Layoff aversion does not always require saving the same number of hours. Work Sharing lets employers temporarily spread a reduction in work across employees while unemployment insurance replaces part of the lost wages.
Michigan shows the fiscal case.
Michigan’s 2025 annual report says 105 employers used Work Share, covering 1,868 employees and 14,392 compensated weeks. The state estimates employers avoided separating 1,458 workers. It calculates that full unemployment for those workers would have cost about $7.6 million, compared with about $1.6 million through Work Share.
Wisconsin shows scale.
Wisconsin reports that its Work-Share program has helped avoid nearly 14,000 layoffs, including more than 3,000 since October 2022. Employers can reduce hours for participating employees rather than eliminate positions while workers remain attached to the employer.
Washington shows employer value.
Washington surveyed SharedWork employers in 2025. Ninety-two percent rated their experience positively or better, and 78 percent said they were certain SharedWork helped their business survive an economic downturn.
California already has the product.
California EDD’s Work Sharing Program lets eligible employers reduce employee hours and wages by 10 to 60 percent as a temporary alternative to layoffs. Employees can receive partial unemployment benefits while keeping their jobs. EDD has also used Dun & Bradstreet risk data to target outreach to financially stressed employers.
A practical trigger
When an employer says, “We have enough work for everyone, but not enough work for everyone at full hours,” Work Sharing should be one of the first options discussed.
Sources
Michigan UIA, 2025 Work Share Annual Report
Wisconsin DWD, Work-Share Program
Washington ESD, SharedWork employer survey
California EDD, Work Sharing Program