Family First Coronavirus Response Act
Since March 18 when President Trump signed this act, employers and advisors alike have worked to understand the provisions and the application to their specific business. Below is a more simplified explanation of the paid leave benefits and the government’s mechanism to refund the employer.
Can employees use both of these programs?
Yes. The employee can take two weeks of emergency paid sick leave before utilizing the emergency family medical leave.
Do the days taken have to be consecutive?
No. They cannot exceed the thresholds of 10 days for emergency paid sick leave or 50 days of emergency family medical leave.
Are any employers exempt?
Employers with less than 50 employees can be exempt if they can demonstrate that payment of sick leave jeopardizes the viability of their business. The Department of Labor has not issued guidance on how to calculate this exemption.
Are any employees exempt?
Employers can exempt healthcare workers at their discretion. The definition of a healthcare worker is very narrowly defined by the Department of Labor as a doctor of medicine, osteopathy, podiatrist, dentist, chiropractor or nurse practitioner. This may be expanded in future Department of Labor guidance.
What if my employees have accrued sick and vacation leave?
Employees may elect to use accrued leave for the first two weeks of emergency family medical leave, but the employer cannot require this.
When is this legislation effective?
April 1, 2020
Remember that every situation is different, and your advisors at GranthamPoole are ready to listen and provide thoughtful solutions. Additionally, the pending CARES Act may offer other options for your business. More information may be found at the Department of Labor website here. Contact us or request a consultation to learn more.