Employers are encouraged to implement the State’s Work Share program that permits employers who may be facing maintain business operations during declines in regular activity instead of laying off workers. The program allows employers to keep their employees working with reduced hours, while employees collect partial unemployment benefits to make up a portion of the lost wages. More information about Work Share is available online at www.michigan.gov/WorkShare.
Visit the Unemployment Insurance Agency website for:
Unemployment Resources for Employers
Employer Frequently Asked Questions
Unpaid Leave vs. Termination
Due to the uncertainty regarding potential congressional action regarding whether furloughed workers will be able to access federal resources, employers are urged to place employees on temporary leave as opposed to termination. View the State’s guidance for employers contemplating potential layoffs.
Capital Resources for Employers
Business Call Centers
The MEDC’s call center stands ready to support businesses with questions about assistance available to small business through existing state programs by calling 888.522.0103. The Michigan Small Business Development Center can also provide resources at https://sbdcmichigan.org/small-business-covid19/.
Small Business Association Loans
The U.S. Small Business Administration (SBA) approved the governor’s request for a statewide Economic Injury Disaster Loan (EIDL) declaration, opening the opportunity to small businesses to access low-interest loans from the SBA.
Michigan small businesses, small agricultural cooperatives, and nonprofits that have suffered substantial economic losses as a result of the COVID-19 outbreak can now apply for low-interest loans as part of $1 billion in funding. The application for disaster loan assistance is available at: disasterloan.sba.gov/ela/.
Michigan Small Business Relief Program The Michigan Strategic Fund approved the Michigan Small Business Relief Program which authorizes the MEDC provide up to $20 million in support for small businesses. The funding is divided between $10 million in small business grants and $10 million in small business loans to support businesses facing drastic reductions in cash flow and the continued support of their workforce. The $10 million in grant funding will be provided to local or nonprofit economic development organizations throughout the state to provide grants up to $10,000 each to support certain small businesses that have realized a significant financial hardship as a result of the COVID-19 virus. For more information visit, michiganbusiness.org/covid19
Tax Assistance for Small Businesses The Michigan Treasury Department is providing small businesses that have experienced disrupted operations due to the COVID-19 additional time to make their sales, use and withholding tax monthly payment. Small businesses scheduled to make these payments on March 20 can postpone filing and payment requirements until April 20. Penalties and interest penalties will be waived for 30 days. Learn more about penalties and interest online or by calling the Treasury Business Tax Call Center at 517-636-6925.
Information around this outbreak is changing rapidly. The latest information is available at Michigan.gov/Coronavirus and CDC.gov/Coronavirus.
The above resources and more can be found on the Michigan Coronavirus website, under Employer and Employee resources.