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Friday, January 8, 2021
On December 27, 2020, President Trump signed into law the Consolidated Appropriations Act, 2021 (the CAA), a second stimulus package and the most recent of several major pieces of legislation to be enacted since the start of the COVID-19 pandemic last March. Many of the provisions in the CAA extend or clarify relief provided in the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) and the Families First Coronavirus Response Act (FFCRA) enacted earlier this year. The following is a general overview of key provisions of the CAA as it relates to employee benefits. Please note that this is a new law and agency guidance is likely to be issued over the next year or so, therefore you may wish to seek advice of counsel with respect to these issues.
Department of Labor Publishes Guidance on Expiration of Paid Sick and Medical Leave
The departmentâs Wage and Hour Division created an FAQ to answer questions about the Families First Coronavirus Response Act expiration.
By Nikki Johnson-Bolden
Jan 06, 2021
The U.S. Department of Labor’s Wage and Hour Division (WHD) published guidance on December 31 that informs workers and employers about the expiration of the Families First Coronavirus Response Act (FFCRA).
The FFCRA’s paid sick leave and expanded family and medical leave requirements expired on December 31, 2020. The guidance, which has been compiled into a Frequently Asked Questions page on the WHD website, answers questions about the use of leave entitlement after the expiration date. The FAQ also explains how WHD plans to continue to enforce authority over employers’ leave responsibilities.
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The long-awaited stimulus relief bill has officially been enacted. On Dec. 21, 2020, Congress passed the Consolidated Appropriations Act, 2021 (Bill), several months after aid had lapsed for many individuals and businesses from the first stimulus bill passed early-on in the COVID-19 pandemic. Congress came together to push through a 5,593 page, $900 billion stimulus package intended to help those individuals and businesses who continue to struggle economically as a result of the ongoing pandemic. After expressing bipartisan criticism of its contents, President Trump finally signed the Bill on Dec. 27, 2020.
So, what exactly out of the nearly 6,000 pages is important for employers to know? Here are some of the key items:
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The Families First Coronavirus Response Act (FFCRA), part of the federal response to the coronavirus pandemic in the US, required employers with less than 500 employees to provide emergency paid sick leave and emergency paid family leave for specified reasons relating to COVID-19. The FFCRA was set to expire on December 31, 2020. The new COVID-19 relief bill just signed by President Trump does not extend employee rights to leave under the FFCRA beyond December 31, 2020 but does allow employers who voluntarily allow employees to complete or take FFCRA leave up to their original leave entitlements to claim the FFCRA tax credit through March 31, 2021. While leave under the FFCRA was not extended, employers must continue to comply with other laws and ordinances providing employees with additional leave rights.