The Families First Coronavirus Response Act (FFCRA) was the first piece of emergency legislation passed by the federal government in response to the global outbreak of coronavirus/COVID-19.
You can read additional guidance and answers to specific questions in this post: Families First Coronavirus Response Act Guidance and FAQ.
- Available Benefits Include:
- Up to 12 weeks of paid Family Medical Leave for those caring for a child who is home from school.
- 2 weeks of Paid Sick Time for those diagnosed with or quarantined as a result of coronavirus.
- Tax credits for employers paying emergency benefits.
- Employers can receive a dollar-for-dollar tax credit for any leave payments made to employees under this law (including the cost of covering their health insurance premiums during leave). The IRS has implemented a system for prompt payment of tax credits.
- Employees who have been temporarily furloughed due to an office closure or lack of work are not entitled to paid leave benefits under this law — they should seek unemployment benefits.
- The legislation only applies to certain coronavirus related absences; not to lack of work due to business closure.
- The law applies to all US employers with fewer than 500 employees.
- Only specific employees who are sick/quarantined, caring for a sick/quarantined family member or a child whose school is closed are eligible for paid time off under the law. All other employees who experience lack of work due to the virus are eligible for unemployment, but not employer-sponsored paid time off under this law.
- Small businesses with fewer than 50 employees may qualify for an exemption from some of the requirements under the law.
- Certain Healthcare provider and emergency response employees may be exempted from paid sick leave requirements.
Employers are required to provide notice to employees about this law.
Read More Families First Coronavirus Response Act Guidance and FAQ
The federal government has passed the ‘third phase’ of emergency legislation, called the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”), in response to the present outbreak of coronavirus/COVID-19.
The 880-page piece of legislation includes information on available SBA loans for employers, what those funds can and cannot be used for, as well as the forgivability of those loans.
CEDR Solutions is not able to offer guidance to employers on the subject of small business loans, so you will need to work with your CPA or bank to determine your business’ best course of action with respect to the CARES Act.
Still, we’ve provided a brief summary of the legislation and how it applies to your business on our blog.
The federal government has extended the availability of unemployment benefits to cover many individuals who would not otherwise have coverage during the current pandemic. This includes coverage for parents who have to take care of children, coverage for the self-employed, coverage for individuals who have yet to start a new job, and more. Read the full blog for details.
