Frequently Asked Questions for Employers

• How does it work in practice?

  A firm facing a 20% reduction in production may consider laying off one-fifth of its workforce. Instead, when faced with this situation, the company can retain its total workforce on a four-day-a-week basis. This reduction from 40 hours to 32 hours cuts production—and payroll—by the required 20% without reducing the number of employees.
  
  All affected employees receive their wages based on four days of work. In addition, those employees can receive a portion of unemployment compensation benefits equal to 20% of the unemployment compensation weekly benefit amount payable had the employee been unemployed a full week.
  
  Based on a 40-hour week, the employer reduces the work schedule by 20%. The employer submits a plan for this reduction to Kansas Department of Labor (KDOL) and is approved under the Shared Work Program.
  
  In this example, the employee qualifies for regular unemployment compensation with a weekly benefit amount (WBA) of $488 (actual WBA will vary based on the employee).
  
            20% of 40-hour work week = 8 hours
            Employee works and earns wages for 32 hours
            20% x $488 WBA = $97
  
  This employee would receive $97 in unemployment benefits in addition to the 32 hours of wages earned during the week.
  
  Each week, the employer makes sure that they are meeting the Shared Work program requirements and submits a certification form to KDOL verifying who is affected.

• What are the business eligibility requirements?

  To participate in the Shared Work Program, an employer must:
  

  • have reduced the normal weekly work hours and corresponding wages by at least 20% but no more than 40%.
  • have a reduction that affects a business unit of two or more employees
  • apply the plan for reduced hours to at least 10% of the employees in the affected unit.
  • have established an experience rating.
  • not have a negative balance in their unemployment tax account or be delinquent on unemployment tax reports or payments.

  
  The Shared Work Program is not available for seasonal layoffs.

• Who does the Shared Work Program cover?

  Employees may participate in a Shared Work plan if they meet the following conditions. They must:

  • be able to work and available for full-time work with the participating employer.
  • be eligible for regular unemployment benefits in the state of Kansas.
  • accept all work offered by the participating employer for the claim period filed.
  • not work more than the reduced hours specified in the plan.
  • have valid authorization to work in the United States, if not a U.S. citizen.
  • report to their employer any hours worked with other employment.
  • work at least 8 hours a week.

  
  The Shared Work Program does not cover seasonal employees.
  
  An employee will be considered seasonal if they typically work for a period of six months or less and the period of employment begins in approximately the same part of the year (e.g., summer, winter or holiday season)—regardless of how many hours the employee is expected to work each week.
  
  Employees who are participating in the Shared Work program may receive benefits for up to 26 weeks.

• How do I apply?

  1. Download the one-page form from dol.ks.gov/SharedWork
  2. Complete it digitally.
  3. Attach the completed digital form to an email that also contains the requested details about affected employees.
  4. Send the completed digital form and employee list to KDOL.SharedWork@ks.gov.
  
  Employers may also print and mail the form and employee list to:
  Kansas Department of Labor – Shared Work Program
  401 SW Topeka Blvd.
  Topeka, KS 66603-3182
  
  After the application is received, a decision will be made within 10 business days.
  
  Once approved, an employer’s Shared Work plan is valid for one year from the date the application was received.

• What are my responsibilities if my application is approved?

  While on Shared Work, the employer will be responsible for submitting a weekly certification form to the Kansas Department of Labor, certifying the number of hours worked by each employee during the week. The employer must make sure every week that at least 10% of employees in the affected unit qualify—that is, they have had their work hours reduced by 20% to 40%.
  
  If the employer does not meet this 10% requirement during a given week, then NO employees on the weekly certification will qualify for benefits that week. For example: A business unit of 37 employees must have at least 10% of its members—3.7 people, rounded up to 4—listed on the weekly certification.
  
  Employees should NOT file a claim for regular unemployment. Doing so will cause a delay in payment.
  
  The employer manages the Shared Work Program. This means that in addition to meeting the conditions for shared work each week and submitting the weekly certification, they must also keep employees informed about the program and help answer questions.