Shruti Gurudanti, Rose Law Group chair of corporate transactions, comments on recent changes to Families First Coronavirus Response Act

By U.S. Department of Labor

WASHINGTON, DC – The U.S. Department of Labor’s Wage and Hour Division (WHD) today announced additional guidance to provide information to workers and employers about protections and relief offered by the Families First Coronavirus Response Act (FFCRA). The FFCRA’s paid sick leave and expanded family and medical leave requirements will expire on Dec. 31, 2020.

The new guidance, in the form of Frequently Asked Questions on the WHD website, addresses whether workers who did not use their leave entitlement under the FFCRA in 2020 may use such leave after Dec. 31, 2020. It also explains how WHD will maintain its enforcement authority over employers’ leave responsibilities while the FFCRA’s paid leave requirements were in effect, even after these leave entitlements have expired.

Additionally, the Consolidated Appropriations Act (CAA), 2021, extended employer tax credits for paid sick leave and expanded family and medical leave voluntarily provided to employees until March 31, 2021. However, the CAA did not extend employees’ entitlement to FFCRA leave beyond Dec. 31, 2020, meaning employers will no longer be legally required to provide such leave.

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“Businesses need to take note of the recent changes to the Families First Coronavirus Response Act (FFCRA). The FFCRA required employers with less than 500 employees to provide paid leave to employees in certain COVID19 related instances. In 2021, employers are no longer required to provide paid leave to employees under the FFCRA. That said, employers continue to have the flexibility and option to provide FFCRA leave and receive IRS tax credits through March 31, 2021.”

Shruti Gurudanti, Rose Law Group chair of corporate transactions

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