The novel Coronavirus (COVID-19) has all but brought the global economy to a halt, and perhaps no industry has felt it’s effects more than restaurant and hospitality. Governor Gretchen Whitmer has signed Executive Order No 2020-10 to help provide relief to workers displaced due to the Coronavirus. Specifically the Order addresses the expansion of unemployment eligibility benefits and cost-sharing with employers. The Order specifies that:
In addition, there are resources available through the Unemployment Insurance Agency that may be helpful to employers and employees during this time. The first is a program called Work Share. This program provides an option for employers to reduce employee hours as opposed to cutting workforce. It’s meant to help employers retain their skilled workforce and allow employees to remain attached to their job. Employees are able to work a reduced number of hours and receive a portion of their weekly unemployment compensation based on the percentage of reduced hours. There are certain eligibility requirements including that an employee’s hours must be reduced by at least 15% but not more than 45%.
The second resource is called Employer Filed Claims (EFC). EFC allows employers to submit unemployment claims information online on behalf of full-time workers who are temporarily or permanently laid off. This allows employers to better manage the accuracy of the information, as well has providing the ability to have a record of all approved layoffs to match against UIA charges.
As work is done to mitigate the economic effects of the Coronavirus there are ongoing developments. We will continue to monitor the situation closely and provide updates as they are made available.