On March 18, 2020, the Families First Coronavirus Response Act (FFCRA) was passed. The Act has two important new laws for employees, intended to provide relief, as most people’s lives have been impacted in some way by COVID-19: (1) the Emergency Family and Medical Leave Expansion Act; and (2) the Emergency Paid Sick Leave Act. FFCRA also offers tax credits and exemptions designed to protect the viability of businesses during a time of economic stress.
Small businesses are struggling economically in light of the COVID-19 pandemic. Many businesses have closed as a result of shelter-in-place orders, and even in states less severely affected by the virus, many non-essential businesses have closed. Further, companies that have remained open are dealing with the fallout stemming from the public’s fear of the spread of the disease. Due to the volatility of the stock market, home builders and others in the construction industry may experience a slowdown in customers seeking to build new homes or renovate as a result of their shrinking investment accounts. Likewise, many other industries are suffering from curtailed discretionary spending and decreased consumer confidence. Employees have also been affected, with businesses forced into schedule reductions, pay cuts and layoffs due to virus-related slowdowns, as well as mandatory or voluntary closures.