What is a 32-hour work week?
A 32-hour work week means employees will take a 20% reduction in pay in exchange for 20% less hours worked. The leadership team has agreed not to hold meetings on Fridays as a means of supporting a day off from work.
Does this mean we’re ‘closed’ on Friday?
We continue to be open for business. Our plants and distribution centers will be active, customer service will be available to support customers, and the AR/AP team will continue to be working.
We should expect to see less internal activity on Friday, and leaders have discretion to shift an employee’s off-day to accommodate personal needs or business activity.
Can I still work on my day off?
Unlike the furlough, there are no work restrictions on a reduced hours/pay schedule. Just as some employees work on the weekends today, employees may elect to work or check email on Fridays (or their designated day off).
There will be no changes to your email or system access.
When will the reduced schedule begin?
32-hour work weeks will begin the week of June 15 and extend for 4 weeks
| Work Week | Total Pay Period Hours | Pay Date |
| June 15 June 22 |
64 Hours | July 3 |
| June 29* July 6 |
64 Hours | July 17 |
*4th of July holiday is observed on Friday, July 3. For this week our reduced day will be Thursday, July 2.
There is no impact to the scheduled holiday or holiday pay. The week of June 29 will be as follows:
- Monday, Tuesday, Wednesday: regular hours (24 hours)
- Thursday: reduced day (0 hours)
- Friday: holiday (8 hours)
Can I work elsewhere on my additional day off?
Yes, if you’re able to secure alternate employment aligned with these 4 days, you’re welcome to do so. Any secondary employment cannot create a conflict of interest or impact your ability to return to work as scheduled.
Can I use vacation to supplement this day off?
Employees on permissive leave do not accrue vacation ‘banks’ and are ineligible to supplement with vacation.
Hourly employees who have accrued vacation may elect to use 1-day per week to remain at 40-hours pay over this period, however most hourly employees are not taking this reduction.
Please consult with your manager or HR Manager on your specific case.
What if I have a planned vacation already scheduled?
Employees on permissive leave do not accrue vacation banks or enter vacation time for tracking. You may continue to take your planned time away, however that week will be paid at 32 hours.
What if I’m on an approved Short-Term Disability (STD) from June 15 – July 12?
Employees on an active STD will continue to be paid based on the terms of our STD benefit plan.
Will this extend beyond the 4 weeks communicated?
Currently, we do not intent to extend this reduced work schedule beyond these 4 weeks or implement further salary actions. However, there is still a lot of uncertainty on how the economy will recover and the overall impact to our business. We remain committed to keeping an open and transparent dialog about what is happening in the business.
How do I get repaid for these lost wages?
The business has committed to reimbursing employees for the 4-days of lost wages resulting from the reduced work week June 15 – July 12 if we achieve our revised revenue target of $660m for full year 2020.
This ‘payback’ would apply to employees in Active status at the time payment is made, regardless of leaving reason. Estimated payment timing, if achieved, will be 1Q 2021 once financial results are determined. Payment would be 32 hours of pay, subject to applicable taxes and withholdings, at your rate of pay when the payment is made.
This repayment does not apply to previous lost wages (ie furlough or 401k deferral or suspension).
Unemployment Insurance
Am I able to file for state unemployment to help cover my 20% reduction?
The rules for unemployment vary by state and are continually being updated in response to the economic impacts related to COVID-19. We encourage anyone interested in determining individual eligibility for unemployment benefits to contact their state unemployment agency for specific information on eligibility and how to apply for benefits. As a reminder, the decision concerning receipt of any unemployment benefits is solely within the authority of the state – not Current.
What if my state provides me unemployment and the business later repays my lost wages for the reduced days?
As a business, we will not have any knowledge of who may have received unemployment during the reduced workweek period or how much they received. If you are a recipient of unemployment benefits and are later made whole by the Company, you should contact your state unemployment agency directly to determine what, if any, action is required on your part.
Benefits
What happens to my medical insurance coverage or pre-tax savings accounts during my reduced work week?
There will be no change to your medical coverage. You will maintain all coverages you elected during Annual Enrollment.
Do I need to enroll in COBRA?
No, your benefits will be maintained without disruption.
Will I have benefit deductions?
Yes, your same benefit deductions will be withheld. Your coverage continues as it is while working a Full (40-hour) week.
Is this considered a life event to make changes to my elections?
No, this does not create a qualified life-event as there are no changes to your coverage or eligibility.
401k What change was announced? Previously we announced 401k employer matching contributions for Q1 & Q2 2020 will be deferred. These Employer match contributions will be deposited on a future date to all eligible plan participants, regardless of status in the plan.
On June 2, it was announced that the Employer matching contribution (50% of the first 8% you contribute) will be suspend for Q3 and Q4 2020. We may alter this decision (pay partial match or resume full match) based on business results. The final decision will be made in Q1 2021 based on 2020 total year results, however an earlier decision could be made based on business conditions.
It is unknown at this time if a future change to resume the match would impact all plan participants active during Q3 and Q4 or only those remaining active in the plan at the time of deposit.
What if I want to make a change to my 401k deferral amount?
Employees can change their 401k deferral amounts anytime during the year. You can make these changes seven days prior to the pay date. View instructions.
What if I have a 401k loan?
Your loan payment will continue to be deducted from pay. If your loan deduction would make your net-pay below an acceptable threshold, no loan payment will be deducted and you’ll be required to send a make-up payment to Fidelity directly. View instructions.
Can I take a Hardship Withdrawal from my 401k?
In its current form, the Coronavirus Aid, Relief, and Economic Security (CARES) Act would allow participants to take penalty-free withdrawals of up to $100,000 for those who meet certain criteria related to the coronavirus (COVID-19). These include adverse financial consequences as a result of being quarantined, furloughed, laid off or having work hours reduced; being unable to work due to a lack of child care as a result of COVID-19; or closing or reducing hours of a business owned or operated by the individual due to COVID-19. Please visit www.401k.com or call Fidelity at 800-835-5097 to inquire about your specific situation and any options that may be available to you.
Media Inquiries
What if I get contacted by the media?
All requests from the media or outside parties regarding activities within our business should be directed internally to Jim Benson (james.benson@gecurrent.com or +1 216-534-4155).