American Rescue Plan Act Expands FFCRA Voluntary Leave Tax Credit Program
|
04/02/2021
|
By: Tara Eberline
|
The
American
Rescue
Plan
Act
of
2021
(ARPA),
signed
into
law
on
March
12,
2021,
extends
the
Families
First
Coronavirus
Response
Act’s
(FFCRA)
paid
leave
program
for
employees
who
must
stay
home
to
care
for
themselves
or
their
families
during
the
COVID-19
pandemic.
Beginning
April
1,
2021,
eligible
employers
(generally
private
employers
with
fewer
than
500
employees)
may
voluntarily
choose
to
—
but
are
not
required
to
—
extend
and
expand
paid
leave
benefits
under
FFCRA
and
receive
a
corresponding
tax
credit.
Under
ARPA,
employers
may
offer
employees
up
to
10
days
(80
hours)
of
additional
emergency
paid
sick
leave
(EPSL),
plus
up
to
12
weeks
of
paid
emergency
family
and
medical
leave
(EFML),
for
qualified,
COVID-related
leave.
In
each
case,
this
applies
to
leave
taken
between
April
1,
2021,
and
Sept.
30,
2021.
As
before,
qualified
employers
who
offer
this
paid
leave
can
receive
reimbursement
for
the
cost
of
the
leave
through
a
credit
against
payroll
taxes
—
specifically,
the
employer’s
share
of
Medicare
taxes.
Creditable
costs
continue
to
include
the
cost
of
the
paid
leave
plus
allocable
health
plan
costs.
Some
new
categories
of
creditable
costs
have
also
been
added,
which
will
be
primarily
relevant
to
collectively
bargained
employees
(e.g.,
costs
associated
with
apprenticeship
plans).
The
ARPA
makes
some
important
adjustments
to
the
scope
of
EPSL
and
EFML,
including:
1.
Paid
Leave
Hours
Reset
The
ARPA
resets
employees’
80-hour
paid
leave
bank
for
emergency
paid
sick
leave.
Employees
who
have
used
some
or
all
of
their
80
hours
of
EPSL
can
receive
Continue Reading...
|
|
Employers Hit with FFCRA Lawsuits
|
09/16/2020
|
By: Boyd Byers
|
Through
the
end
of
August
there
were
at
least
72
lawsuits
filed
against
employers
alleging
violations
of
the
Families
First
Coronavirus
Response
Act
(FFCRA).
In
most
of
these
cases,
employees
allege
they
were
unlawfully
fired
after
they
contracted
the
virus
or
requested
leave
for
one
of
the
reasons
protected
by
the
FFCRA.
In
a
few
cases,
employees
say
they
were
granted
leave,
but
it
was
unpaid,
and
thus
seek
payment
and
other
damages.
As
a
refresher,
the
FFCRA
requires
certain
employers
with
fewer
than
500
employees
to
provide
their
employees
with
paid
sick
leave
and
expanded
family
and
medical
leave
for
specified
reasons
related
to
COVID-19,
which
are
subject
to
a
corresponding
tax
credit.
Generally
speaking,
and
subject
to
certain
exceptions,
employers
covered
under
the
Act
must
provide
employees
up
to
two
weeks
(80
hours
or
a
part-time
employee’s
two-week
equivalent)
of
paid
sick
leave,
at
full
pay
(up
to
a
$511
per
day)
if
they
are
subject
to
a
quarantine
order
related
to
COVID-19,
have
been
advised
by
a
healthcare
provider
to
self-quarantine
related
to
COVID-19,
or
are
experiencing
symptoms
related
to
COVID-19.
The
Act
also
provides
for
up
to
two
weeks
of
paid
sick
leave
at
two-thirds
pay
(up
to
$200
per
day)
to
employees
if
they
are
caring
for
an
individual
who
is
subject
to
a
quarantine
order
or
has
been
advised
by
a
healthcare
provider
to
self-quarantine,
and
up
to
12
weeks
of
paid
sick
leave
and
expanded
FMLA
leave
at
two-thirds
pay
(up
to
Continue Reading...
|
|
DOL Revises Paid Leave Requirements Under FFCRA
|
09/14/2020
|
By: Boyd Byers
|
On
Sept.
11,
2020,
the
U.S.
Department
of
Labor
issued
revisions
to
its
regulations
that
implement
the
paid
sick
leave
and
expanded
family
and
medical
leave
provisions
of
the
Families
First
Coronavirus
Response
Act
(FFCRA).
The
revised
rule
will
take
effect
on
Sept.
16,
2020,
when
it
will
be
published
in
official
form.
Revised
Regulations
Respond
to
Court
Ruling
These
revisions
were
made
to
clarify
workers’
rights
and
employers’
responsibilities
under
the
FFCRA’s
paid
leave
provisions
in
light
of
a
New
York
court’s
order
finding
portions
of
the
initial
regulations
invalid.
Specifically,
the
court
set
aside
four
parts
of
the
regulations:
(1)
the
requirement
that
paid
sick
leave
and
expanded
family
and
medical
leave
are
available
only
if
an
employee
otherwise
has
work
from
which
to
take
leave;
(2)
the
requirement
that
an
employee
may
take
FFCRA
leave
intermittently
only
with
employer
approval;
(3)
the
definition
of
an
employee
who
is
a
“health
care
provider,”
whom
an
employer
may
exclude
from
being
eligible
for
FFCRA
leave;
and
(4)
the
statement
that
employees
who
take
FFCRA
leave
must
provide
their
employers
with
certain
documentation
before
taking
leave.
In
its
revised
regulations,
DOL
does
the
following:
- Reaffirms
and
provides
additional
explanation
for
the
requirement
that
employees
may
take
FFCRA
leave
only
if
work
would
otherwise
be
available
to
them.
- Reaffirms
and
provides
additional
explanation
for
the
requirement
that
an
employee
must
obtain
employer
approval
to
take
FFCRA
leave
intermittently.
Continue Reading...
|
|
DOL Updates FFCRA Q&As for Fall 2020 School Year
|
08/31/2020
|
By: Morgan Geffre
|
The
Department
of
Labor
continues
to
update
the
Q&As
regarding
the
Families
First
Coronavirus
Response
Act
(FFCRA).
The
recent
updates
have
big
impacts
on
parents
of
school-aged
children
as
schools
tackle
the
decision
of
how
to
move
forward.
No
matter
what
local
schools
and
parents
decide,
it
is
important
that
employers
be
prepared.
Hybrid
Learning:
Under
this
model,
children
would
alternate
between
days
attending
school
in
person
and
participating
in
remote
learning.
Here,
parents
would
be
allowed
to
take
FFCRA
leave
on
the
days
that
the
child
is
home
participating
in
remote
learning,
because
school
is
effectively
“closed”
on
the
days
of
remote
learning.
The
requirement
still
applies
that
the
employee
must
actually
need
to
care
for
the
child
during
that
time
and
there
is
no
other
suitable
person
to
do
so.
Remote
Learning:
Some
schools
are
choosing
to
proceed
with
only
remote
learning
because
of
COVID-19.
Employees
with
children
who
attend
such
schools
would
be
eligible
for
FFCRA
leave
while
the
school
is
closed,
as
long
as
the
employee
meets
the
other
requirements.
In
the
event
the
school
reopens
at
a
later
time,
the
employee
may
lose
FFCRA
eligibility.
Elective
Remote
Learning:
If
an
employee
has
the
option
of
allowing
his
or
her
child
to
attend
in
person
classes
or
participate
in
remote
learning,
the
situation
changes.
Employees
who
voluntarily
sign
up
for
remote
learning
out
of
fear
their
child
will
contract
COVID-19
will
lose
eligibility
for
leave
under
the
FFCRA
because
the
school
Continue Reading...
|
|
New York Court Vacates Portions of FFCRA Regulations
|
08/19/2020
|
By: Tara Eberline
|
On
August
3,
2020,
a
federal
judge
in
the
U.S.
District
Court
for
the
Southern
District
of
New
York
invalidated
several
key
portions
of
the
U.S.
Department
of
Labor’s
(“DOL”)
Final
Rule
implementing
the
Families
First
Coronavirus
Response
Act
(“FFCRA”).
The
FFCRA
provides
emergency
paid
sick
leave
and
expanded
family
and
medical
leave
to
employees
unable
to
work
for
certain
qualifying
reasons
related
to
COVID-19.
After
Congress
passed
the
Act,
the
DOL
promulgated
a
Final
Rule
implementing
the
FFCRA’s
provisions.
Almost
immediately,
the
State
of
New
York
filed
suit
against
the
DOL,
claiming
that
several
portions
of
the
Final
Rule
exceeded
the
DOL’s
authority
under
the
FFCRA.
The
Court
largely
agreed
with
the
State
of
New
York,
striking
down
the
Final
Rule’s
(1)
“work
availability”
requirement;
(2)
definition
of
“health
care
provider;”
(3)
employer
consent
for
intermittent
leave
requirement;
and
(4)
the
requirement
that
employees
provide
documentation
before
taking
FFCRA
leave.
“Work
Availability”
Requirement
Under
the
Final
Rule,
employees
are
not
entitled
to
emergency
paid
sick
leave
or
expanded
family
and
medical
leave
if
their
employer
has
no
work
available
for
them.
The
State
challenged
this
requirement,
arguing
it
was
contrary
to
both
the
text
and
purpose
of
the
FFCRA.
The
Court
agreed,
describing
the
DOL’s
“barebones
explanation”
for
the
requirement
as
“patently
deficient,”
especially
when
considering
Continue Reading...
|
|
U.S. Department of Labor Issues Regulations Explaining Paid Sick Leave and Expanded FMLA Benefits Under FFCRA
|
04/01/2020
|
By: Teresa Shulda
|
Today,
the
U.S.
Department
of
Labor
issued
its
regulations
to
implement
the
Emergency
Paid
Sick
Leave
Act
and
Emergency
Family
and
Medical
Leave
Expansion
Act,
both of
which
are
part
of
the
Families
First
Coronavirus
Response
Act
(FFCRA
or
Act).
The
FFCRA,
which
became
law
on
March
18,
went
into
effect
today,
April
1.
The
FFCRA
The
FFCRA
requires
certain
employers
with
fewer
than
500
employees
to
provide
their
employees
with
paid
sick
leave
and
expanded
family
and
medical
leave
for
specified
reasons
related
to
COVID-19,
which
are
subject
to
a
100%
refundable
tax
credit.
Generally,
employers
covered
under
the
Act
must
provide
employees
up
to
two
weeks
(80
hours
or
a
part-time
employee’s
two-week
equivalent)
of
paid
sick
leave,
at
full
pay
(up
to
a
$511
per
day)
if
they
are
subject
to
a
quarantine
order
related
to
COVID-19,
they
have
been
advised
by
a
healthcare
provider
to
self-quarantine
related
to
COVID-19,
or
are
experiencing
symptoms
related
to
COVID-19.
The
Act
also
provides
for
up
to
two
weeks
of
paid
sick
leave
at
two-thirds
pay
(up
to
$200
per
day)
to
employees
if
they
are
caring
for
an
individual
who
is
subject
to
a
quarantine
order
or
has
been
advised
by
a
healthcare
provider
to
self-quarantine,
and
up
to
12
weeks
of
paid
sick
leave
Continue Reading...
|
|
DOL Issues FFCRA Employee Notice Form
|
03/25/2020
|
By: Boyd Byers
|
This
afternoon
the
United
States
Department
of
Labor
(DOL)
issued
its
model
notice
of
employee
rights
regarding
paid
sick
leave
and
expanded
family
and
medical
leave
under
the
Families
First
Coronavirus
Response
Act
(FFCRA).
The
model
notice
describes
information
regarding
the
FFCRA’s
paid
leave
entitlements,
eligibility
requirements,
qualifying
reasons
for
leave
related
to
COVID-19,
and
the
DOL’s
enforcement
authority.
A
copy
of
the
notice
is
available here.
Employers
are
required
to
post
this
notice
in
conspicuous
places
on
their
premises
where
notices
to
employees
are
customarily
posted.
However,
the
posting
requirement
does
not
become
effective
until
the
FFCRA’s
effective
date,
which
the
DOL
says
will
be
April
1.
Prior
to
that
date,
the
DOL
will
be
issuing
regulations
that
should
help
clarify
some
ambiguities
and
further
explain
employer
obligations
under
the
FFCRA.
Accordingly,
it
may
make
sense
for
employers
to
hold
off
on
posting
the
notice
until
then,
because
posting
could
generate
questions
about
issues
on
which
we
are
still
waiting
for
DOL
guidance.
Employers
should
discuss
this
with
their
legal
counsel.
You
can
read Foulston's
issue
alert
about
employers’
obligations
under
the
FFCRA here.
We’ll
provide
further
information
when
the
DOL
issues
its
regulations.
Stay
tuned!
|
|
Coronavirus: Tax and Employee Benefit Considerations – Part 2
|
03/24/2020
|
By: Jason Lacey
|
Employer-sponsored
group
health
plans
have
drawn
attention
regarding
coverage
for
certain
coronavirus-related
costs.
Under
the
FFCRA,
all
group
health
plans
are
now
required
to
provide
coverage
for
COVID-19
testing
without
imposing
deductibles,
copayments,
or
other
cost
sharing
—
and
without
requiring
prior
authorization
or
imposing
other
medical
management
standards.
This
coverage
must
include
both
the
cost
of
the
test
and
related
services,
such
as
charges
for
office,
telehealth,
urgent
care,
or
ER
visits
and
charges
for
the
collection
of
testing
samples.
The
testing
mandate
applies
to
all
types
of
group
health
plans,
including
fully
insured
plans,
self-insured
plans,
high
deductible
health
plans
(HDHPs),
and
plans
that
are
otherwise
“grandfathered”
from
certain
ACA
requirements.
The
mandate
also
applies
to
fully
insured
plans
sold
in
the
individual
insurance
market.
This
mandate
only
applies
to
coverage
of
COVID-19
testing
and
related
services.
Coverage
of
treatment
for
COVID-19
remains
subject
to
the
terms
of
each
plan,
including
applicable
cost
sharing
requirements.
IRS
Notice
2020-15
clarifies
that
an
HDHP
may
provide
benefits
for
COVID-19
testing
or
treatment
prior
to
satisfaction
of
the
minimum
deductible
without
jeopardizing
the
plan’s
status
as
an
HDHP.
Individuals
covered
under
an
HDHP
may
receive
no-deductible
or
low-deductible
coverage
for
these
costs
and
remain
eligible
to
contribute
to
a
health
savings
account
(HSA).
A
new
package
of
proposed
federal
legislation,
currently
called
the
CARES
Act,
would
provide
additional
flexibility
with
respect
to
HDHPs
and
HSAs:
- An
HDHP
could
provide
for
coverage
of
telemedicine
visits
even
if
the
HDHP
deductible
has
not
been
Continue Reading...
|
|
Coronavirus: Tax and Employee Benefit Considerations – Part 1
|
03/23/2020
|
By: Jason Lacey
|
The
Families
First
Coronavirus
Response
Act
(FFCRA),
which
was
enacted
on
March
18,
2020,
established
two
new
categories
of
paid
leave
to
assist
workers
needing
time
off
for
certain
coronavirus-related
purposes:
(1)
up
to
two
weeks
of
paid
sick
leave,
and
(2)
up
to
ten
weeks
of
paid
FMLA
leave.
These
paid
leave
mandates
apply
to
private
sector
employers
with
fewer
than
500
employees
and
public
sector
employers
of
any
size.
Although
the
FFCRA
requires
covered
employers
to
provide
these
new
types
of
paid
leave
to
qualifying
employees,
it
establishes
a
process
for
eligible
employers
to
obtain
reimbursement
from
the
federal
government
for
the
cost
of
the
paid
leave
through
refundable
credits
against
Social
Security
payroll
taxes.
The
tax
credit
is
available
to
all
private
sector
employers
that
are
subject
to
the
FFCRA
paid
leave
mandates,
regardless
of
the
type
of
entity
(C
corporation,
S
corporation,
partnership,
LLC,
or
sole
proprietorship).
Public
sector
employers
are
expressly
excluded
from
eligibility
for
the
tax
credit,
although
they
are
subject
to
the
paid
leave
mandates.
Private
sector
employers
with
500
or
more
employees
also
are
not
eligible
for
the
credit,
even
if
they
voluntarily
provide
paid
leave
that
mirrors
the
FFCRA
requirements.
An
eligible
employer’s
payroll
tax
credit
for
each
calendar
quarter
is
an
amount
equal
to
100%
of
the
qualified
sick
leave
wages
and
100%
of
the
qualified
family
leave
wages
paid
by
such
employer
for
the
quarter.
The
credit
is
limited
to
the
maximum
amount
of
the
paid
leave
required
to
be
paid
Continue Reading...
|
|
Families First Coronavirus Response Act Becomes Law
|
03/19/2020
|
By: Sarah Stula
|
Last
week,
the
U.S.
House
of
Representatives
passed
the
Families
First
Coronavirus
Response
Act
(H.R.
6201),
which,
among
many
other
things,
provides
paid
leave
for
employees
who
must
stay
home
to
care
for
themselves
or
their
families
during
the
COVID-19
pandemic.
Yesterday,
the
Senate
passed
the
Act,
and
President
Trump
signed
it
into
law.
The
Act
makes
sweeping
changes
to
the
Family
and
Medical
Leave
Act
(FMLA)
and
has
immediate
consequences
for
employers.
The
Act
creates
two
types
of
paid
leave:
(1)
up
to
two
weeks
of
sick
leave
for
an
employee
who
is
subject
to
quarantine
or
experiencing
COVID-19
symptoms,
is
caring
for
someone
who
is
quarantined
or
ill,
or
is
caring
for
a
child
who
cannot
go
to
school;
(2)
and
up
to
12
weeks
of
FMLA
leave
for
an
employee
to
care
for
a
child
who
cannot
go
to
school
or
daycare
because
of
COVID-19.
Employers
will
be
subsidized
for
the
paid
leave
through
tax
credits.
Employers
must
prepare
to
implement
the
Act
as
soon
as
possible.
Though
a
deep
dive
is
needed
to
fully
understand
your
organization’s
obligations
under
the
Act
and
implement
a
compliance
plan,
here
are
some
of
the
important
things
you
should
know
right
now.
1.
When
is
the
Act
effective?
The
new
paid
leave
rules
will
take
effect
“not
later
than”
April
2,
2020,
and
expire
on
December
31,
2020.
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Editors
Don Berner, the Labor Law, OSHA, & Immigration Law Guy
Boyd Byers, the General Employment Law Guy
Jason Lacey, the Employee Benefits Guy
Additional Sources

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