Wednesday, February 04, 2009
KILGORE — There may be help for East Texas employers facing tough economic times in the form of a little-known state program to help them keep from laying off employees.
The Texas Workforce Commission's shared work program could be the answer for some employers, Terry Felps, unemployment insurance field specialist for the agency, said Tuesday.
"It's an alternative program that can help you work through tough times," Felps told a group of about 40 people gathered at Kilgore's Meadowbrook Country Club. The session was sponsored by the Kilgore Economic Development Corp. and Workforce Solutions of East Texas.
"The program is a way to keep from laying off workers so you don't have to lose them," he said.
Felps said the program has benefits for employers and their workers. The employees retain their jobs and benefits while the employers keep valued and trained employees who could be brought back onto the payroll full time when the economy improves.
He said the program has flexibility. For example, a company could bring workers back full time on a temporary basis.
"Our goal is not to hinder your business," Felps said.
The shared work program allows employers to reduce the number of hours employees work by between 10 percent and 40 percent.
As long as the employer continues to pay for the hours worked, up to 60 percent of a normal work week, and continues paying for benefits, the state will pay the worker unemployment benefits to make up the difference.
The maximum weekly unemployment payment in Texas is $392, Felps said. For workers to draw the maximum payment, they would have to be making a salary range of $37,000 a year, he said.
Amanda Nobles, executive director of Kilgore Economic Development Corp., said many East Texas companies could use the program.
"Our goal in presenting this information is to help our businesses however we can — these are tough times," she said.