Department of Labor Changes Effective Date of Families First Coronavirus Response Act to Wednesday April 1, 2020

March 28, 2020

On March 24th, the U.S. Department of Labor’s Wage and Hour Division (WHD) published guidance on the Families First Coronavirus Response Act (FFCRA). The FFCRA applies to businesses with fewer than 500 employees and provides employees with paid leave, either for the employee’s own health needs or to care for family members. Most importantly, the WHD has announced that the FFCRA will take effect on April 1, 2020, not April 2, 2020 as previously understood.

The guidance is in the form of a Fact Sheet for Employees, a Fact Sheet for Employers and a Questions and Answers document, all of which can be accessed via the links below. Notably, the guidance does not offer interpretation of any questions left unanswered by the broad language of the FFCRA, but it does provide an easy to follow outline of its general requirements and entitlements. Further guidance and regulations are expected in the coming days, and a workplace poster required for most employers will be published later this week.

https://www.dol.gov/agencies/whd/pandemic/ffcra-employer-paid-leave

https://www.dol.gov/agencies/whd/pandemic/ffcra-questions

We are here to help. Please contact Ethan O’Shea with any questions at (215) 661-0400, ext. 1521 or EOShea@HRMML.com.

Questions Every Business Must Ask

Q. Has your business recently reviewed its legal structure to determine whether it is set up in the most advantageous manner for legal and tax purposes, considering recent developments and changes in the law?

Q. Do the owners of your business have a current, updated buy-sell agreement which controls how ownership interests in the business are to be transferred in the event of an owner’s death, disability or termination of employment?

Q. Have the owners of your business developed a succession plan to define how ownership and authority will transition upon the death or retirement of the present owners?

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