The FFCRA Paid Leave is Dead (Unless You Liked It)

The Families First Coronavirus Response Act's (FFCRA) paid leave provisions have expired. The law, which was effective from April 1 through December 31, 2020, required businesses with fewer than 500 employees to provide employees with emergency paid sick leave (EPSL) and emergency family medical leave (EFMLA) in limited coronavirus-related circumstances, and provided businesses with a refundable tax credit for the leave provided. The Consolidated Appropriations Act, which Congress pushed through at the end of 2020, did not extend the FFCRA's paid leave requirement, thus allowing it to expire as scheduled. At the same time, however, the Consolidated Appropriations Act provided that employers may continue to provide EPSL and EFMLA voluntarily until March 31, 2021, and claim a tax credit for the leave provided.

The FFCRA's EPSL and EFMLA were woefully inadequate to address the workplace absences generated by the crisis, leaving many coronavirus-related absences uncovered and generating confusion and frustration for businesses. Many are glad to see it go. If, however, you wish to continue providing this paid leave benefit to employees through March 31, 2021, be sure to collect the required documentation so that you can claim the tax credit.

Vandeventer Black LLP is available to assist businesses in addressing workplace absences and other coronavirus issues.