On March 19, 2020, President Trump signed into law the Families First Coronavirus Response Act, (H.R. 6201) in response to the COVID-19 outbreak.
The Act provides paid sick leave, allows free testing for COVID-19, expands food assistance and unemployment benefits, and requires employers to provide additional protections for healthcare workers. The most significant benefits for employees are outlined below.
Emergency Paid Leave Act of 2020
The Emergency Paid Leave Act of 2020 (EPLA) requires government entities and employers with less than 500 workers to provide 80 hours of paid sick leave to all covered employees. A “covered employee” includes:
(1) Employees subject to a Federal, State, or local quarantine or isolation order related to COVID–19.
(2) Employees who are advised by a health care provider to self-quarantine due to concerns related to COVID– 19.
(3) Employees experiencing symptoms of COVID– 19 and seeking a medical diagnosis.
(4) Employees who are caring for an individual who is subject to an order as described in subparagraph (1) or has been advised as described in paragraph (2).
(5) Employees who are caring for a son or daughter of such employee if the school or place of care of the son or daughter employees who are subject to a federal, state, or local quarantine or isolation order related to COVID-19.
All employees are eligible for paid sick leave. Part-time employees are also eligible and would receive the average pay of their hours worked over a two-week period. To cover the cost of the leave, employers will receive a refundable payroll tax credit.
Emergency Family & Medical Leave Expansion
The Emergency Family & Medical Leave Expansion (EFMLA) expands the current Family & Medical Leave Act to allow coverage for a new classification of leave: leave for a “qualifying need related to a public health emergency” such as COVID-19.
For emergency paid family and medical leave, employees caring for a minor child are entitled two-thirds of their average earnings for 10 weeks, with a maximum benefit of $200.00 per day or $10,000.00 total. Employees are eligible if they have worked for their employer for at least 30 days and their child’s school or daycare are closed as a result of COVID-19.
Unlike the current Family and Medical Leave Act, there is no requirement for the employer have more than 50 employees. However, employers with 50 or fewer employees can request a waiver. Employers with fewer than 25 employees do not have to restore employees to their previous positions. The first 10 days of such leave would be unpaid; however, employers cannot compel employees to use current vacation or sick time before receiving the benefit. This leave would be available during the window of time beginning 15 days after the bill is enacted and ending on Dec. 31, 2020.
Analysis
The FFCRA constitutes some of the most significant changes to FMLA since its inception in 1993. While the final bill was weaker than the first House version, we now have the first federal legislation allowing for either paid sick leave and/or paid FMLA leave. Though the bill will not cover all employees, it significantly expands the number of employees who would be covered under both acts.
The Families First Coronavirus Response Act will be in force throughout the remainder of 2020, so if the COVID-19 outbreak continues, employees should be able to use the limited leave over a large period of time. We also foresee states and local governments copying portions of the FFCRA and passing similar legislation.
The Act provides paid sick leave, allows free testing for COVID-19, expands food assistance and unemployment benefits, and requires employers to provide additional protections for healthcare workers. The most significant benefits for employees are outlined below.
Emergency Paid Leave Act of 2020
The Emergency Paid Leave Act of 2020 (EPLA) requires government entities and employers with less than 500 workers to provide 80 hours of paid sick leave to all covered employees. A “covered employee” includes:
(1) Employees subject to a Federal, State, or local quarantine or isolation order related to COVID–19.
(2) Employees who are advised by a health care provider to self-quarantine due to concerns related to COVID– 19.
(3) Employees experiencing symptoms of COVID– 19 and seeking a medical diagnosis.
(4) Employees who are caring for an individual who is subject to an order as described in subparagraph (1) or has been advised as described in paragraph (2).
(5) Employees who are caring for a son or daughter of such employee if the school or place of care of the son or daughter employees who are subject to a federal, state, or local quarantine or isolation order related to COVID-19.
All employees are eligible for paid sick leave. Part-time employees are also eligible and would receive the average pay of their hours worked over a two-week period. To cover the cost of the leave, employers will receive a refundable payroll tax credit.
Emergency Family & Medical Leave Expansion
The Emergency Family & Medical Leave Expansion (EFMLA) expands the current Family & Medical Leave Act to allow coverage for a new classification of leave: leave for a “qualifying need related to a public health emergency” such as COVID-19.
For emergency paid family and medical leave, employees caring for a minor child are entitled two-thirds of their average earnings for 10 weeks, with a maximum benefit of $200.00 per day or $10,000.00 total. Employees are eligible if they have worked for their employer for at least 30 days and their child’s school or daycare are closed as a result of COVID-19.
Unlike the current Family and Medical Leave Act, there is no requirement for the employer have more than 50 employees. However, employers with 50 or fewer employees can request a waiver. Employers with fewer than 25 employees do not have to restore employees to their previous positions. The first 10 days of such leave would be unpaid; however, employers cannot compel employees to use current vacation or sick time before receiving the benefit. This leave would be available during the window of time beginning 15 days after the bill is enacted and ending on Dec. 31, 2020.
Analysis
The FFCRA constitutes some of the most significant changes to FMLA since its inception in 1993. While the final bill was weaker than the first House version, we now have the first federal legislation allowing for either paid sick leave and/or paid FMLA leave. Though the bill will not cover all employees, it significantly expands the number of employees who would be covered under both acts.
The Families First Coronavirus Response Act will be in force throughout the remainder of 2020, so if the COVID-19 outbreak continues, employees should be able to use the limited leave over a large period of time. We also foresee states and local governments copying portions of the FFCRA and passing similar legislation.
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