Questions from employers and employees about coronavirus (COVID-19) pandemic are multiplying almost as fast as the virus itself. Employers need to rely on a combination of authoritative legal and medical advice, and their own common sense, to keep employees safe.

Guidance issued almost daily from the Centers for Disease Control (CDC), the U.S. Department of Labor’s Occupational Health and Safety Administration (OSHA) and other sources, reveal the wide scope of employment issues caused by the pandemic.

A good place to start to understand an employer’s basic legal obligations is found in the Occupational Health and Safety Act. Employers are obligated, the law states, to “furnish to each of his employees employment and a place of employment which are free from recognized hazards that are causing or are likely to cause death or serious physical harm to his employees.”

“Recognized Hazards”

The word “recognized” plays a key role in the current situation. On a webpage dedicated to COVID-19, OSHA points out that its standards, including those dealing with personal protective equipment and respiratory protection, “require employers to assess the hazards to which their workers may be exposed.”

Hazard levels vary from one employer to the next, as well as for different jobs that your employees perform. However, if most of your employees work in relatively close proximity to each other, it wouldn’t matter much that some deal more directly with the public and some stay in the back office, because there’s a risk that one employee will spread the virus to another. That means that your hazard assessment must include the danger that your employees pose to each other.

OSHA has placed jobs and workplaces into four COVID-19 exposure risk categories, ranging from “very high” to “lower.” As you’d expect, the highest risk categories are for jobs such as health care providers who come into regular contact with people who have, or are suspected of having, been infected.

Employees under “medium” exposure risk are those “with high-frequency contact with the general population,” such as in a retail sales environment. The “lower” risk category involves “employees who have minimal occupational contact with the general public and other coworkers, such as office employees.”

Use Facts, Shun Rumors

Grounding your policy decisions in reliable threat assessments by respected organizations such as the Centers for Disease Control (and not the most alarm-generating local news stories) is the way to go. It’s also important for employees to understand the basis upon which you’re making decisions affecting their jobs, pay, and health.

Click here for some advice from the CDC on what businesses and employers can do:

Sound legal advice is critical since a host of labor laws and regulations come into play, including the Equal Employment Opportunity Act, the Fair Labor Standards Act, the Americans With Disabilities Act, the Family and Medical Leave Act, and HIPAA. Labor law firms are busy dispensing guidance on many COVID-19 related questions.

Here are a few Q&As to give you a sense of current concerns — but contact your own employment attorney or HR advisor for complete guidance appropriate to your unique circumstances:

HR Q&A:

Q: One of my employees has tested positive for COVID-19. Now what?

A: Not only should you keep that employee away from work but you should send other employees who worked closely with the infected employee home and ask them to stay away for two weeks. That’s the amount of time needed to determine whether they were infected, as symptoms can take that long to manifest.

Q: Would an infected employee, who is likely to have been infected at work, qualify to make a Workers Comp claim?

A: Probably not, since getting the infection was not caused by a hazard specific to the employee’s job, like being contaminated by a toxic chemical used in connection with that specific job.

Q: Is an individual affected by COVID-19 eligible to receive unemployment compensation (UC)?

A: Maybe. The U.S. Department of Labor (DOL) issued guidance on this situation. The DOL has stated that the unemployment Insurance program requires individuals to be able and available for work and to actively seek work. However, states have significant flexibility in implementing these requirements, as well as in determining the type of work that may be suitable given the individual’s circumstances. What this means is an individual may be quarantined or otherwise affected by COVID-19 but still eligible for UC, depending on state law. For more information: https://wdr.doleta.gov/directives/attach/UIPL/UIPL_10-20_Acc.pdf

Q: One of my employees just returned from a trip to a place where many people have been infected by COVID-19. Can I require the employee to be tested?

A: Ordinarily you can’t intrude into an employee’s health issues. However, if you can show that the test you’re requesting is job-related and you have reason to believe the employee could pose a direct threat to coworkers, you’re probably within your rights to make that request. Consult with an employment attorney.

Q: One of our employees tested positive for COVID-19 test considered an OSHA recordable illness?

A: Maybe. COVID-19 can be a recordable illness if a worker is infected as a result of performing their work-related duties. However, employers are only responsible for recording cases of COVID-19 if all of the following are met: If an employee develops COVID-19 solely from an exposure outside of the work environment, it would not be work-related, and therefore not recordable.

The Families First Coronavirus Response Act (FFCRA or Act) requires certain employers to provide their employees with paid sick leave and expanded family and medical leave for specified reasons related to COVID-19. These provisions will apply from April 1, 2020 through December 31, 2020.  

Click here to learn about employee’s rights under the Families First Coronavirus Response Act (FFCRA).

REYNOLDS & ROWELLA | ACCOUNTING AND CONSULTING

Reynolds + Rowella is a regional accounting firm known for a team approach to financial problem solving. As Certified Public Accountants, our partners foster a personal touch with our clients. As members of DFK International/USA, an association of accountants and advisors, our professional network is international, yet many of our clients have known us for years through the local communities we serve.

Our mission is to operate as a financial services firm of outstanding quality. Our efforts are directed at serving our clients in the most efficient and responsive manner possible, delivering services that exceed the expectations of those we serve.

The firm has offices at 90 Grove St., Ridgefield, Conn., and 51 Locust Ave., New Canaan, Conn. For more information, give us a call at 203.438.0161 or email us.

The coronavirus relief bill signed into law by President Donald Trump on Wednesday includes provisions for paid sick leave, family leave and medical leave, along with tax credits to help employers and the self-employed pay for them.

The Families First Coronavirus Response Act (FFCRA), H.R. 6021, also includes provisions for free coronavirus testing, enhanced unemployment insurance, expanded food security initiatives and increased Medicaid funding from the federal government.

The legislation impacts businesses and families across the country and includes extensive relief for businesses with fewer than 500 employees. Below are key provisions of the legislation that are likely to impact employers:

Emergency Paid Sick Leave 

• Businesses need to provide two weeks (up to 80 hours) of paid sick leave at the employee’s regular rate of pay (up to $511 per day or $5,110 in aggregate) if the employee is quarantined and/or experiencing COVID-19 symptoms and seeking a medical diagnosis. The provisions limit pay to two-thirds of the employee’s regular rate of pay (up to $200 per day or $2,000 in aggregate) when the leave is to care for a family member who has been diagnosed and/or is in quarantine or to care for a minor child whose school or day care has closed due to the coronavirus.

Emergency Family and Medical Leave Expansion Act 

• The FFCRA provides employees the right to take up to 12 weeks of job-protected leave when an employee, who has been employed for at least 30 calendar days, is unable to work due to a bona fide need for leave to care for a child whose school or child care provider is closed or unavailable for reasons related to COVID-19.
• Under this leave, the first 10 days can be unpaid, but employees may use other available time off during this time, including Emergency Paid Sick Leave. After the first 10 days, employers are required to provide no less than two-thirds of the employee’s usual pay up to $200 per day, $10,000 in total.

Tax Credits for Paid Sick and Paid Family and Medical Leave 

• Payroll Credit for Required Paid Sick Leave: a refundable tax credit for 100 percent of qualified paid sick leave wages paid by an employer, allowed against the employer portion of Social Security Taxes. 
• Credit for Sick Leave for Self-Employed Individuals: a refundable tax credit for 100 percent of qualified sick leave wages for self-employed individuals in quarantine for coronavirus, or for 2/3 of qualified wages when caring for a quarantined family member or child whose school or place of care was closed due to coronavirus. This credit is allowed against income taxes. 
• Payroll Credit for Required Paid Family Leave: a refundable tax credit for 100 percent of qualified family leave wages paid by an employer, allowed against the employer portion of Social Security Taxes. 
• Credit for Family Leave for Self-Employed Individuals: a refundable tax credit equal to 100 percent of qualified family leave wages for self-employed individuals.

Visit dol.gov to read more about employee paid leave rights.

Each of these tax credits has complex qualifications, guidelines and reporting requirements that could change rapidly and dramatically as the coronavirus outbreak continues to develop. Please contact us with any questions or if you require assistance with the emergency legislation.

The coronavirus outbreak is a critical, developing situation and additional measures are forthcoming. The Reynolds + Rowella team is committed to providing up to date information and clarification as it becomes available.

REYNOLDS & ROWELLA | ACCOUNTING AND CONSULTING FAIRFIELD COUNTY CT

Reynolds + Rowella is a regional accounting firm known for a team approach to financial problem solving. As Certified Public Accountants, our partners foster a personal touch with our clients. As members of DFK International/USA, an association of accountants and advisors, our professional network is international, yet many of our clients have known us for years through the local communities we serve.

Our mission is to operate as a financial services firm of outstanding quality. Our efforts are directed at serving our clients in the most efficient and responsive manner possible, delivering services that exceed the expectations of those we serve.

The firm has offices at 90 Grove St., Ridgefield, Conn., and 51 Locust Ave., New Canaan, Conn. For more information, give us a call at 203.438.0161 or email us.

Treasury Secretary Steven Mnuchin announced Tuesday that his department has pushed back the April 15 deadline to pay taxes owed, giving individuals and many businesses 90 extra days to send payments to the government.

Individuals can defer up to $1 million of tax liability and corporations get an extension up to $10 million. The payment extension, which affects millions of taxpayers, is part of the Trump administration’s effort to curb the economic effects of the coronavirus pandemic. Mr. Mnuchin said the delay will free $300 billion of liquidity in the economy as individuals and businesses have more time to pay their taxes.

The IRS will continue to process tax refunds, and Mr. Mnuchin urged people who can file their tax returns to do so. Mr. Mnuchin said last week that the tax payment deadline would be delayed for all but the superrich, but his Tuesday announcement was the first explanation of the length of the delay and how it might work. The tax agency hasn’t yet released full details about how the delay will work.

The government granted the extension to give taxpayers a financial cushion as households and businesses cope with the sudden slowdown in economic activity caused by the coronavirus outbreak. The move could provide households with hundreds of billions of dollars in temporary liquidity, Mr. Mnuchin said last week in previewing the government’s actions.

Delaying payment requirements will give businesses and individuals nearly three more months to meet their IRS obligations, potentially lessening cash-flow issues that some businesses are facing as many people stay home and spend less money on dining out, entertainment and transportation.

Unemployment Insurance Resources Available to Employers and Workers Affected by COVID-19

If you or your employees have been affected by COVID-19 or are caring for ill family members, the Connecticut Department of Labor (DOL) has provided information regarding employers and employees filing for unemployment insurance.

Federal law permits states to amend their laws to provide unemployment insurance benefits in multiple scenarios related to COVID-19. For example, federal law allows states to pay benefits where:

• An employer temporarily ceases operations due to COVID-19, preventing employees from coming to work;

• An individual is quarantined with the expectation of returning to work after the quarantine is over; and

• An individual leaves employment due to a risk of exposure or infection or to care or a family member.

In addition, federal law does not require an employee to be permanently separated to receive benefits due to the impact of COVID-19.

For more information and frequently asked questions regarding the unemployment insurance, please visit http://www.ctdol.state.ct.us/DOLCOVIDFAQ.PDF

COVID-19 Disaster Relief Loans for Small Businesses

On Monday, March 16th, the Governor’s office announced that Connecticut small businesses can now apply for COVID-19 related disaster relief loans of up to $2 million directly from the U.S. Small Business Administration (SBA).

Small businesses can learn more about the program and apply for financial assistance at https://www.sba.gov or call the SBA at 1-800-659-2955.

Small businesses with questions about this SBA loan program or other assistance provided at the state-level can call 860-500-2333 to speak directly with a DECD representative. Businesses can visit the state’s dedicated coronavirus website at ct.gov/coronavirus to stay informed on news and guidance related to COVID-19 and its impact on Connecticut

Please contact us with any questions you may have. Wishing you good health during these extraordinary times.

Scott Crane, Managing Partner

REYNOLDS & ROWELLA | ACCOUNTING AND CONSULTING FAIRFIELD COUNTY CT

Reynolds + Rowella is a regional accounting firm known for a team approach to financial problem solving. As Certified Public Accountants, our partners foster a personal touch with our clients. As members of DFK International/USA, an association of accountants and advisors, our professional network is international, yet many of our clients have known us for years through the local communities we serve.

Our mission is to operate as a financial services firm of outstanding quality. Our efforts are directed at serving our clients in the most efficient and responsive manner possible, delivering services that exceed the expectations of those we serve.

The firm has offices at 90 Grove St., Ridgefield, Conn., and 51 Locust Ave., New Canaan, Conn. For more information, give us a call at 203.438.0161 or email us.

While Fairfield County has not yet become a COVID-19 ‘hot spot,’ it’s important for employers to begin preparing now, in the event that the virus takes a foothold in our area. Employers should begin by regularly monitoring recommendations from the CDC, public health agencies, and state officials. Below are additional steps employers can take to help prepare their workforce.

Create a Business Continuity Plan

Employers should begin preparing for an increase in absenteeism due to illness of employees and/or illness of their family members. Employers should:

• Identify essential business functions and create a plan to continue these functions in the event that key employees are absent, or the company faces higher absenteeism in general
• Cross-train employees to perform the identified essential business functions
• When possible, identify business functions that employees can perform from home. If your company’s continuity plan involves employees working remotely, it’s important to ensure that any remote internet connections (such as VPN or Terminal Server) can handle the increased traffic
• Communicate accordingly with others that rely on your business’s services or products if there will be any interruption or change that may impact them
• Involve key decision makers and/or departments in the creation of the business continuity plan ahead of time to avoid gaps or disruptions
• Create a written document with the finalized continuity plan. Identify which triggers will activate and terminate the continuity plan. Appoint the person responsible for communicating business changes should they take place

Communicate to Employees

It’s natural for employees to be nervous about the virus and inquisitive about how their company will handle an outbreak. It’s important for employers to limit the amount of panic and keep their workforce calm by communicating expectations and sharing continuity plans. According to the CDC, employers should also

• Communicate sick leave policies and actively encourage sick employees to stay home. Employers should make sure that their sick leave policies are flexible and consistent with public health guidance
• Communicate that employees who appear to have acute respiratory illness symptoms (i.e. cough, shortness of breath) upon arrival to work or become sick during the day will be sent home immediately
• Emphasize respiratory etiquette and hand hygiene. Employers should provide soap and water, alcohol-based hand rubs, and disinfecting products in the workplace and ensure that adequate supplies are maintained to the best of their ability. Employees should be encouraged to wipe down high-touch areas in their workspace with disinfectant regularly
• Encourage employees to work remotely when possible and limit non-essential travel to affected regions

Handling Sick Employees

Employers should instruct employees to inform their manager or HR if they have been exposed to the virus or if they and/or members of their household show symptoms of the virus.

Employees who have been officially diagnosed with the COVID-19 should follow the quarantine recommendations of their doctors.

In the event that an employee is diagnosed with COVID-19 , employers who are covered under the Americans with Disabilities Act (ADA) can and should provide notice to employees regarding potential exposure but should be careful not to identify diagnosed employees by name. Additionally, the U.S. Equal Employment Opportunity Commission (EEOC) released guidance on commonly asked questions in the event of something like the COVID-19 occurring in the workplace:

• Can an employer send employees home if they display COVID-19 symptoms?

Yes. The CDC states that employees who become ill with symptoms of influenza-like illness at work during a pandemic should leave the workplace.

• If an employee returns from travel, does an employer have to wait until the employee develops symptoms to ask questions about potential exposure?

No. If the CDC or state or local public health officials recommend that people who visit specified locations remain at home for several days until it is clear they do not have pandemic influenza symptoms, an employer may ask whether employees are returning from these locations, even if the travel was personal.

• Can an employer ask employees who do not show symptoms to disclose whether they have a medical condition that would make them vulnerable to the COVID-19?

No. If an employee voluntarily discloses that he has a specific medical condition or disability that puts him or her at increased risk of influenza complications, the employer must keep this information confidential. The employer may ask him to describe the type of assistance he thinks will be needed (e.g. telework or leave for a medical appointment). Employers should not assume that all disabilities increase the risk of influenza complications.

• How much information can employers request from employees who report feeling ill at work or call in sick?

Employers may ask such employees if they are experiencing influenza-like symptoms, such as fever or chills and a cough or sore throat. Employers must maintain all information about employee illness as a confidential medical record in compliance with the ADA.

• Can an employer require employees who have been away from the workplace during an outbreak to provide a doctor’s note certifying fitness to return to work?

Yes. As a practical matter, however, doctors and other health care professionals may be too busy during and immediately after a pandemic outbreak to provide fitness-for-duty documentation. Therefore, new approaches may be necessary, such as reliance on local clinics to provide a form, a stamp, or an e-mail to certify that an individual does not have the pandemic virus.

Local paid sick leave laws and Family and Medical Leave Act (FMLA) should also be taken into consideration during this time. Employees who have COVID-19 symptoms and are required to stay home from work by doctor’s order or who need to care for a sick family member, may be covered under FMLA. However, if an employer requires employees to self-quarantine due to travel or exposure, it is not suggested that the employer designate the time away from work as leave under a specific leave law.

Employers should also be consistent with Return to Work protocols outlined in company handbooks or other policies to ensure that employees do not pose a health risk to themselves or others upon their return.

As more information becomes available, Reynolds + Rowella will provide later updates on how employers should handle the COVID-19 .

REYNOLDS & ROWELLA | ACCOUNTING AND CONSULTING FAIRFIELD COUNTY CT

Reynolds + Rowella is a regional accounting firm known for a team approach to financial problem solving. As Certified Public Accountants, our partners foster a personal touch with our clients. As members of DFK International/USA, an association of accountants and advisors, our professional network is international, yet many of our clients have known us for years through the local communities we serve.

Our mission is to operate as a financial services firm of outstanding quality. Our efforts are directed at serving our clients in the most efficient and responsive manner possible, delivering services that exceed the expectations of those we serve.

The firm has offices at 90 Grove St., Ridgefield, Conn., and 51 Locust Ave., New Canaan, Conn. For more information, give us a call at 203.438.0161 or email us.