The pandemic has been tough on businesses all over the U.S. as many were forced to furlough their employees. Employers, in an effort to try to support furloughed employees may be left wondering if there are any ramifications for giving them additional hours. If you currently have furloughed employees that are receiving unemployment benefits, and are concerned about giving them too many work hours to qualify for Unemployment Insurance, the short answer is that you don’t need to worry.
As long as the employee has not exhausted their benefits
The CARES Act, which was enacted back in March, extended the unemployment insurance benefits from 26 weeks to 52 weeks, however, the additional $600 per week that furloughed employees were receiving expired on July 31st. This, in turn, could mean that they remain in need of work.
If you are an employer that can afford to provide additional, limited work hours to previously furloughed employees, note that it is possible to hire them back on without risking the termination of their unemployment insurance benefits. Employers will not negatively impact their employees unemployment benefits by giving them additional hours as long as the employees has not exceeded their hourly cap or exhausted their weekly benefits.
Be careful of hours
Another way to ensure that you don’t impact your employee’s benefits is to ensure that you’re giving them the proper amount of hours. As long as an employee is hired back with 30 hours or less per week, according to California state law, then they will be able to keep their unemployment insurance benefits.
LTD Global can assist with your HR Administration needs
If you need assistance or further advice about your employee’s unemployment insurance benefits, LTD Global is happy to assist you. We understand the uncertainty that the pandemic has brought about and if you have any questions regarding unemployment benefits or other HR related information, feel free to contact LTD Global today!