Families First Coronavirus Response Act Update

The requirement that employers provide Paid Sick Leave and Expanded Family and Medical Leave under FFCRA expired on December 31, 2020.

Employers are not required to provide employees with FFCRA leave after December 31, 2020, but employers may voluntarily decide to provide employees with such leave. The Consolidated Appropriations Act, 2021, extended employer tax credits for paid sick leave and expanded family and medical leave voluntarily provided to employees until March 31, 2021.

Paid Sick Leave:

While employers are no longer required to provide FFCRA paid sick leave to employees after December 31, 2020, employers who choose to provide FFCRA paid sick leave benefits to employees continue to be eligible for a tax credit for the paid sick time through March 31, 2021.

Employees who have exhausted available FFCRA paid sick time entitlements will not be entitled to additional paid sick time.

Paid Family Leave:

While employers are no longer required to provide FFCRA paid family leave to employees after December 31, 2020, employers who choose to provide the FFCRA paid family leave benefits to employees continue to be eligible for a tax credit for the paid sick time through March 31, 2021.

Employees who have exhausted available FFCRA paid family leave entitlements will not be entitled to additional paid family leave.

Considerations:

It is important for employers to define their policy with regard to extending Paid Sick Time and Paid Family Leave. It is essential for employers to maintain consistency through the implementation and execution of these policies. Employers should also review their general FMLA policy to ensure they are meeting the requirements of their policy. If employers are providing extended FFCRA benefits, they should continue to document leave use.

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