Freedom is Knowledge
SEA Program
SEA Legislative and Program Overview
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SEA Legistative Overview
The North American Free Trade Agreement Implementation Act amended Federal law to give States the option of permitting eligible dislocated workers to receive a payment for the State's unemployment fund for the purpose of assisting UI claimants in establishing a business and becoming self-employed.
The New Jersey Self-Employment Assistance and Entrepreneurial Training (SEA) Act, for instance, amended the New Jersey Unemployment Compensation Law to allow SEA Program participants a work search waiver and SEA allowances in lieu of regular UI benefits. The SEA Act also revised the Workforce Development Partnership Act to provide SEA Program participants with counseling, technical assistance and entrepreneurial training grants.
Any unemployed individual who is eligible for regular UI benefits and is identified through the worker profiling system as likely to exhaust regular benefits may apply for participation in the SEA Program. Although the program is voluntary, participants must involve themselves full-time in self-employment activities, as well as cooperate with training, counseling and reporting requirements.
EXAMPLE OF PROGRAM
New Jersey SEA Program Overview
Note: These guideslines may change. Please check with your local unemployment office for curret regulations and requirements.
What is the New Jersey Self-Employment Assistance and Entrepreneurial Training (SEA) Program?
The SEA Program assists qualified unemployed individuals who are seriously interested in setting up a business in New Jersey and becoming self-employed.
SEA benefits include (may vary by class):
- weekly SEA compensation in place of unemployment benefits
- a waiver of the unemployment compensation (UI) active search for work requirement while actively engaged in self-employment activities.
- counseling and technical assistance on developing a business plan.
- financial assistance for entrepreneurial training courses
Interested in Participating?
If you are interested in learning more about this program, ask a representative of the New Jersey Department of Labor Employment Service, Unemployment Insurance Service or JTPA to schedule you for an orientation on reemployment opportunities.
Who Qualifies?
To qualify for the SEA Program, you must (check current regs - they may very by state):
- be eligible for unemployment benefits
- be a dislocated worker and unlikely to return to your previous employment.
- have been profiled by the state as likely to exhaust unemployment benefits
- have a viable business idea.
- be willing to work full-time in developing the business, and
- have or to be able to obtain the financial backing needed to start and sustain the business until it becomes self-supporting.
SEA Compensation and UI Benefits:
The SEA compensation replaces unemployment compensation at the same weekly rate and maximum benefit amount. The total payment on a combination unemployment and SEA claim cannot exceed the maximum benefit amount of the original unemployment claim. SEA participants are not eligible for extended benefits or additional benefits during training.