- Who is considered an employee, and who is considered an independent contractor?
The definition of employment in CESA 8-70-115 is broad and inclusive, and it is not limited to the common-law relationship of master and servant (as used by the Internal Revenue Service). If there is an employer-employee relationship, it makes no difference how the employer describes the relationship. It does not matter if the individual is called an employee, partner, co-adventurer, subcontractor, agent, contract laborer, or independent contractor. It does not matter how the payments are measured, what they are called, or whether the individual is a full-time, part-time, or temporary employee.
The two main concepts used to determine who is an independent contractor are:
There are several other factors that may be considered in determining if an individual is an employee or independent contractor. For help in determining if a worker is an independent contractor or employee, contact the Unemployment Insurance Employer Services, Audits unit at (303) 318-9100, and select Option 4.
- The individual is free from control and direction in the performance of the service, both under the contract for the performance of service and in fact.
- The individual is customarily engaged in an independent trade, occupation, profession, or business related to the service performed.
- What records can be audited?
Our auditors perform a detailed audit of all records. A complete payroll audit involves an examination of all subsidiary records, including payment records for services that were not classified as employment or wages. CESA 8-72-107 requires that all records are open for inspection so that the records may be audited and verified at any reasonable time and as often as necessary.
- Why am I being audited?
There are 3 main types of audits.
Random audits are the majority of all audits. The U.S. Department of Labor requires the state of Colorado to audit 1% of all its employing businesses each year. The pool of employers is all employers registered with the Colorado Department of Labor &, Employment and that have a current unemployment insurance account number.Focused audits are generated by audit managers using a variety of state and federal tools and guidelines.Complaint, Tips, and Leads audits usually come from tips and leads furnished by former employees, competitors, or U.S. Department of Labor personnel.
- Complaint, Tips, and Leads
- If I own the corporation, why do I have to pay unemployment premiums?
Officers of a corporation who perform services for the corporation are considered employees of the corporation. The I.R.S. has established that a reasonable wage should be reported. Therefore, in lieu of any wages being reported, all draws, dividends and other distributions can be reclassified to wages.
- If I am an officer or shareholder of the corporation, why do I have to pay unemployment premiums?
Officers and shareholders of a corporation who perform services for the corporation are considered employees of the corporation. The I.R.S. has established that a reasonable wage should be reported. Therefore, in lieu of any wages being reported, all draws, dividends, distributions and constructive receipt of remuneration can be reclassified to wages.
Bond Interest Repayment
- What is the Bond Principal Repayment?
In order to increase the financial health of the Unemployment Insurance Trust Fund and provide relief to Colorado employers, a bond transaction totaling $630 million was secured in 2012. The bond was repaid in 2017. Effective with rate year 2018, the bond repayment assessment is no longer included in your premium rate.
- What is an employee leasing company?
A worker can have two employers for the same services when the worker is paid by a temporary-help contracting firm or an employee leasing company but performs services for a work-site employer.The temporary-help contracting firm or employee leasing company and the work-site employer are called co-employers.
- What conditions must be met to be considered an employee leasing company?
In order to be considered an employee leasing company you must:Provide services to a work-site employer under a written contract that stipulates that you will procure specified employees for the work-site employer with the intent to employ the specified employees on a long-term basis and not assign them to a series of limited-term assignments.-and-Designate yourself as the employer of such employees and retain the right of direction and control of such employees with regard to the responsibilities listed below.
- What are the responsibilities of an employee leasing company?
- Assigning employees to employer's work-site locations.
- Setting employees‚Äô rates of pay.
- Paying employees from the company's accounts.
- Discharging, reassigning, or hiring employees for the work site and yourself.
- Reporting, withholding, and paying any applicable taxes with respect to employees' wages.
- Aggregating all employees for the purpose of sponsoring and administering workers' compensation plans and any employee benefit plan.
- Maintaining employees' records.
- Providing programs for employees, such as professional guidance, which includes employment training, safety, and compliance matters.
- Addressing complaints, claims, or requests related to the employees.
- Sponsoring health-coverage plans for employees.
- Providing annual certification to the Unemployment Insurance Division that you meet all the criteria to be considered an employing unit or co-employer under CESA.
FTP Wage Reporting
- If my employer account number changed, do I need a new username?
No. You can use the same username that you've used before your account number changed. Just remember to put the new account number in each "S" record.
- What is an end of record terminator, or a hard return?
Some programs "wrap" the text, meaning that if the text continues past the left margin, the words will wrap to the next line. However, at the end of each line, there has to be a carriage return
- Can I submit multiple quarters in one file or do I need to submit separate files?
Answer The file may contain multiple quarters, as long as each "S" record's location 215-220 differentiates the quarters.
- Can I file multiple account numbers in one file or do I need to submit separate files for each account number?
The file may contain multiple account numbers, also, as long as each "S" record's location 147-161 differentiates the separate account numbers.
- I get an error after I click on the upload button. Why?
You are probably attempting to upload into the uploaded_files folder. The screen must be at the top level before attempting to upload. The file will programmatically move into the uploaded_files folder. Click on the Top folder.
- Who must pay unemployment insurance premiums?
You may be required to pay unemployment insurance premiums if you meet one or more of the following requirements: Paid wages of $1,500 or more in a calendar quarter during the current or preceding calendar year or, employed at least one person for some portion of a day in each of 20 different weeks during the current or preceding calendar year -or- Employed at least one person for some portion of a day in each of 20 different weeks during the current or preceding calendar year. Employed domestic help in a private home and paid cash wages of $1,000 or more to one or more workers in any calendar quarter. This provision applies also to local college clubs and/or local chapters of a college fraternity or sorority. Either paid cash wages of $20,000 or more to one or more agricultural workers in a calendar quarter or employed ten or more agricultural workers for some portion of a day in each of 20 different weeks during a calendar year. Are an agricultural crew leader. You are considered an agricultural crew leader if you: Furnish workers to perform farm labor for another person. Pay, either on your behalf or on behalf of another person, the workers you furnish for farm labor. Have not made a written agreement with another person under which the farm workers are designated as employees of that person. Are a religious, educational, or charitable nonprofit organization who meets the description in the federal Internal Revenue Code (IRC) 501 (c)(3) and employed four or more employees for some portion of a day in each of 20 different weeks during a calendar year. You are required to pay UI premiums even if you are exempt from federal unemployment premiums under the Federal Unemployment Tax Act (FUTA) 3306 (c)(8) Are subject to FUTA Acquired all of a Colorado trade, business, organization, or a substantial portion of the assets from a predecessor employer who is liable to pay unemployment insurance premiums. Acquired a part of a trade, business, or organization of an employer that, if considered separately, would be an employer as defined by CESA. Are a state agency, state-operated hospital or school of higher education, or a political subdivision of the state. Voluntarily elected to participate in the Unemployment Insurance and your voluntary election is approved.
- Which workers are not covered for unemployment insurance purposes?
Foreign agricultural workers who are holding type H2-A visas. Nonresident alien individuals holding various nonimmigrant visas, including student, exchange-visitor, foreign-vocational-student, and cultural-exchange-visitor visas. Exceptions would include student and exchange-visitor visas allowing work for no more than 20 hours per week during an academic year or 40 hours during summer breaks. Insurance agents who are paid by commission only. Students or spouses of students employed by a school, college, or university to which the students attend and are employed through a financial-aid program. Students participating in work-study or cooperative-education programs. Patients performing services for a hospital. Spouses employed by a sole-proprietor spouse or the spouse of a member in a partnership. Persons under 21 years of age employed by their parent operating a sole-proprietorship business or a parent in a partnership. Elected officials of a state or political subdivision. Members of a legislative body or of the judiciary of a state or political subdivision. Election officials. Members of the state National Guard or Air National Guard. Temporary workers for a government agency performing services during a fire, storm, snow, earthquake, flood, or similar emergency. Railroad workers insured by the Railroad Retirement Tax Act.
- What are the two major concepts used to determine who is an independent contractor?
An independent contractor is free from control and direction by you in the performance of the service under the contract agreed upon by you and the worker. An independent contractor is customarily engaged in an independent trade, occupation, profession, or business for others related to the service performed for you.
- What is a Liability Determination and why would I receive one?
A Liability Determination is a notice explaining that the Division of Unemployment Insurance has determined an employer is responsible for providing unemployment insurance coverage for its workers. The Liability Determination informs the employer that the workers are deemed employees in accordance with the Colorado Employment Security Act (CESA), therefore, the business is liable for paying unemployment insurance premiums by reporting employees‚Äô wages to the Division, typically on a quarterly basis.Liability Determinations are issued to employers under the following scenarios:
A former worker files for unemployment insurance benefits and the Division determines the employer is liable pursuant to Colorado law. The Division reviews the wages a worker has earned from all employers during a specified period. If, during that period, a business has not reported the worker‚Äôs wages and has not paid unemployment insurance premiums on those wages, the Division will make a determination as to whether the worker was engaged in services as an employee for the company. If it is determined the individual was, in fact, an employee, a Liability Determination will be issued notifying the employer of his or her responsibility to provide unemployment insurance coverage.
The Division conducts field audits to ensure employers are complying with the tax and benefit provisions of CESA. A Liability Determination must be provided to the employer when changes are made to an employer's account (for example, it is found that workers were not properly classified, were not reported as workers, or there were payroll-posting errors). The Liability Determination accompanies the audit findings and details the reason the changes were made to the employer's account. For more information regarding the audit process, please click here.
The Liability Determination becomes final unless a written request for an appeal is received within 20 days of the mailing date of the notice of liability. Click here for more information on how to file an appeal.
- What are the factors used to determine if you have an employer-employee relationship?
InstructionsA person who is required to comply with instructions about when, where, and how to work is ordinarily an employee. Some employees may work without receiving instructions because they are highly proficient in their line of work and can be trusted to work to the best of their abilities. However, the control factor is present if you have the right to instruct. The instructions may be verbal or written procedures that show how the desired result is to be accomplished.TrainingA person who is trained by an experienced employee, by correspondence, by required attendance at meetings, or other methods is not free from control because the training is an indication that you want the services performed in a particular method or manner. This is especially true if the training is given periodically or at frequent intervals. An independent contractor ordinarily uses his or her own methods and receives no training from the purchaser of services.Integration of ServicesIntegration of another person‚Äôs services into the business operations generally shows that the person is subject to direction and control. In determining whether integration exists, the scope and function of the business are identified and then a determination is made as to whether the services of the individual are merged into the business operations. When the success or continuation of a business depends upon the performance of certain kinds of services, the workers who perform those services may be subject to a certain amount of control by the owner of the business.Personal ServicesIf you require that a worker personally render a service, you are interested in the methods and the results. You are interested not only in getting a desired result but also in who does the job. Lack of control may be indicated when an individual has the right to hire a substitute without your knowledge or permission.AssistantsIf you hire, supervise, and pay assistants, you generally have control over all persons on the job. Sometimes one worker may hire, supervise, and pay other individuals. This worker may hire others as the result of a contract in which the worker agrees to provide materials and labor and accepts the responsibility only for the attainment of a result. In this case, the hiring worker may be an independent contractor. On the other hand, if that person hires, supervises, and pays assistants at your direction, the hiring worker may be acting as your employee in the capacity of a supervisor or representative.Continuing ServicesThe existence of a continuing relationship between an individual and the person for whom the services are performed is a factor indicating the existence of an employer-employee relationship. Continuing services may include work performed at frequent, recurring intervals, either on call or whenever the work is available. If the arrangement requires continuing or recurring work, the relationship is considered permanent. It makes no difference if the services are rendered on a part-time basis, are seasonal in nature, or are only for a short period of time.Set HoursThe establishment of set hours of work by you is a factor indicative of control. When you set the hours of work, you prevent the worker from controlling his or her own time, which is a right of an independent contractor. Even when fixed hours are not practical because of the nature of the occupation, a requirement that the individual work at certain times is an indication of control.Full-Time Servicesf a worker must devote full-time services to your business, you have control over how much time is spent working. An independent contractor, on the other hand, is free to work when and for whom he or she chooses. Full-time employment does not necessarily mean an 8-hour day or a 5-day week. The meaning may vary with the intent of the parties or the nature of the occupation.These conditions should be considered in defining "full time." Full-time services may be required even if a full-time schedule is not specified verbally or in writing. For example, workers may be required to produce a minimum volume of business, which compels them to devote all of their working time to that business.Location of ServicesWork that is completed on your premises does not, by itself, demonstrate control. However, it does imply that you have control, especially if the work could be done elsewhere. A person working in your place of business is physically within your direction and supervision. The use of desk space, a telephone, and clerical services provided by you places the worker within your direction and supervision. The fact that work is done off the premises does indicate some freedom from control. However, it does not, by itself, mean that the worker is not an employee. In some occupations, it is necessary for services to be away from your premises. This is true for employees of construction contractors.Set order of ServicesIf a worker must perform services in an order or sequence set by you, it shows that the worker may be subject to your control. This person is not free to follow his or her own patterns of work but must follow your established routines and schedules. Often, because of the nature of an occupation, you may not set the order of the services. However, if you retain the right to do so, control is demonstrated.ReportsControl is demonstrated if the worker is compelled to account for his or her actions by verbal or written reports submitted to you.Payment for ServicesAn employee is usually paid by the hour, week, or month. Independent contractors are paid a lump sum agreed upon for the total job. The guarantee of a minimum salary or the granting of a drawing account at stated intervals with no requirement for repayment of the excess over earnings tends to indicate the existence of an employer-employee relationship.ExpensesYour payments for the worker's business or traveling expense are a factor indicating control over the worker. Conversely, a lack of control is demonstrated when the worker is paid for an entire job and must take care of all incidental expenses. Tools and Materials If you furnish tools and materials, this is indicative of control over the worker. If the worker furnishes the tools and materials, it indicates a lack of control. However, consideration must be given to the fact that in some occupational fields it is customary for employees to use their own hand tools.InvestmentA person who invests a significant amount of money into the facilities used to perform services for another tends to show an independent status. On the other hand, if you furnish all of the necessary facilities, this indicates the absence of a worker's independent status. Facilities include equipment necessary for the work, but not the tools, instruments, clothing, etc., that are provided by employees as a common practice in their particular trade.
Paying Premiums and Filing Wage Reports
- How can I file my quarterly premium and wage reports?
Online: If your business has 100 or less employees, you may file using our application. If your business has more than 100 employees, you file your premiums using our application and report your wages using our File Transfer Protocol client. More>
Mail-in: You may also file by completing the UITR-1, Premium Report and UITR-1a, Wage Report that were mailed to you during the third month of each quarter.
- How are the premiums payments submitted?
When you submit your quarterly report online, a printable payment form is generated. Mail your payment with the payment form. If you are filing via paper, a return envelope is provided with the Premium and Wage reports that are mailed to you. Mail your payment with your premium and wage reports.
- How can I report wages for more employees than the paper form allows?
File online. You can file wage information for up to 80 employees. If you file your reports online, do not mail them. File via File Transfer Protocol for 80 or more employees. Request additional paper wage reports by calling the Customer Contact Center at (303) 318-9100, option 1 or (800) 480-8299 or emailing firstname.lastname@example.org
- When are quarterly premium and wage reports and premiums due?
They are due according to the following schedule: Reporting Quarter Must File and Pay By 1st quarter (January, February, and March) April 30 2nd quarter (April, May, and June) July 31 3rd quarter (July, August, and September) October 31 4th quarter (October, November, and December) January 31 If the due date falls on a Saturday, Sunday, or legal holiday, the report and its payment must be received on or by the next working day to be considered on time.
Can previously reported quarterly premium and wage reports be corrected?
To adjust information that was previously submitted on the Premium Report and/or the Report of Workers Wages use the following forms: UITR-3, Unemployment Insurance Quarterly-Report Adjustment pdf file UITR-6a, Multiple Quarter Adjustment of Workers' Wages pdf file UITR-6c, Social Security Number Corrections pdf file
Penalty and Interest Assessments
- What are the penalty assessments on delinquent reports?
You are assessed a $50 penalty for each quarter that your Unemployment Insurance Premiums Report is delinquent. If you are a newly subject employer, the penalty is $10 for each occurrence during the first four quarters of coverage.
- What are the penalty assessments on delinquent premiums?
If you owe delinquent premiums as of the computations date (June 30), you are assessed a delinquent - premium penalty equal to the amount of delinquent premiums or 1 percent (0.01) of the taxable payroll, whichever is less. This penalty is billed and payable in four quarterly installments.
- How is interest charged?
Interest is charged at a rate of 1.5 percent (0.015) per month or any portion of a month on delinquent premiums and penalties.
- How are payments applied to penalties, interest and delinquent premiums?
- Unpaid Interest assessments from Federal Trust fund advances, starting with the earliest quarter in which premiums are due.
- Unpaid nonprincipal-related bond repayment assessments, starting with the earliest quarter in which premiums are due.
- Penalties owed, starting with the earliest quarter in which such penalty was incurred, Interest already charged, commencing with the earliest quarter in which such interest is due>
- Interest accrued on unpaid premiums as of the date of the payment, commencing with the earliest quarter in which premiums are due.
- Unpaid premiums or unpaid regular unemployment insurance benefits charged, starting with the earliest quarter in which premiums or reimbursements are due, Unpaid reimbursements for extended benefits charged, starting with the earliest quarter in which amounts are due.
- Unpaid Interest assessments from Federal Trust fund advances, starting with the earliest quarter in which premiums are due.
- Which employers are required to pay unemployment insurance?
Any business that paid wages of at least $1500 in a calendar quarter during the prior or current calendar year.
Any business that employed at least one person for any part of a day in 20 weeks during the prior or current calendar year. This does not have to be the same person for all weeks nor consecutive weeks. Domestic employers, nonprofit corporations, and agricultural employers have different liability criteria based on amount of wages paid and the number of employees. Contact us for more information on the different liability criteria:
(303) 318-9100 (Denver-metro area) 1(800) 480-8299 (outside Denver-metro area)
UI Employer Services P.O. Box 8789 Denver, CO 80201-8789
- What is the beginning unemployment insurance rate for a new business in Colorado?
New employers begin at a standard rate depending on the type of business activity. For rate year 2021 the rate consists of only the base rate. There are no surcharges in effect for 2021.However, between 2004-2012, the standard rate consisted of three components: a base rate, a solvency surcharge and a surtax. For the years 2013 through 2017, the standard rate consisted of two components: a base rate and a bond principal rate.
Standard Rates for 2021
Non-construction 0.0170 0 0.0170 General Construction 0.0207 0 0.0207 Heavy Construction 0.0774 0 0.0774 Trades 0.0291 0 0.0291 Political Subdivision Group Rate 0.0030 0 0.0030
Standard Rates for 2020
Non-construction 0.0170 0 0.0170 General Construction 0.0170 0 0.0170 Heavy Construction 0.0594 0 0.0594 Trades 0.0170 0 0.0170 Political Subdivision Group Rate 0.0030 0 0.0030
Employers in construction-related industries may be subject to a different base rate, however, the surcharges are the same. Contact UI Employer Services for more information on beginning base rates for employers in construction-related industries.
(303) 318-9100 (Denver-metro area) 1(800) 480-8299 (outside Denver-metro area)
UI Employer Services P.O. Box 8789 Denver, CO 80201-878
- What is the computed rate?
After an employer has paid wages for a sufficient number of quarters, it is eligible for a computed rate based on the experience of the business. The formula for a computed rate is: Total premiums paid in to the account minus Total benefits charged to the account divided by the Average chargeable payroll The result of this formula is the percent of excess. Look for the percent of excess in the left hand column of the rate chart and follow that line to the right across the chart to the column heading "Reserve Ratio .000-.004‚". The point of intersection is the base rate for 2021. (Rates for years prior to 2013 used a different rate chart with columns based on the level of the Unemployment Insurance Trust Fund on any June 30.)
- What are the common reasons for a rate increase?
Some common reasons may include:
- the average annual payroll increased
- there were new benefit charges to the account
- the level of the Unemployment Insurance Trust Fund decreased
- the business stopped paying wages for a period of time and lost its computed rate.
- How can I protest my rate?
You may file a written protest using the Protest Form.
- Are corporations liable to pay unemployment insurance premiums on corporate officer's wages?
Yes. Corporate officers are considered to be employees of the corporation and their wages are chargeable along with any other remuneration in lieu of wages such as dividends ("S" corporation only), bonuses, draws, or distributions.
- What methods of filing premiums-and-wage reports are available?
If you have fewer than 100 employees, internet wage reporting is recommended. If you have 100 or more employees, file transfer protocol (FTP) is necessary.
Please contact us if you have any questions: 303-318-9100(Denver-metro area) 1-800-480-8299 (outside Denver-metro area)
Registering a Business
- How do I get an unemployment insurance tax account number?
Use any of the two methods to register your business: Online with Business Express Colorado Business Registration Form, UITL-100
- What do I need to have to register online?
You are paying wages to at least one employee in Colorado. Your first payroll date is in the prior calendar year or the current calendar year. You have not previously registered for an unemployment identification number. You are not involved in a change of ownership. Your business is not classified as one of the following: Agricultural Household or domestic Nonprofit organization as described in the federal IRC 501 (c)(3) Other nonprofit organization Reimbursable or government
- What do I do if I cannot register my business online?
Fill out the Colorado Business Registration Form and send it in. Go to www.coloradoui.gov/forms to access the form.
- What is State Unemployment Tax Act Dumping?
State Unemployment Tax Act (SUTA) dumping is a premium-payment avoidance method used by some employers to reduce their unemployment insurance rate. More specifically, SUTA dumping is a practice of employers to create new business entities and transfer employees. In some cases, a part of the organization, trade, or business is transferred to deliberately avoid an increase in the unemployment insurance rate caused by unemployment benefit payments attributable to an existing company. The practice of avoiding the proper payment of unemployment premiums places an undue burden on all employers who are paying premiums correctly according to the requirements established in CESA 8-76-103 and CESA 8-76-104. To read additional information: SUTA Dumping Alert pdf file.
- What issues are created by State Unemployment Tax Act dumping?
Employers who engage in SUTA dumping are jeopardizing the solvency of Colorado's Unemployment Insurance Trust Fund. The trust fund is a pool of money from which unemployment benefits are paid. When some employers avoid contributing the correct amount of premiums to the unemployment insurance trust fund, all employers are burdened with higher rates in future years. Employers' rates are adjusted each year according to the rate schedule defined in the CESA 8-76-103 (3)(b)(II) to ensure the trust fund remains solvent.
- How is State Unemployment Tax Act dumping being addressed?
SUTA Dumping Compliance Insurance Rate was enacted by the 2005 Colorado General Assembly. This legislation closed loopholes that existed previously and allowed the Colorado Department of Labor and Employment to impose civil and criminal penalties on individuals who knowingly violate or attempt to violate the provisions in CESA 8-76-104. The Audits unit actively identifies and pursues employers engaged in premium-payment avoidance activities. As stated in CESA 8-72-108, the department has the authority to subpoena records and individuals in its investigations. Employers can help protect the integrity of the Unemployment Insurance Trust Fund and minimize the negative impact that SUTA dumping has on unemployment rates by informing us about this activity. Information may be reported to the Unemployment Insurance Employer Services, Audits unit at (303) 318-9100, and select Option 4. The source of the information is kept confidential.
- How do I apply for the Work-Share Program?
Fill out the Work-Share Application and mail it to the address listed on the form.
- How long will it take to process my Work-Share application?
We will process your application within a week of receiving it.
- How many employees may I have on the program?
It depends on your needs for your employees. All your employees can be in the Work-Share Program, or employees from a certain unit can be in the Program.
- Must I reduce my employees' hours by a certain number per week?
You must reduce the employees' normal weekly work hours by at least 10 percent but by no more than 40 percent. At least two of all your employees or two of your employees in a certain unit must have their hours reduced.
- For how many weeks can my employees get paid?
We can pay your employee up to 26 weeks of Work-Share benefits.
- Are there certain requirements I have to meet as an employer to sign up?
Yes. You must reduce the hours of at least two out of all employees, or two employees in a certain unit. You would have laid off at least that many employees. In addition, you must have a plan for getting all your employees back to the hours they worked before they were in the program. You must send us that plan on your Request For Approval of Work-Share Plan application. You are applying to be in the Program instead of laying off your employees. You will not hire or have other employees work in that group. Your employees' collective-bargaining agent (union), if any, must agree to the plan. You cannot get rid of or reduce employees‚Äô benefits that you currently provide. These include health insurance, retirement/pension benefits, vacation pay and holidays, sick leave, and any other similar benefits you normally provide. You have to have a positive percent of excess in order to sign up for the Work-Share Program. That means that you must have paid as much in premiums as we paid your former employees in benefits. Your percent of excess is on the rate notice that we mailed you last November.
- What are the advantages to this plan?
You are able to continue production and your quality levels. Keeping your experienced staff: Helps you come back to full production when economic conditions are better. Lessens your costs of hiring and training new employees. You are able to protect your affirmative-action gains. Your employee morale stays high. Your employees keep their skills and chances to move up in your business. Less money is spent on public assistance and unemployment benefits because your employees are still working.
- What are the disadvantages to this plan?
Your employees may lose their chance to find full-time jobs with another company. It might be harder to schedule your employees‚Äô work hours. Your senior employees have fewer hours and less income.