Navigating uncharted waters: what employers should know about the FFCRA

In March, Congress passed the Families First Coronavirus Response Act (FFCRA) to provide paid leave to employees who must stay home to care for themselves or their families during the COVID-19 pandemic. The FFCRA is a big change for employers, to say the least. As you navigate the Act’s uncharted waters, here are some facts and questions to get you started.

2 types of leave for COVID-19

In a nutshell, the FFCRA created two types of leave related to COVID-19:

• Up to two weeks of paid sick leave for an employee who is ill, subject to quarantine, or caring for (1) someone who is quarantined or ill or (2) a child who cannot go to school or daycare; and
• Up to 12 weeks of expanded Family and Medical Leave Act (FMLA) leave (10 weeks' paid) for an employee to care for a child who cannot go to school or daycare.

The requirements expire on December 31, 2020.

Private employers will be subsidized for paid leave through payroll tax credits, dollar for dollar. If there aren’t enough payroll taxes to cover the cost of all qualifying paid leave provided, employers can file a request for an accelerated payment from the IRS.

FFCRA covers smaller employers