TIA ISSUES FAMILIES FIRST CORONAVIRUS RESPONSE ACT FACT SHEET

Guidance & Clarifications for Employers on Recent Congressional Updates to FMLA & New Federal Paid Sick Leave

FOR IMMEDIATE RELEASE
CONTACT: [email protected]

MARCH 18, 2020 – ALEXANDRIA, VIRGINIA – Transportation Intermediaries Association (TIA) Is Working with the Administration, Federal Agencies & Congress on Addressing the Concerns of Our Members During the Coronavirus Disease (COVID-19) Global Pandemic. The Senate Just Passed H.R. 6201, the “Families First Coronavirus Response Act.” This Legislation, Which Will Be Signed into Law by President Trump Shortly, Addresses Leave Benefits in Two (2) Ways, Detailed Below.

TEMPORARILY AMENDS THE FAMILY & MEDICAL LEAVE ACT (FMLA) [EXPIRING 12/31/2020]

Covers Employers with 500 or Fewer Employees

Employee Must Be Employed for 30 Days to Be Eligible

Applies When Employee Needs to Leave for the Following COVID-19 Related Issues:

• School or Child-Care Closure

Employees Entitled to 12-Weeks of Leave

• First Two-Weeks (2) May Consist of Unpaid Leave (Subject to Other Leave Benefits That Employee May Elect to Utilize)
• Full-Time Employee Must Then Be Paid Two-Thirds (2/3) of Their Regular Rate Pay
• Limits Capped at $200 Per Employee Per Day OR $10,000 Aggregated

Possible Exemption for Employers with Fewer Than 50 Employees (Determined by the Secretary of Labor)

• A Rulemaking Is Likely Forthcoming to Address How These Requests Will Be Handled
• Standard: Jeopardizes the Viability of the Business as a Going Concern

NEW FEDERAL PAID SICK LEAVE [EXPIRING 12/31/2020]

Covers Employers with 500 or Fewer Employees Via Refundable Tax Credits

Employer Must Post Notice Informing of Employee Right to Emergency Paid Sick Leave

Employer May Not Change Current Policy in Order to Avoid New Provisions Enacted by This Law

Employee Is Covered from the First Day of Hire

80-Hours Paid Sick Leave for the Following COVID-19 Related Issues (Pro Rata for Part-Time Employees)

• Self-Isolation (Paid at Regular Rate)*
• Diagnosis of COVID-19 (Paid at Regular Rate)*
• Compliance with an Order to Stay Away from Work Due to Employee’s Exposure to COVID-19 or Employee’s Symptoms of COVID-19 (Paid at Regular Rate)*
• Care for Family Member Who Is Self-Isolating or Has COVID-19 (Paid at Two-Thirds [2/3] Regular Rate)**
• Care for a Child Whose School or Child Care Has Been Closed (Paid at Two-Thirds [2/3] Regular Rate)**

*Would Cap Limits at $511 Per Employee Per Day OR $5,110 Aggregate
** Would Cap Limits at $200 Per Employee Per Day OR $2,000 Aggregate

TIA Understands That This Could Have Negative Impacts on Some of Our Members – Especially During This Time of Uncertainty in the Marketplace. In Order to Pay for These Additional Costs, the Bill Has Provided a Tax Credit to Cover Associated Costs.

The Credit Can Be Applied to the Tax the Company or Nonprofit Normally Pays for Each Employee’s Social Security. If the Costs Associated with Sick Leave or Family Medical Leave Are Greater Than the Employer’s Social Security Bill, the United States Government Will the Employer a Check to Cover the Difference in Costs.

You Can Also Download a Cheat Sheet with a Breakdown of This Information Here.

PLEASE NOTE: There Is No Mandate for Companies with 500+ Employees.
Congress Has Already Begun Work on Phase III of the Coronavirus Relief Efforts. TIA Will Continue to Monitor the Situation & Provide Members with Updates as Action Is Taken.

If You Have Any Questions or Need Any Additional Information, Please Contact [email protected].