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Federal Bonding Program AZ

The Federal Bonding Program helps at-risk job seekers obtain employment by providing fidelity bonds of up to $5,000 to employers at no cost. The program bonds individuals with criminal records, substance abuse histories, poor credit, or lack of work experience. Employers receive coverage for employee theft or dishonesty for six months, with an option to purchase additional bonding if the employee performs well. To receive a bond, an employer makes a job offer that is accepted, then sends a letter to the state bonding coordinator confirming the employee details and start date.

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Reechad Jamal McCampbell
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92 views3 pages

Federal Bonding Program AZ

The Federal Bonding Program helps at-risk job seekers obtain employment by providing fidelity bonds of up to $5,000 to employers at no cost. The program bonds individuals with criminal records, substance abuse histories, poor credit, or lack of work experience. Employers receive coverage for employee theft or dishonesty for six months, with an option to purchase additional bonding if the employee performs well. To receive a bond, an employer makes a job offer that is accepted, then sends a letter to the state bonding coordinator confirming the employee details and start date.

Uploaded by

Reechad Jamal McCampbell
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOC, PDF, TXT or read online on Scribd
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The Federal Bonding Program

A Unique Job Placement Tool

The Federal Bonding Program helps “at risk” and “not bondable” job seekers to secure
employment. Through the Program, employers can receive $5000 of fidelity insurance for a
six-month period at no cost and with no deductible. After six months, employers can buy
additional bonding if the worker has demonstrated job honesty.

WHO DOES THE PROGRAM HELP?

 Ex-offenders with a record of arrest, conviction, imprisonment or a police record, or on parole


or probation.

 Recovering substance abusers. Individuals rehabilitated through treatment for alcohol or drug
abuse.

 People with a poor credit record or have declared bankruptcy.

 Individuals dishonorably discharged from the military service.

 Persons lacking a work history who are from families with low income.

HOW DOES IT HELP SOMEONE GET A JOB?

By insuring the employer for any type of stealing, theft, forgery, larceny or embezzlement up to the
Bond limit. It does not cover liability due to poor workmanship, job injuries or work accidents. It is
not a bail bond or a court bond for the legal system. It is not a contract bond, performance bond or
license bond sometimes needed to be self-employed.

ARE THERE EMPLOYMENT RESTRICTIONS ON THE BOND’S COVERAGE?

 The worker must meet the state’s legal working age. There are no maximum age limits.

 Workers must be paid with federal taxes automatically deducted from their pay. Self-
Employment is not covered.

 The Bond is issued to cover workers who obtain permanent jobs providing at least 30 hours of
work per week. Some exceptions may be made to accommodate the employer’s needs.

WHAT IS THE PROCESS?

 A job offer is made by an employer and accepted by the worker.

 In Arizona the employer sends a letter to the DES Employment Administration Federal
Bonding Coordinator that confirms the worker’s identity, offer of employment, job title, work
location, start date, and hours of work per week.

 The Bond is issued and is effective on the employee’s first day of work.
HOW CAN I OBTAIN MORE INFORMATION?

 Call the U.S. Department of Labor at 1-800-233-2258

 Use the internet and go on-line to the Federal Bonding Program website at
www.bonds4jobs.com.

 Call the Federal Bonding Program Coordinator in Arizona at - 602-771-0906 or


[email protected]
SAMPLE LETTER TO BE SENT TO THE
FEDERAL BONDING PROGRAM COORDINATOR IN ARIZONA
ONCE A COMPANY HAS HIRED AN EMPLOYEE REQUIRING A FEDERAL BOND

(Sample Company
123 Over The Rainbow St
Any Town, AZ 00000)
or better yet,
(Company Letterhead Stationary)

(Date)

Frances Savedra
Federal Bonding Coordinator
DES Special Programs Unit 734T
PO Box 6123
Phoenix, AZ 85005-6123

Dear Ms Savedra,

This letter is to confirm for the Federal Bonding Program that (name, social security number, and job
title of the person requiring the Federal Bond in order to work) began work/will begin working for
(name and address of company, include job site if different) effective (date worker is scheduled to
start work) and will be working (number of hours) per week.

We appreciate your assistance in this employment related matter. Please contact (name of contact at
company and job title) at (company contact’s phone number and/or email address) with any
questions.

Sincerely,

(Signature of the letter writer)

(Printed name of the letter writer)


(Title of the letter writer)

The effective date of the Federal Bond will be the start-to-work date of the employee.

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