STC – What is it?

Short-time compensation program

The Short-Time Compensation Program is a voluntary employer program designed to help employers maintain their staff by reducing the weekly working hours during temporary slowdowns instead of temporarily laying off employees. Short-Time Compensation (STC) permits pro-rated Reemployment Assistance (RA) benefits to employees whose work hours and earnings are reduced as part of a STC plan to avoid total layoff of some employees. If an employer establishes a Short-Time Compensation Plan and an employee meets the qualifications to file a reemployment assistance claim in the state of Florida, the employee will receive a partial reemployment check to supplement their reduced paycheck. Read more.

Benefits

Employees are spared the hardships of full unemployment, and employers retain employees who can resume high production levels when business conditions improve. Employers will avoid the expense of recruiting, hiring, and training new workers when business conditions improve.

Open the Short-Time Compensation Handbook

  • Employer Role
    • As an employer, you must complete a Short-Time Compensation Plan application. A Short-Time Compensation Plan lasts for one year but can be renewed if your employees have returned to full-time work during the plan year.
    • The effective date of the participant’s reemployment assistance claim will be determined by:
      • The date that reduced hours began
      • The date that the application is filed  or
      • The date that the employer add or reinstates the employee to the STC Plan; whichever occurs last.
    • At least 10% (not less than 2) of your employees in your total staff or in a particular department must work reduced hours.
    • Employers must certify that they will reduce the employees normal number of weekly work hours by 10%, but no more than 40%.
    • The employees in the affected units must be identified by name and social security number.
    • Employers must name the employee participating in the program and must provide the Department of Economic Opportunity with the employee’s normal weekly hours (excluding overtime).
    • The situation must be temporary rather than a temporary layoff.
  • Submit a Claim
    • To apply for the Short-Time Compensation Program (required for employees to submit a reemployment claim), please follow this link to the Employer Login page of CONNECT. Read more information for employers here.
    • If you do not know your login credentials, you will need to create your username by putting the letters E and P, then the number zero in front of your 7-digit Employer Account Number (EAN). Your EAN can be found on some of the correspondence from Reemployment Assistance and the top right of your Florida Quarterly Tax Return (form RT-6). It is sometimes referred to as the RT Account #.
      • Here is an example of how you would create your username >>>> If your EAN was 1234567, your username would be: EP01234567
      • Please contact the Employer Hotline at 1-833-352-7759 if You do not have the EAN or you have the username but need to have your password reset
  • Employee Role
    • You must be a full-time employee, (not part-time or seasonal) with a standard number of hours worked each week (excluding overtime). You must meet all of the normal requirements to establish a Florida reemployment claim and you must provide the Department of Economic Opportunity with any necessary information or documentation.
    • While on the Short-Time Compensation program you must work and/or receive paid leave for ALL of the hours that your employer has you scheduled to work in order to receive Short-Time Compensation Benefits for a week.
    • Every two weeks you will be required to report your hours worked, plus any hours of paid leave from your Short-Time Compensation employer and if you have a part-time job, earnings from that part-time job.
    • Employees must work at least 60%, but no more than 90% of their normal work hours, to qualify for STC benefits.