PPB May 2021

T he American Rescue Plan Act (ARPA), the $1.9 trillion relief act passed by Congress and signed into law on March 11, contains many COVID-19 relief and stimulus measures. The following are the human resource-related provisions most relevant for small- to mid-sized businesses and their affected employees dealing with the ongoing workplace disruptions related to the pandemic. Emergency Paid Sick Leave (EPSL) and Emergency Paid Family Leave (EPFL) The ARPA extends and modifies paid-time-off benefits instituted under the Families First Coronavirus Relief Act (FFCRA). In 2020, FFCRA established two forms of federally subsidized paid leave for businesses with fewer than 500 employees: Emergency Paid Sick Leave and Emergency Paid Family Leave. The original FFCRA expired on December 31, 2020 and was extended under the Pandemic Relief Package on a voluntary basis through March 31, 2021. ARPAmodified both the FFCRA and the Pandemic Relief Package in the following ways: Emergency Paid Sick Leave (EPSL) – FFCRA required employers to provide 80 hours of paid sick leave (up to $511 per day or $5,110 in total per individual) for those out of work due to a test, diagnosis or treatment for COVID-19, for those under a mandated quarantine leave, and up to two-thirds pay (up to $200 per day or $2,000 in total per individual) for those with family members affected by COVID-19 or with children whose school or daycare provider closed. The following changes are made under ARPA: • Extends the voluntary EPSL and offsetting federal tax credits through September 30, 2021. • Restarts the EPSL bank of sick leave, giving employees a new two-week/10-day/80-hour allotment of paid sick time to use even if they used or exhausted paid sick leave from April 1, 2020 through March 31, 2021. Any days taken prior to April 1, 2021 will not count toward the new covered period nor does unused time prior to April 1, 2021 carry over into the next coverage period. Emergency Paid Family Leave (EPFL) – FFCRA required employers to provide job protections and partial pay for those unable to work because of a child’s school or daycare closure. The first two weeks of EPFL were unpaid and the remaining 10 weeks of EPFL covered two-thirds of pay (up to $200 per day or $10,000 in total per individual). The following changes are made under ARPA: What’s Inside The American Rescue Plan Act 2021 The new $1.9 trillion relief act includes a number of provisions designed to help small businesses and their employees get through the pandemic and back on their feet. by Claudia St. John , SPHR, SHRM-SCP tuulijumala / Matthias Pahl / Shutterstock.com 80 | MAY 2021 | THINK