WorkShare - Avoid Layoffs

WorkShare plans may be submitted by any New Hampshire employer whose taxes are currently up to date and who is in good standing with the NH Department of Labor. They must certify that they are averting layoffs to full time or permanent part-time employees by reducing the number of hours worked between 10% - 50% in a specific class unit.

The reduction must be spread equally across all employees in the area and the employer must continue to provide health care benefits currently in place. A plan cannot start prior to 21 calendar days after submission of the plan and the plan cannot exceed 26 weeks, although a new plan can be submitted at the completion of a plan. WorkShare Plan denials can not be appealed; although an employer may submit a new plan for consideration.

Plans will not be approved for seasonal employment during the off season or as a subsidy for intermittent employment.

Upon approval of a WorkShare plan an employee must submit either an initial claim or reopen a claim for unemployment compensation and be approved to receive benefits under RSA 282-A. If approved, they will receive a weekly benefit rate, and a written determination detailing the employers and wages used in the base period to calculate the weekly benefit amount. If after reviewing the determination, the employee does not agree with the weekly benefit rate, they may contact us to provide documentation of missing wage information or have the right to file an appeal.

If the employer has employees covered by a collective bargaining agent or union, the plan must be approved, in writing, by the collective bargaining agent who cover the affected employees.

Per NH law, one wait week per benefit year must be served by individuals collecting NH Unemployment Compensation, including WorkShare participants, unless they have already served their wait week in their current benefit year.

Individuals participating in a WorkShare plan are not required to look for new work. They must be able and available for the normal work week with the WorkShare employer and must work all the hours offered by the WorkShare employer in any given week up to the employee's usual weekly hours.

All WorkShare benefits are charged to the account of the WorkShare employer, regardless of the length of time the employee worked for the WorkShare employer. Employers liable for payments in lieu of contributions (reimbursable employers) will be charged and billed for the full amount of WorkShare benefits paid to their employees. Employers with a negative balance must agree to reimburse dollar for dollar WorkShare benefits in order for a plan to be approved.

WorkShare provides benefits to employees who are experiencing a reduction in hours at their location or within their specific unit. Business owners and corporate officers are generally not eligible for WorkShare benefits.

This program provides an alternative to layoffs during a difficult time. Employers keep trained workers and are able to get up and running to full capacity faster, without having to rehire and/or train staff.

Employees keep their jobs and receive unemployment benefits while their hours are reduced rather than eliminated; they stay partially employed instead of becoming unemployed.

Eligible WorkShare participants will receive a percentage of their weekly benefit amount equal to the percentage of the hour reduction. Weekly benefit amounts may be reduced for additional hours worked. Reductions shall be made when an employee works for a non-WorkShare employer(s) and earns more than $128.

Employees maintain their health benefits at their employer. Retirement contributions made by an employer on behalf of the employee will be based on hours worked. Any other fringe benefits may be continued or discontinued at the discretion of the employer and must be addressed in the plan.

The WorkShare benefit has a specific calculation to determine how much a person will be eligible to receive in unemployment benefits. The calculation is the person's regular weekly unemployment benefit amount multiplied by the percentage reduction in the individual's weekly hours of work. For example if the weekly benefit amount is $427 and the individual has a 40% reduction in their weekly hours of work then the amount they would be eligible for is $171. ($427 * 40% = $171)

The employer will submit a continued claim for each week that the individual participates in WorkShare. It is important that the employer submit the continued claim timely or benefits for the week may be denied. For unemployment compensation purposes the week begins on Sunday and ends on Saturday. To be timely the continued claim must be filed within 7 days of the Saturday ending date.

If the employee has additional wages earned from a non-WorkShare employer(s) within a week they must be reported on the continued claim. Employees are responsible for informing their WorkShare employer about any gross wages earned during the week claimed. Gross wages must be reported when earned, not received. Gross wages are determined by multiplying the hours worked times the rate of pay. Timely reporting is required to prevent overpayment.

The non-WorkShare wages are considered when determining how much unemployment compensation is paid for the week. The WorkShare benefit amount shall be reduced dollar for dollar when the amount received from the non-WorkShare employer exceeds $128.

For example, if the employee works for a non-WorkShare employer and earns $45.00, they could still be eligible for $171.00 since the $45.00 is less than $128 in addition to the wages earned from the employer for hours worked.

If the employee works for a non-WorkShare employer and earns $150.00, the amount of benefits would be reduced by the amount exceeding $128 ($150-$128=22; $171-$22=$149).

Additional amounts under a Federal Assistance Compensation program may be payable when that program is in effect.