Under the recently signed Consolidated Appropriations Act, employers are no longer required to provide FFCRA leave after December 31, 2020. However, if employers choose to continue to provide paid leave under the terms of the FFCRA in 2021, they may continue to take the available tax credits through March 31, 2021.
We recommend that employers quickly but carefully determine how they are going to proceed in 2021, as there are several choices, such as:
- End all leave under FFCRA effective December 31, 2020. If you choose this option, Inspiring HR encourages you to communicate to all employees, including those currently on leave, your decision to end the leave entitlement;
- Continue to allow employees to use any unused, available FFCRA leave through March 31, 2021. Employees should only be entitled to any unused FFCRA leave they have remaining as of December 31, 2020;
- Only continue Emergency Paid Sick Leave through March 31, 2021, allowing employees who contract or are exposed to the virus to stay home, but discontinue the entitlement to the much longer paid family leave for child care.
Employers who choose to end the leave entitlement are reminded that some employees may still be entitled to leave (paid or unpaid) under other laws such as the regular Family and Medical Leave Act (FMLA), state and local laws, or company policy.
This notice does not constitute legal advice and there are subtle variations in employment law as it pertains to this topic, depending on where your business operates. It is strongly suggested that you seek HR consultation or legal counsel before making decisions about policies.