Fact Finders: Employers dealing with workers making more on unemployment

Fact Finders: Employers dealing with workers making more on unemployment
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TUCSON, Ariz. (KOLD News 13) - As businesses start to reopen, some employers may be having trouble getting their workers back on the clock.

With the increase in the weekly amount of unemployment compensation, employers may find employees not wanting to return to work because they receive more money by being unemployed than by working.

“If you don’t want to come back to work for whatever the reason is - once it’s offered to you, it means you aren’t going to be eligible for unemployment," said Jessica Post.

Post is the director of employment and labor at Fennemore Craig. She offered this example:

An employee who works 25 hours per week for an employer will not be eligible for unemployment in Arizona. Yet, that same employee would have received $840 per week on unemployment ($240 under Arizona law and $600 through the CARES Act).

Employers need to understand how unemployment compensation works in Arizona, which is different right now with COVID-19 and the CARES Act.

Post said Arizona does have a Shared Work Program that actually allows some flexibility with having employees work fewer hours and still being eligible unemployment.

“I do think employers need to be aware of it because while this pandemic has been hard on everybody, including employees, and I think employers will fair better if they understand what’s out there and then work with their employees to try to help maximize things for the employees also, as well as the business," said Post.

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