Reed's Work Share-Jobs Retention Initiative Included in President's Budget Proposal
WASHINGTON, DC - The Fiscal Year 2012 budget proposal President Obama released this morning includes a work share proposal modeled on legislation U.S. Senator Jack Reed (D-RI) introduced in the last Congress and is readying to reintroduce in the 112th Congress.
"I am pleased the President's budget recognizes the need to bolster work share," said Reed, who has introduced two work share bills in the past two years including the Keep American's Working Act in August of 2009, as well as an updated measure, the Preventing Unemployment Act in August 2010.
"Work share is a jobs retention initiative that is a win for business, a win for workers, and a win for taxpayers. The program reduces layoffs by allowing employers to temporarily reduce hours while maintaining benefits, and ensures workers have partial Unemployment Insurance(UI) help to compensate them for the loss of income," said Reed.
Work share is a voluntary employer program that helps firms retain workers by reducing employees' weekly hours instead of laying them off.
The President's budget will provide temporary federal financing of short-time compensation benefits, also known as work share, and will encourage states to adopt and expand the use of the program.
Currently, 20 states across the country-- including Rhode Island -- operate work share programs to help people keep their jobs and help companies avoid expensive re-hiring and re-training costs.