The Department of Labor (DOL) released several items to help employers and employees better understand the new Families First Coronavirus Response Act (FFCRA).

Families First Coronavirus Response Act (FFCRA) Poster

Two versions of the poster were released:

  1. Non-Federal Employee Poster
  2. Federal Employee Poster

Families First Coronavirus Response Act (FFCRA) Notice FAQ

In addition to these posters, the DOL has released a FAQ addressing distribution and eligible population questions.

Highlights of the FAQ:

  • Employers need to hang the poster in a conspicuous area on the company’s premises. However, given the number of employees currently working from home, employers are able to email or direct mail the poster as well (please keep records of any mailings to ensure proof of attempted delivery)
  • Employers do not need to provide the poster to recently laid-off employees or potential new hires. However, employers must give notice of the FFCRA requirements to new hires
  • Translation into other languages is not required at this time. However, the DOL is working on translating posters

General FFCRA Questions and Answers:

In addition to the FFCRA poster FAQs, the DOL has provided another FAQ addressing more general questions regarding the FFCRA.

Highlights of the FFCRA Questions and Answers:

The effective date of the regulation is April 1, 2020 (was originally set to start April 2nd). Employees are considered to have been employed for at least 30 calendar days if the employer had the employee on its payroll for 30 calendar days immediately prior to the day an employee’s leave would begin.

For example, if an employee wants to take leave on April 1, 2020, the employee would need to have been on the payroll as of March 2, 2020.

Families First Coronavirus Response Act (FFCRA) Fact Sheet

For Employers:

The Families First Coronavirus Response Act: Employer Paid Leave Requirements outlines the main points of the law. In addition to what benefits the law provides, it also makes mention of:

  • Tax Credits: Employers are eligible for 100% reimbursement of any wages paid (up to FFCRA daily caps and aggregate limits) through reduction in payroll tax credits
  • Guidance was recently provided by the IRS
  • Health insurance costs incurred to continue coverage under the new law are also included in the credit
  • If there are not enough payroll taxes owed, an employer may request an accelerated payment from the IRS
  • Penalties and Enforcement: Employers will be subject to the penalties and enforcement
  • Outlined in Sections 16 and 17 of the Fair Labor Standards Act (FLSA) for failure to provide two weeks paid sick leave
  • Employers in violation of provision providing for up to 10 weeks of paid leave (e.g., emergency FMLA) or for daycare closure/school closure are subject to enforcement provision of the traditional FMLA
  • The Department of Labor will provide a 30-day non-enforcement period following the law’s enactment (March 18, 2020 through April 17, 2020)

For Employees:

The Families First Coronavirus Response Act: Employee Paid Leave Rights provides employees with simplified details on their benefits and rights under the new law. The Fact Sheet should also provide employers with helpful assistance in responding to employee questions.

The Fred C. Church Employee Benefits Team Is Available to Help

As your employee benefits resource, we will continue to provide useful information as it becomes available.

Please reach out to your Account Management Team for additional information that we have available to address layoff/furlough questions and impacts on insurance, and other materials to assist employees with stress management during this challenging time, and more.

Be sure to visit the Fred C. Church COVID-19 Resource Hub where you can find more information about common commercial insurance coverages and how they may respond to a business loss, unique business risks associated with the pandemic, COVID-19-related employee benefits considerations, and other helpful resources.

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