Families First Coronavirus Response Act
Updated: Apr 20, 2020
Applies to all companies with fewer than 500 employees
* Employers with fewer than 50 workers may be able to apply for an exemption from providing paid family and medical leave and paid sick leave if it would jeopardize the viability of the business.
Becomes effective April 1, 2020 and is set to automatically expire on December 31st, 2020
EMERGENCY PAID SICK LEAVE ACT
Employers are required to provide full-time employees (regardless of how long the employee has been employed) with 80 hours of paid sick leave if they are absent from work for reasons related to Coronavirus (see details below)
Part time employees receive only the number of hours they have worked over an average two-week period.
Healthcare providers and emergency responders may be excluded from the definition of employee who are allowed to take this leave
An employee's leave must be for one of the following purposes:
The employee is subject to a government quarantine/isolation order related to Coronavirus
The employee has been advised by a health care provider to quarantine for Coronavirus concerns
The employee is experiencing symptoms of Coronavirus and seeking a medical diagnosis
The employee is caring for an individual who is subject to an order as described above or has been advised by a health care provider as described above
The employee is caring for a child if the child's school or place of care has been closed or the child's childcare provider is unavailable due to Coronavirus precautions
The employee is experiencing any other substantially similar conditions specified by the Secretary of Health and Human Services in consultation with the Secretary of the Treasury and the Secretary of Labor
FAQs from the Department of Labor regarding the FFCRA can be viewed here:
- Employees who need leave to care for themselves are entitled to their full regular rate of pay for the number of hours they would work per day.
* Employers are allowed to cap this amount of paid benefits at $511 per day ($5,110 aggregate) per employee
- Employees who need leave to care for others - including children home from school or without childcare - are entitled to 2/3 of their regular rate of pay (or the applicable minimum wage, if greater).
* The amount of paid sick leave for this leave is capped at $200 per day ($2000 aggregate) per employee
- Employers must provide these benefits IN ADDITION TO any existing paid leave benefits.
EMERGENCY FAMILY MEDICAL LEAVE ACT
- This is available to eligible employees to care for the employee's child (under 18 years old) if the child's school or place of care is closed, or the child's childcare provider is unavailable, due to Coronavirus.
* Employees must have worked for the employer for at least 30 days
- Employers may provide the first 10 days of this leave without pay, however, employees can elect to substitute or use otherwise accrued paid leave during this time or their paid sick leave provided by the Emergency Paid Sick Leave Act.
- After this initial 10 day period, employers must provide additional paid leave to their employees for the remaining 10 weeks, but only at 2/3 of the employee's regular rate of pay for the number of hours the employee would normally be scheduled to work.
* The amount of pay during these 10 weeks is capped at $200 per day ($10,000 aggregate) per employee.
- Employees are required to give their employers as much notice as practicable when this type of leave is foreseeable.
EMPLOYER EXEMPTION FROM PAID LEAVE REQUIREMENTS More information on how small businesses can apply for an exemption from the Paid Leave requirements can be found by Clicking Here
EMPLOYER TAX CREDITS
- This act provides for a refundable tax credit to employers for 100% of the qualified sick leave wages paid to their employees.
FAQs from the IRS regarding these tax credits are available by Clicking Here Contact Easytrack Payroll if you need to set up paid leave for any your employees. We will work with you to ensure everything is recorded and tracked properly.