Employment Security helps Washington businesses survive slumps - September 20, 2007

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Media contact: Hilary Young, 360-902-9454

Audio: http://fortress.wa.gov/esd/portal/info/newsroom/audiofiles/audionews/

OLYMPIA – Over the past two years, the Employment Security Department has helped more than 400 employers stay in business by providing partial unemployment benefits to workers who were placed on a part-time schedule while the companies weathered tough times.

Under the department’s Shared-Work Program, employers avoid layoffs by reducing their workers’ hours, which allows the company to reduce its payroll costs while maintaining a qualified work force until business picks up again. The employees receive partial unemployment benefits so that they can maintain a steady income during the decline.

“When our state’s economy is booming, it’s easy to overlook the fact that not all industries benefit from that strength,” said Employment Security Commissioner Karen Lee. “Some employers have seen slowdowns over the last couple years, and we have helped many of them ride out the tough times without losing their skilled employees.”

Some 437 of the 506 Washington businesses that participated in the Shared Work Program in 2005 and 2006 are still in business, and 4,324 of 6,885 workers still have jobs with their same company.

Washington-based companies that have been in business at least six months are eligible for the program, from large corporations to those with only one employee. It is not available to businesses that are seasonal or traditionally employ part-time workers. 

Details about the Shared-Work Program and a video featuring employers and workers who have been helped by the program are available online at www.sharedwork.go2ui.com. Employers also can apply over the phone at 800-752-2500.