U.S. law makers enacted a relief package for US employees and individuals. The Families First Coronavirus response Act will:
- Require employers with 500 or fewer employees to provide up to 14 days of paid sick leave due to a public health emergency (such as COVID‐19). The 14 days’ paid leave is available to employees for:
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- Self-isolation due to coronavirus diagnosis
- Medical diagnosis or care if the employee is experiencing coronavirus symptoms
- Compliance with a recommendation or order by a public official with jurisdiction or health care provider on the basis that the physical presence of the employee on the job would jeopardize the health of others due to either:
- Employee’s exposure to coronavirus
- Employee’s exhibition of coronavirus symptoms
- Caring for or assisting a family member who is either:
- Self-isolating due to coronavirus diagnosis
- Experiencing coronavirus symptoms and needs medical diagnosis or care
- Caring for his or her child because the child’s school or place of care has been closed, or the child’s care provider is unavailable due to coronavirus
- Eligible employees will receive 100% of their salaries, up to $511 per day
- Employers bear the cost of the paid sick leave
- Employers with 50 or fewer employees may be eligible for a federal tax credit to offset the cost of the paid sick leave
- The Families First paid leave is in addition to paid leave already provided by the employer
- The Families First paid leave entitlement will expire on December 31, 2020. The paid leave will not carry over into 2021
In addition, the Act provides for:
- Up to 12 weeks’ leave for workers at two-thirds of their wages (up to $4,000 total), paid through the Social Security Administration, related to the employee’s own or a covered relative’s illness caused by COVID-19
- The first two weeks of leave may be unpaid
- The 12 week leave program is one year only, commencing (retroactively) in January 2020 and expiring in January 2021
- The employer must offer the employee the same or a comparable position upon the employee’s return from the leave
- Free COVID‐19 testing for all
- Emergency food assistance to households with children who normally receive free or reduced‐price meals in school, if school is closed for five days or longer
- Assistance to states to help process unemployment benefit applications more quickly.
Pearl Cohen is prepared to assist our clients with any COVID-19 related-questions.