In response to an August federal court decision that invalidated four of the requirements under the emergency paid sick leave and expanded family and medical care leave provisions of the Families First Coronavirus Response Act (FFCRA), the U.S. Department of Labor (DOL) has made changes and clarifications to the existing temporary rule in place under the FFCRA since April 1 (currently due to expire Dec. 31). These changes took effect Sept. 16.
In New York v. U.S. Dept. of Labor, in response to a lawsuit brought by the State of New York challenging certain provisions of the temporary rule, the District Court for the Southern District of New York invalidated four requirements under the temporary rule, effective Aug. 3. Below are the four requirements, along with the resolution of each by the DOL under the revised temporary rule:
1. Paid sick leave and expanded family and medical leave are available only if an employee has work from the employer at the time of the leave – Under the original temporary rule, FFCRA leaves were available for purposes of certain COVID-19-related leave scenarios only if the employer had work for the employee at the time of the leave. This requirement now applies to all FFCRA leave scenarios, such that COVID-19, and not the employer’s lack of work for the employee, must be the reason that the employee is unable to work as a prerequisite for any FFCRA leave.
2. An employee may take FFCRA leave intermittently only with employer approval – The requirement remains unchanged, such that employers may but need not provide FFCRA leaves on an intermittent basis.
3. Definition of an employee who is a “health care provider” – Employers continue to be able to exclude “health care providers” from eligibility for FFCRA leaves, but now with a modified definition of same, including employees who “provide diagnostic services, preventive services, treatment services, or other services that are integrated with and necessary to the provision of patient care.”
4. Documentation requirements – Under the original temporary rule, FFCRA leaves were available only if the employee provided the employer with documentation of the reason for the leave in advance. Under the revised temporary rule, the employee must provide the documentation to the employer “as soon as practicable.”
Any advice contained in this communication, including attachments and enclosures, is not intended as a thorough, in-depth analysis of specific issues. Nor is it sufficient to avoid tax-related penalties. This has been prepared for information purposes and general guidance only and does not constitute professional advice. You should not act upon the information contained in this publication without obtaining specific professional advice specific to, among other things, your individual facts, circumstances and jurisdiction. No representation or warranty (express or implied) is made as to the accuracy or completeness of the information contained in this publication, and CohnReznick LLP, its partners, employees and agents accept no liability, and disclaim all responsibility, for the consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this publication or for any decision based on it.
Coronavirus Resource Center
InsightLast call for New Jersey’s 2022 Technology Business Tax Certificate Transfer (NOL) ProgramScott Hamilton, Jessie Cahill, Scott IbbotsonNew Jersey’s NOL Program is closing soon with the deadline to submit applications by June 30, 2022. Learn more.
Insight10 Questions: Your retirement accountsDana FriedWhat are 2022’s contribution limits? Have you considered all IRA types? Are you on top of RMDs? Read our insights and advice on these questions and more.
InsightTexas Supreme Court clarifies proper method of sourcing franchise tax receipts from servicesJohn Iannotti, Lance RothenbergRead what the Texas Supreme Court said in this case on how to properly source receipts from services while apportioning income and determining tax liabilities.