Shared Work program 2025: Confusion about hours vs earnings deduction - full payout possible?
I just started back on the Shared Work program at my restaurant after they cut my hours from 30 to 17 per week. This is my first time using unemployment since pre-pandemic, and I'm getting totally different information from everyone! My manager insists that since my normal work week is 30 hours, I can work up to 15 hours (half) and still get my FULL unemployment benefit. That doesn't sound right to me at all. I thought ESD deducts whatever you earn from your weekly benefit? Plus I'm getting tips on some shifts which pushes my actual earnings higher than just my hourly wage. Does anyone know if Shared Work benefits are calculated based on hours worked or actual earnings? The ESD website isn't clear and I'm worried about accidentally committing fraud if I report something wrong.
16 comments
Ashley Adams
I was on Shared Work last year and your boss is completely wrong! ESD absolutely deducts your earnings from your benefit amount. The formula is pretty straightforward - they take 75% of what you earn and subtract it from your weekly benefit. So if your weekly benefit is $400 and you earn $200 that week, they'll deduct $150 (75% of $200) and you'll get $250 in benefits. The Shared Work program is different from regular unemployment because you can work more hours without losing ALL benefits, but it's definitely not a "work half hours, get full payment" situation.
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Zoe Gonzalez
•Thank you! That makes way more sense than what my boss was saying. But wait - so does that mean I need to report my tips too? Or just my base hourly wage?
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Alexis Robinson
ur boss is prob thinking of the old pandemic rules maybe?? things were diff back then with all those extra programs and stuff. i think theres a specific form for shared work that ur employer fills out, its not the same as regular UI
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Aaron Lee
•Yes they do use a special form! My company has been on Shared Work since last November. Your employer submits a form showing your hours for each pay period. But you still have to file your weekly claim and report ALL earnings including tips!!
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Chloe Mitchell
This is such a common misconception about Shared Work! I had to deal with this exact issue when working with several small businesses who were entering the program last year. Here's the real deal: 1. You MUST report ALL earnings including tips, not just hours worked 2. The deduction is 75% of your gross earnings from your weekly benefit amount 3. The benefit of Shared Work vs. regular UI is that you can work more hours while still keeping SOME benefits 4. Your employer must submit a special Shared Work claim each week showing your reduced hours Your boss is probably confused because Shared Work does allow you to work more hours than regular UI while still getting benefits, but it's absolutely not a "work half hours, get full payment" situation.
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Zoe Gonzalez
•Ok this is starting to make sense. I think my boss was just trying to make the hour cuts seem less bad by saying I'd get full unemployment to make up for it. So to be clear, I need to report both my hourly wages AND my tips when I file my weekly claim? I'm scared of messing this up.
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Michael Adams
The confusion probably comes from the way Shared Work is advertised to employers. ESD tells businesses they can reduce employee hours by 10-50% and employees can receive partial unemployment benefits to replace a portion of their lost wages. But it's still subject to the same earnings deduction formula - report all earnings, they deduct 75% of gross from your benefit. And yes, you ABSOLUTELY must report tips! ESD considers tips as earned income. Not reporting them would be considered fraud and could result in overpayment notices, penalties, or even disqualification.
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Natalie Wang
•THIS!!! I got hit with a $2,700 overpayment notice last year because I didn't realize cash tips had to be reported too! Thought it was just credit card tips that showed up on my paystub. Don't make my mistake!!
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Noah Torres
Has anyone actually been able to reach ESD to get clarification on these rules lately? I've been trying for THREE WEEKS to talk to someone about my Shared Work claim and can't get through. Phone system just hangs up on me every time saying "high call volume" or puts me on hold for 2+ hours then disconnects. It's beyond frustrating!
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Michael Adams
•I recently discovered a service called Claimyr that helped me get through to an ESD agent in about 20 minutes after weeks of trying on my own. They basically call ESD for you and then connect you when they get through. It saved me so much frustration with my Shared Work questions. Their website is claimyr.com and they have a video showing how it works: https://youtu.be/7DieNd3C7zQ?si=26TzE_zGms-DODN3. I was skeptical but it actually worked - the agent I spoke with cleared up all my confusion about reporting requirements.
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Ashley Adams
One more important thing about Shared Work - you MUST still do your job search activities every week unless your employer has specifically been approved for Standby status. A lot of people don't realize this and end up getting disqualified. The rules changed after the pandemic special programs ended.
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Zoe Gonzalez
•Wait what?? My boss told me we don't have to do job searches on Shared Work! Is that wrong too? I haven't been doing any job search activities for the past 3 weeks...
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Aaron Lee
job search requirements for shared work depend on if ur employer applied for standby or not!! ask ur HR person if the company has standby status for the shared work plan. if yes, ur good. if no, then yeah u need to do 3 job search activities every week. but most employers do get standby approved for shared work
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Zoe Gonzalez
•Thanks! I'll ask my manager tomorrow if we have standby status. Really hoping we do because I haven't been doing job searches and I don't want to get disqualified or have to pay anything back.
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Chloe Mitchell
To summarize and clear up any remaining confusion: 1. Shared Work benefits ARE reduced by your earnings (75% deduction formula) 2. You MUST report ALL earnings including tips 3. Job search requirements apply UNLESS your employer has standby status 4. Your employer must submit Shared Work claims showing your reduced hours 5. You still must file your weekly claim in addition to what your employer submits The main advantage of Shared Work over regular UI is that you can work more hours while still getting some benefits, and you maintain your connection to your employer. It's a great program when understood correctly!
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Zoe Gonzalez
•Thank you all so much for clearing this up! I'm going to talk to my employer tomorrow about the standby status and make sure I'm reporting everything correctly going forward. Better to fix this now than deal with overpayment issues later!
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