Today I want to share a few more details about this program as I think it might be one of the best options during this scary time. I know this will all pass, and this program seems to me a great option to help businesses that need to temporarily cut back. As always, please reach out to us if you have questions or need more information.
The Shared Work program provides Texas employers with an alternative to layoffs. TWC developed this voluntary program to help Texas employers and employees withstand a slowdown in business.
Shared Work allows employers to:
- Supplement their employees’ wages lost because of reduced work hours with partial unemployment benefits.
- Reduce normal weekly work hours for employees in an affected unit by at least 10 percent but not more than 40 percent; the reduction must affect at least 10 percent of the employees in that unit.
Weekly Benefits Paid on Shared Work
The percentage reduction in the employee’s work hours determines the amount of unemployment benefits a worker receives each week. If the worker’s hours are reduced by 20 percent, the worker will receive 20 percent of their weekly benefit amount. Consider this scenario, for example:
- An employee is qualified to receive $400 in regular unemployment benefits.
- A company cuts that employee’s hours from 40 per week to 32 per week — a 20 percent reduction.
- To determine the amount of Shared Work benefits the worker would receive, multiply $400 (the regular benefit amount) by .20 (percent reduction in hours), which equals $80.
- That eligible worker would receive $80 in Shared Work benefits each week in addition to their regular wages for the 32 hours worked.
Shared Work does not require a one-week waiting period for benefit payment.
How to Apply for a Shared Work Plan
Log on to Employer Benefits Services (EBS) to submit your Shared Work Plan online. EBS online is fast, easy, secure, and available 24/7.
To complete your Shared Work Plan application, you will need:
- Your company’s name, address, telephone number, fax number, and the contact information for an authorized representative with signature authority
- Your TWC Tax Account Number
- The names and Social Security numbers of all participating employees you want to enroll in the plan
If you have any questions, contact TWC’s Shared Work Department:
- By phone: 512-340-4337 or 888-741-0446 toll-free
- By email: firstname.lastname@example.org (When I spoke with them, they recommended email for questions due to phone volume.