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Highlights from the Families First Coronavirus Response Act

On March 18, 2020, the Senate passed the “Families First Coronavirus Response Act,” which contains provisions related to mandatory paid leave for employers with fewer than 500 employees.

Under the new Act, the Family Medical Leave Act (FMLA) is temporarily revised to include any employee who has been employed for 30 days. The one year/1250 hours/50 employees do not apply. The qualifying events are limited primarily  to care for children whose school/day care has been disrupted by COVID-19. However, other than the first 10 days of FMLA  leave under this act which can be unpaid – or paid through other existing PTO coverage – the remainder of the leave is paid at 2/3 the employee’s regular rate of pay capped at $200/day and $10,000 in the aggregate. This can get very expensive.

Conversely, the paid sick time is far broader in coverage and effectively applies to any COVID-19 related health issue whether it be for the individual, a child or for someone for whom they are caring. Payment is at the employee’s regular rate if the employee is the affected person and at 2/3 of their regular rate if they are caring for another person. This provision of the act is for 10 days of sick time which is intended to supplement, and not in any manner diminish, existing PTO.

The other very important component of the paid sick leave provision is that violations will be treated under the penalties of the FLSA – including liquidated damages (i.e. the same as overtime).

There is a provision that allows for the Secretary of Labor to exclude from mandatory participation a business with viability issues, but that only applies to businesses with fewer than 50 employees.

Click below to see more details:

Highlights from the Families First Coronavirus Response Act

Did You Know? Employee Handbooks

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Employee handbooks: love ’em or hate ’em, they are a powerful tool for employers and employees alike. Handbooks benefit employees by letting them know at the outset how they are expected to conduct themselves, how they may be rewarded for good work, how to properly request leave, and so on. Handbooks benefit employers by setting forth policies up front; so, in the event an employee runs afoul of the rules, the employee can’t claim ignorance. One huge pitfall with employers, however, is that either their policies are sorely out of date; or, even worse, they don’t have one at all.

At Law Offices of Charles Eiss, P.L., we implore our corporate clients to maintain and use an employee handbook. More than that, we make sure that the policies contained therein are up to date with the current laws and include policies covering new employment issues; such as social network harassment, internet use at work, and BYOD** policies.

I’ve always said that small business owners don’t want to be employers per se. Rather, the boutique owner with a shop in Coral Springs wants to sell her handmade jewelry; and the Greek restaurant owners in Pembroke Pines want to share their family recipes with the neighborhood. However, as these businesses grow, each owner may find that in order to continue meeting the needs of their customers, they must hire employees. With that decision comes a whole slew of new laws to learn and navigate to avoid lawsuits and disgruntled employees. An employee handbook, even in its most simple form, is a valuable tool all employers need to have in their arsenal.

If you are a small business owner in South Florida who wishes to protect your business from litigation, please give us a call.

** Don’t know what this is? Your employee handbook may be out of date!

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