Are you one of the businesses that need to ramp up hiring right now but are unclear about the impact of the new HR legislation, HR 6201 also known as the “Families First Corona Virus Response Act”? If your company falls within the 50-500 employee category, you’re going to want to keep reading.

Effective April 1, 2020, the “Families First Corona Virus Response Act” has the potential to have a MAJOR financial impact on your organization.

Here’s how:

In the newly passed “Emergency Family and Medical Leave Expansion Act” (FMLEA), employers would be required to pay up to 10 weeks of leave at 2/3 of employee wages up to a maximum of $10,000 per eligible employee.  Eligibility for this leave is met by an employee who has worked for you for only 30 calendar days and is unable to work because they are caring for their child (18 years or younger) due to school closure or lack of childcare due to COVID-19.

That’s not all.

The “Emergency Paid Sick Leave “ is a completely new benefit. Employers would be required to pay employees up to 2 weeks of their full wages, up to $5,110 per eligible employee. The amount the employee would receive is based on the reason they are requesting the benefit, and the legislation lists 6 categories of eligibility – including being quarantined, having symptoms of COVID-19, and having to care for a child due to school closure/lack of childcare.  And this leave is available to employees immediately upon the first day of employment.

• For more detailed information we encourage you to check out the SHRM (Society for Human Resource Management)website –  shrm.org.

The bottom line is that employers are VERY alarmed regarding the potential financial impact on their companies that the Emergency Family and Medical Leave Expansion Act and the Emergency Paid Sick Leave Act will create.

Adding to these concerns is that two more phases of this legislation are currently being negotiated by our elected officials. As a result, the law:

• It is still ambiguous and continuously changing.
• Has no methodology in place to administer which would make it a nightmare to track.
• Has many variables in place to determine eligibility – how do you manage this?
• Could be extremely costly to an organization
• Adds significant expense to the legislative mandates already in place for employers

Here’s how Carlton can help:

We want to assure you that Carlton Staffing remains fully operational and ready to support your staffing needs, whether that is providing back-up for your employees who are ill or caring for family or to cover needs due to increased demand for your products/services.

Recently, with less than two days’ notice, we supplied over 60 employees for an urgent city-wide project.

We offer both full service and unbundled services to our clients:

Full service: Carlton sources, recruits, screens, interviews, hires, makes the match to the employer’s open position, places the employee at the client site, and manages the employee’s payroll and other benefits as the employer of record.

A la carte service: Carlton can provide any one of the above-mentioned services individually for unbundled pricing.

Talk to your local Carlton representative for more information!

 

Headquartered in Houston, TX, Carlton Staffing has remained committed to providing innovative staffing solutions to Houston, Dallas, and Fort Worth companies for over 30 years. Get in touch today and learn how working with Carlton Staffing can help you find your next great hire.