Adjust Text Size
For Immediate Release
February 17, 2010
Contact: Sally Kohr
(717) 787-4651

Alloway Cosponsors Work Share Legislation to Prevent Layoffs  

HARRISBURG – Employers would have the option to avoid layoffs and preserve jobs under legislation cosponsored by Senator Richard Alloway II (R-33).  

Senate Bill 1205 would allow employers who are facing the prospect of layoffs to implement a temporary work share program that would reduce employee hours and allow those employees to receive proportionate unemployment compensation benefits in certain cases. 

"This legislation could help struggling local businesses protect current employees until the economy recovers," Alloway said. "The rising unemployment rate and slow economic recovery make it imperative to protect every job we can." 

Senate Bill 1205 would allow employers to reduce normal weekly hours by no less than 20 percent and no more than 40 percent. The work share plan would be voluntary for employers and would have to be reviewed and approved by the union of any affected employees and the Department of Labor and Industry.  

Under Senate Bill 1205, a work share plan could not exceed 52 weeks, and no employer would be permitted to take part in work share plans for more than 104 weeks out of a 156-week period. Participating employers must also agree to not lay off employees during the term of the plan and not hire or transfer new workers into the affected unit. 

The legislation was referred to the Senate Labor and Industry Committee for consideration.