Coronavirus HR/Employment Practices Update
April 10, 2020
Employers Permitted to Pay Partial Wages for Paid Sick Leave & Paid Family/Medical Leave Act
Employers with fewer than 500 employees are required to provide paid sick leave and paid family/medical leave for COVID-19 related reasons. However, if your employees are working a reduced schedule, your obligation for paid leave is reduced as well. Additionally, the Department of Labor has stipulated that furloughed employees are not eligible for federal emergency paid sick leave and family/medical leave.
Families First Act Requires Employers to Post Notice
Each covered employer must post a notice of the Families First Coronavirus Response Act (FFCRA). The notice must be posted in a conspicuous place where notices are typically posted. If your employees are working remotely, it may be posted on a company intranet or sent to employees by email; however, it must be posted at the workplace as well.
Link to Required Poster
Furloughs May Have Advantages Over Layoffs*
Many employers are choosing furloughs over layoffs. Furloughs can provide advantages including:
– positive perception among your employees
– the ability to retain top talent and ready pool of employees
– may help avoid triggering payments due to employees (PTO, for example)
– avoids severance benefits
– employers may have the option to continue employee insurance benefits
*Some states have specific requirements limiting the advantages of furloughs.