NC S689

Establishes a Short-Time Compensation Program under North Carolina unemployment insurance law to allow employers to reduce employee work hours instead of implementing layoffs.

Requires employers to submit written plans to the Division for approval specifying affected units, work hour reductions of 10-60%, employee notification procedures, and certification that health and retirement benefits will continue.

Allows eligible employees in approved plans to receive weekly short-time compensation benefits equal to their regular unemployment benefit amount multiplied by the percentage of hours reduced, up to 52 weeks per plan.

Plans must be approved within 30 days, expire no later than 12 months after the effective date, and can be modified or revoked by the Division for good cause including non-compliance with plan terms or unreasonable productivity standard changes.

Effective 60 days after enactment, applying retroactively to claims and plans submitted on or after April 15, 2023.