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On April 1, 2020, the U.S. Department of Labor (“DOL”) issued regulations for the Families First Coronavirus Response Act (“FFCRA”), which went into effect the same day.  The regulations are available here.

The majority of the content in the regulations is not new and simply repeats information that is also available in the DOL’s FAQs guidance (which has been updated several times since it was first posted).  The DOL’s FAQs are here, and our blog post highlighting key takeaways from the FAQs as initially posted is here.

The latest information for employers from the regulations and the updated FAQs includes:

Clarification of small business exemption.

  • Employers with fewer than 50 employees may assert they are exempt from providing emergency paid medical leave (“EPML”) or emergency paid sick leave (“EPSL”) to employees who miss work due to a school or childcare closure. (Note that there are numerous qualifying reasons to use EPSL, including when an employee has been advised to self-quarantine or is showing symptoms consistent with COVID-19 and seeking a medical diagnosis.  However, there is no exemption that will allow small employers to avoid providing EPSL altogether.)
  • To deny an employee EPML or EPSL as outlined above, an “authorized officer” of the small employer must determine that:
    • providing such leave would cause the employer’s expenses and financial obligations to exceed available business revenue and cause the employer to cease operating at a minimal capacity;
    • the absence of the employee(s) requesting such leave would pose a substantial risk to the financial health or operational capacity of the employer because of their specialized skills, knowledge of the business, or responsibilities; or
    • the employer cannot find enough other workers who are able, willing, and qualified, and who will be available at the time and place needed, to perform the labor or services that the employee(s) requesting leave provide, and these labor or services are needed for the employer to operate at a minimal capacity.
  • Small employers are not required to formally “apply” for the exemption; rather, they must “document the facts and circumstances . . . justify[ing] [the] denial” of leave. The small business exemption does not require prior approval from the DOL, and neither the FFCRA nor the regulations create an express right for employees to challenge the employer’s determination that it qualifies.  Thus, it would appear that small employers have a great deal of discretion to determine whether they qualify for the exemption.
  • Small employers who assert the exemption must still post the FFCRA notice to employees.

Use of employer-provided paid time off during EPML.  After the first two workweeks of EPML, employers can require that employees take EPML concurrently with any employer-provided paid time off (such as vacation or personal leave) that would otherwise be available for employees to care for their children under the employer’s policies during their absence.  Employees can also elect to use employer-provided paid time off concurrently.  During the first two workweeks of EPML, employees may elect to use their employer-provided paid leave or EPSL, but the employer may not require them to do so.
Continue Reading Department of Labor Issues Regulations and Updates Guidance for Families First Coronavirus Response Act

*a prior version of this post indicated the House vote was still pending. The House passed this legislation on March 27, 2020. 

Like you, we are closely monitoring the rapid developments caused by the COVID-19 pandemic. The latest is Congress passing the Coronavirus Aid, Relief, and Economic Security Act (or “CARES” Act). We focus below on the employment-related provisions of the Act, but encourage you to continue checking our COVID-19 Resource Hub for additional updates on other aspects of the Act.

Direct Payments to Individuals 

Under the Act, direct payments of $1,200 will be made to single individuals who earn $75,000 or less in adjusted gross income, and $2,400 to married couples who earn $150,000 or less in adjusted gross income, according to their 2018 tax returns or 2019 tax return if already filed.  There will be an additional $500 payment per child.  These payments scale down as income increases, phasing out entirely for individuals earning $99,000 and joint filers without children earning $198,000.

Increased Unemployment Benefits 

The Act also provides assistance to states to administer and expand unemployment benefits. 
Continue Reading UPDATE: Congress Passes Coronavirus Aid, Relief, and Economic Security Act

The U.S. Department of Labor (“DOL”) has updated its guidance on the Families First Coronavirus Relief Act (“FFCRA”), which was signed into law on March 18, 2020.  (A summary of the law is here.)  Regulations are coming in April.  In the meantime, the DOL’s current resources available are:

  1. A tip sheet for employees
  2. A

…

On March 18, 2020, Oregon issued temporary rules to help employees impacted by COVID-19. The Oregon Employment Department issued temporary rules expanding the availability of unemployment insurance to those impacted by COVID-19, while the Oregon Bureau of Labor and Industries (“BOLI”) issued a temporary rule expanding the availability of the Oregon Family Leave Act (“OFLA”) to parents whose children are impacted by school or day-care closures.
Continue Reading Changes to Oregon Unemployment Insurance and Oregon Family Leave Act in Light of COVID-19

On March 18, 2020, the Senate passed the Families First Coronavirus Response Act, (the “Act”), which was passed by the House last week.  President Trump swiftly signed the legislation, which is effective in 15 days.  All public employers and private employers with under 500 employees are covered by the Act, which provides for emergency paid family and medical leave as well as emergency paid sick leave, among other provisions including changes to unemployment insurance and food and nutrition benefits.

Much of the final Act tracks the bill originally enacted in the House (discussed here), but there are some significant changes.  Below we summarize the key important provisions of the Act as passed by Congress that relate to paid leave.
Continue Reading Congress Passes Legislation to Provide Paid Leave to Employees During COVID-19 Emergency

We are continuing to monitor developing issues facing employers due to the outbreak of COVID-19.  The latest is from Congress.

On March 13, the US House of Representatives passed the Families First Coronavirus Response Act, (the “Act”) to  provide for emergency paid sick and family and medical leave for some employees around the country.  Public agencies and employers with fewer than 500 employees are covered by the Act, and can apply for tax credits each quarter to recoup payments made under the Act.

Please note that the Act has not gone into effect yet and is not final.  The Senate must also pass the Act before it becomes effective, and the Senate is likely to make changes.  Subject to those changes, below is a summary of the important items for employers to know about the Act in its current state.

Emergency Family and Medical Leave

Employees are eligible for up to 12 weeks of paid family and medical leave under the Act if they have worked for an employer for at least 30 days, and are absent from work for one of the following reasons:
Continue Reading House of Representatives Takes Steps to Provide Paid Leave to Employees Absent due to COVID-19; Senate Must Still Act

We continue to stay up to speed on workplace-related legal issues as we all navigate this challenging time. Many of you attended the webinar we put on today, Taming the COVID-19 Chaos: What Employers Need to Know.  The materials from that presentation are available here.  Please join us for another webinar next Wednesday, March…

Washington Health Benefit Exchange Announces Special Enrollment Period

Today, the IRS issued Notice 2020-15 clarifying that high-deductible health plans (HDHPs) may provide benefits associated with testing and treatment of COVID-19 (commonly referred to as coronavirus) without application of a deductible or cost-sharing. Doing so will not impact a plan’s status as a HDHP or a…

No sooner has Washington enacted two major new leave laws – the Washington Paid Sick Leave Law and the Washington Paid Family and Medical Leave Law (WPFML) – than the State has found itself to be one of the epicenters of the COVID-19 outbreak.  Here is what Washington employers need to know about Paid Sick…

Through a series of decisions issued in late 2019, the National Labor Relations Board (“NLRB” or “Board”) has signaled a return to common sense in its approach to the rules governing labor relations.  Here are a few of the Board’s decisions that are of interest to employers.

Employers May Require Employees to Maintain Confidentiality in…