SECTION 1. Section 28-44-69 of the General Laws in Chapter 28-44 entitled "Employment Security - Benefits" is hereby amended to read as follows:

28-44-69. Worksharing benefits. -- (a) Definitions. - As used in this section, unless the context clearly requires otherwise:

(1) "Affected unit" means a specified plant, department, shift, or other definable unit consisting of two (2) or more employees to which an approved worksharing plan applies.

(2) "Eligible employee" means an individual who usually works thirty (30) hours or more per week for the employer submitting a worksharing plan.

(3) "Eligible employer" means any private employer who has had contributions credited to his or her account and benefits have been chargeable to this account, and who is not delinquent in the payment of contributions or reimbursements, as required by chapters 42 -- 44 of this title.

(4) "Fringe benefits" include, but are not limited to, health insurance, retirement benefits, paid vacation and holidays, sick leave, and similar advantages which are incidents of employment.

(5) "Intermittent employment" means employment which is not continuous but may consist of periodic intervals of weekly work and intervals of no weekly work.

(6) "Seasonal employment" means employment with an employer who displays a twenty percent (20%) difference between its highest level of employment and its lowest level of employment each year for the three (3) previous calendar years as reported to the department of labor and training, or as shown in the information which is available and satisfactory to the director.

(7) "Temporary layoffs" for this purpose means the separation of workers in the affected unit for an indefinite period expected to last for at least two (2) months but less than six (6) months.

(8) "Usual weekly hours of work" means the normal hours of work each week for an employee in an affected unit when that unit is operating on a full-time basis, not to exceed forty (40) hours and not including overtime.

(9) "Worksharing benefits" means benefits payable to employees in an affected unit under an approved worksharing plan.

(10) "Worksharing employer" means an employer with an approved worksharing plan in effect.

(11) "Worksharing plan" means a plan submitted by an employer under which there is a reduction in the number of hours worked by the employees in the affected unit in lieu of temporary layoffs of some of the employees.

(b) Criteria for approval of a worksharing plan. - (1) An employer wishing to participate in the worksharing program shall submit a signed written worksharing plan to the director for approval. The director shall approve a worksharing plan only if the following requirements are met:

(i) The plan identifies the affected unit or units and specifies the effective date of the plan;

(ii) The employees in the affected unit or units are identified by name, social security number, the usual weekly hours of work, proposed wage and hour reduction, and any other information that the director requires;

(iii) The plan certifies that the reduction in the usual weekly hours of work is in lieu of temporary layoffs which would have affected at least ten percent (10%) of the employees in the affected unit or units to which the plan applies and which would have resulted in an equivalent reduction in work hours;

(iv) The usual weekly hours of work for employees in the affected unit or units are reduced by not less than ten percent (10%) and not more than fifty percent (50%), and the reduction in hours in each affected unit are spread equally among employees in the affected unit;

(v) The plan specifies the manner in which the fringe benefits of the participating employees will be affected;

(vi) In the case of employees represented by a collective bargaining agent or union, the plan is approved in writing by the collective bargaining agents or unions which cover the affected employees. In the absence of any collective bargaining agent or union, the plan must contain a certification by the employer that the proposed plan, or a summary of it, has been made available to each employee in the affected unit;

(vii) The plan will not serve as a subsidy of seasonal employment during the off season, nor as a subsidy for intermittent employment; and

(viii) The employer agrees to furnish reports relating to the proper conduct of the plan and agrees to allow the director or his or her authorized representatives access to all records necessary to verify the plan prior to approval and, after approval, to monitor and evaluate application of the plan.

(2) In addition to the matters specified in this section, the director shall take into account any other factors which may be pertinent to proper implementation of the plan.

(c) Approval or rejection of plan. - The director shall approve or reject a plan in writing. The reasons for rejection are final and nonappealable. However, the employer shall be allowed to submit another plan for consideration and that determination will be made based upon the new data submitted by the interested employer.

(d) Effective date and duration of plan. - A plan is effective on the date specified in the plan or on the first Sunday following the date on which the plan is approved by the director, whichever is later. It expires at the end of the twelfth (12th) full calendar month after its effective date or on the date specified in the plan if that date is earlier; provided, that the plan is not previously revoked by the director. If a plan is revoked by the director, it terminates on the date specified in the director's written order of revocation.

(e) Revocation of approval. - (1) The director may revoke approval of a worksharing plan for good cause. The revocation order shall be in writing and shall specify the date the revocation is effective and the reasons for it. The revocation order is final and non-appealable.

(2) Good cause includes, but is not limited to, failure to comply with assurances given in the plan, unreasonable revision of productivity standards for the affected unit, conduct or occurrences tending to defeat the intent and effective operation of the plan, and violation of any criteria on which approval of the plan was based.

(3) The action may be taken at any time by the director on his or her own motion, on the motion of any of the affected unit's employees or on the motion of the collective bargaining agent or agents; provided, that the director shall review the operation of each qualified employer plan at least once during the period the plan is in effect to assure its compliance with the worksharing requirements.

(f) Modification of the plan. - An operational approved worksharing plan may be modified by the employer with the consent of the collective bargaining agent or agents, if any, if the modification is not substantial and is in conformity with the plan approved by the director, provided the modifications are reported promptly to the director by the employer. If the hours of work are increased or decreased substantially beyond the level in the original plan, or any other conditions are changed substantially, the director shall approve or disapprove the modifications without changing the expiration date of the original plan. If the substantial modifications do not meet the requirements for approval, the director shall disallow that portion of the plan in writing. The decision of the director is final and nonappealable.

(g) Eligibility for worksharing benefits. - (1) An individual is eligible to receive worksharing benefits, subsequent to serving a waiting period as prescribed by the director, with respect to any week only if, in addition to meeting other conditions of eligibility for regular benefits under this title which are not inconsistent with this section, the director finds that:

(i) During the week, the individual is employed as a member of an affected unit under an approved worksharing plan which was approved prior to that week, and the plan is in effect with respect to the week for which worksharing benefits are claimed;

(ii) The individual is able to work and is available for the normal work week with the worksharing employer.

(2) Notwithstanding any other provisions of this chapter to the contrary, an individual is deemed unemployed in any week for which remuneration is payable to him or her as an employee in an affected unit for less than his or her normal weekly hours of work as specified under the approved worksharing plan in effect for the week.

(3) Notwithstanding any other provisions of this title to the contrary, an individual shall not be denied worksharing benefits for any week by reason of the application of provisions relating to the availability for work and active search for work with an employer other than the worksharing employer.

(h) Worksharing benefits. - (1) The worksharing weekly benefit amount is the product of the regular weekly benefit rate, including any dependents' allowances, multiplied by the percentage reduction in the individual's usual weekly hours of work as specified in the approved plan. If the worksharing weekly benefit amount is not an exact multiple of one dollar, then the weekly benefit amount is rounded down to the next lower multiple of one dollar.

(2) An individual may be eligible for worksharing benefits or regular unemployment compensation, as appropriate, except that no individual is eligible for combined benefits in any benefit year in an amount more than the maximum entitlement established for unemployment compensation, nor shall an individual be paid worksharing benefits for more than twenty-six (26) fifty-two (52) weeks, whether or not consecutive, in any benefit year pursuant to an approved worksharing plan.

(3) The worksharing benefits paid are deducted from the maximum entitlement amount established for that individual's benefit year.

(4) If an employer approves time off and the worker has performed some work during the week, the individual is eligible for worksharing benefits based on the combined work and paid leave hours for that week. If the employer does not grant time off, the question of availability must be investigated.

(5) If an employee was sick and consequently did not work all the hours offered by the worksharing employer in a given week, the employee will be denied worksharing benefits for that week.

(6) Claims for worksharing benefits are filed in the same manner as claims for unemployment compensation or as prescribed in regulations by the director.

(7) Provisions applicable to unemployment compensation claimants apply to worksharing claimants to the extent that they are not inconsistent with the established worksharing provisions. An individual who files an initial claim for worksharing benefits shall be provided, if eligible, a monetary determination of entitlement to worksharing benefits and shall serve a waiting week.

(8) If an individual works in the same week for an employer other than the worksharing employer, the individual's worksharing benefits are computed in the same manner as if the individual worked solely with the worksharing employer. However, if the individual is not able to work or is not available for the normal work week with the worksharing employer, then no worksharing benefits are payable to that individual for that week.

(9) An individual who performs no services during a week for the worksharing employer and is otherwise eligible is paid the full weekly unemployment compensation amount. That week is not counted as a week with respect to which worksharing benefits were received.

(10) An individual who does not work for the worksharing employer during a week but works for another employer and is otherwise eligible is paid benefits for that week under the partial unemployment compensation provisions of this chapter. That week is not counted as a week with respect to which worksharing benefits were received.

(11) Nothing in the section shall preclude an otherwise eligible individual from receiving total or partial unemployment benefits when the individual's worksharing benefits have been exhausted.

(i) Benefit charges. - Notwithstanding any provisions of this title to the contrary, worksharing benefits shall be charged to the account of the worksharing employer. Employers liable for payments in lieu of contributions are responsible for reimbursing the employment security fund for the full amount of worksharing benefits paid to their employees under an approved worksharing plan.

(j) Extended benefits. - An individual who has received all of the unemployment compensation or combined unemployment compensation and worksharing benefits available in a benefit year is considered an exhaustee for purposes of extended benefits, as provided under section 28-44-62, and, if otherwise eligible under that section, is eligible to receive extended benefits.

SECTION 2. This act shall take effect upon passage.