | A basic introduction to work-sharing
- Report: A Breakthrough for Work-Sharing | Summary of the Layoff Prevention Act of 2012, the federal work-sharing law.
- NELP Model Legislation | With explanatory cover memo
- Seizing the Moment: A Guide to Adopting State Work-Sharing Legislation | Explains the 9 federal requirements for state legislation, plus optional federally-approved provisions
- US Department of Labor Work-Sharing Website
Additional Resources:
- Legislative Guidance from USDOL | A primary technical resource used by state workforce agencies to develop and review state work-sharing proposals (from UI Program Letter 22-12, Change 1)
- List of Federal Work-Sharing Grant Dollars Available by State
- Newspaper Articles and Editorials | Clips on work-sharing’s benefits for business, workers, and the economy
- State-Specific Fact Sheets: AL, AK, DE, GA, HI, ID, IL, IN, KY, LA, MS, MT, NE, NV, NM, NC, ND, SC, SD, TN, UT, VA, WV, WY | Estimates of potential jobs saved in 2009 if state had an active work-sharing program; and analysis of benefits for manufacturing sector (for states with substantial manufacturing sector)
- NELP/CLASP Work-Sharing Webinar | November 20, 2013