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Work Share Employer

  • Work Share is an alternative to layoffs during temporary slowdowns or other economic disruptions. Instead of laying off employees, an employer reduces hours for a work unit, and employees receive partial unemployment benefits to offset part of their lost wages. Employers must certify that the plan is being used in lieu of layoffs.

  • Yes. Employees must: 

    • Have enough wages in the base period to qualify for regular unemployment benefits.
    • Have earned at least $5,328 in one calendar quarter.
    • Have wages in at least two calendar quarters in the base period.
    • Stop certifying on any existing UI claim once the Work Share plan begins.
    • Have a selected payment method (debit card or direct deposit). For assistance with direct deposit, call 1‑866‑500‑0017 and choose the option for payment method help.

    Note: If an employee does not choose a payment method, the system defaults to a debit card mailed in a plain white envelope.

  • Yes. However, if they work more hours in their other employment than were reduced by the Work Share employer it is possible that their weekly unemployment benefit amount would be affected. For example, if they are reduced 10 hours with the work share employer and work 12 hours with a different employer, they will not receive benefits for that week. Employees must report the number of hours worked each week with another employer to the work share employer.
  • No. You may not lay off any employees in a Work Share plan during the duration of the plan. However, if layoffs are unavoidable you can terminate the Work Share plan for that unit and create a new plan.
  • No. The union cannot unilaterally modify or terminate a Work Share plan.
  • Employers may file an application online through the Michigan Web Account Manager (MiWAM).
  • Submit written notice to UIA at UIA‑WorkShare@Michigan.gov. UIA may also terminate a plan for good cause.

  • Weekly benefit amounts vary based on a worker’s past employment history. For example, if a worker qualifies for a weekly benefit amount of $530 and participates in a Work Share program with a 20 percent reduction in hours, the worker would receive a Work Share payment of $106 ($530 × 20%) in addition to their wages.

    Hourly Reduction UIA Weekly Benefit Amount Work Share Amount
    10% $530 $53
    20% $530 $106
    30% $530 $159
    40% $530 $212
    45% $530 $238
    50% $530 $265
    60% $530 $318

  • Employees may receive benefits until:

    • The Work Share plan ends, or
    • They reach up to 52 weeks of unemployment benefits

    Employees who have already used wages on a previous unemployment claim may exhaust benefits sooner.

  • Approval or denial appears in the employer’s MiWAM account when the plan is eligible for review. Employees will receive a UIA Form 1054 (Work Share Plan Notice to Employees) in the mail.

  • No. A Work Share plan can apply to a department, shift or organizational unit. Employers are given flexibility to organize each work unit they want to participate in Work Share.
  • Yes, employers can participate in Work Share after re-calling their employees. There is currently no waiting period to apply. Note: Returning employees who had already filed and are receiving unemployment insurance benefits on their regular claim must stop certifying for benefits on the regular claim, and will begin receiving benefits on the Work Share plan.
  • All employees participating in the same Work Share plan must be treated equally, with the same percentage of hours reduced. However, there may be multiple Work Share plans for an employer covering different units. For example, one Work Share plan may reduce the employees hours by 25 percent and another plan for a different department, unit, location, may reduce hours by 40 percent.
  • Yes. The plan must include the name, Social Security number, normal hours worked per week, and the proposed reduction of hours per week for the employees in the affected unit.
  • Participating employees must have earned a sufficient amount of wages in order to establish a regular unemployment claim in order to receive Work Share benefits. The program requires employers to maintain the fringe benefits of participating employees; and if the employees are covered by a collective bargaining agreement approval must be obtained from the bargaining representatives to participate.

    To receive approval for a Work Share plan the employer must certify that the plan is in lieu of layoffs and would result in a reduction in hours and wages for all employees listed on the Work Share plan.

    • Employers must have paid wages for at least 12 of the previous quarters.
    • Employee hours/wages may be reduced by a minimum of 10 - 60%.
    • Experience account balance must have a positive reserve
    • All employees in the affected unit participate in the plan.
    • A plan must include a minimum of two employees.
    • Plan may be approved for any period of up to 52 consecutive weeks.
    • Work Share does not apply to seasonal, temporary, or intermittent employment.
    • Employers may have multiple plans covering separate work units.
    • Employers are given flexibility to organize each work unit or work division they want to participate in Work Share.
  • If the time off is a fringe benefit and does not exceed the agreed upon work reduction hours, the employee is eligible for Work Share. For example, there is a 20% reduction for Work Share (one day off) and the employee takes the remainder of the week for a paid vacation (fringe Benefit). However, if, for example the employee takes a paid 40 hour vacation with no reduction taken for the Work Share hours, that employee is not eligible for the Work Share benefit for that week and as long as this condition is in place.
  • The employer will be required to submit certifications on behalf of their employees on a weekly or biweekly basis.

    It is the employer’s responsibility to inform their employees that they have been included in a work share plan. Visit the UIA Work Share website at Michigan.gov/workshare for a flyer which may be provided to your employees about Work Share.
  • For information, call 1-855-484-2636, then select Option 6. You can also visit Michigan.gov/WorkShare.

    There are also other online resources available including printable Work Share brochures and employee guide sheets.  You can also email UIA-WorkShare@Michigan.gov.

  • Use of the Work Share program immediately minimizes or eliminates the need for layoffs, enables a business to retain trained employees, and avoid the expense of recruiting, hiring and training new employees. Work Share also saves employers money. In addition, employees retain their fringe benefits and are spared the hardship of full unemployment.