Category Archives: Employee Benefits

Subscribe to Employee Benefits RSS Feed

Relief is Here Again! PPP2 Stimulus and Business Tax Benefits

The Consolidated Appropriations Act, 2021 (the “CAA”), signed into law on December 27, 2020, is the second-largest federal stimulus package of 2020, following the CARES Act. The CAA provides $900 billion in COVID relief and reserves $284 billion for small businesses through a second round of Paycheck Protection Program (“PPP”) forgivable loans, or as some are calling it, PPP2. But

Continue Reading

UPDATE: Payroll Tax Credits for Paid Leave Under the FFCRA Extended Through March 31, 2021

The pandemic relief package enacted by Congress in late December briefly extended the available payroll tax credits for leave provided under the Families First Coronavirus Response Act (FFCRA) through March 31, 2021. The relief package did not extend the requirement to provide paid leave, so after December 31, 2020, employers are not mandated to provide paid sick or family leave … Continue Reading

Workplace Changes to Expect Under a Biden Administration: Part I

The networks have called the Presidential election for Joe Biden. Assuming those results are certified and President Trump’s legal challenges fail, what should employers expect under the new administration? In Part I of this two-part series, let’s explore what changes we might see in the workplace from the employment law perspective. In Part II, we will look at changes in … Continue Reading

Employers Not Racing to Implement Employee Payroll Tax Deferral

Offering eligible workers the option to suspend the employee share of Social Security payroll taxes through year-end may sound good at the moment, but concerns about next year are leaving many employers wary. Indeed, the Wall Street Journal reported that some of the nation’s largest employers have rejected the President’s payroll tax deferral plan, and Bloomberg reported that no major … Continue Reading

Labor Day – More than just Barbecues and Parades

As summer winds downs, employers and employees alike look forward to a leisurely three-day weekend typically spent with family and friends, enjoying the remaining days of summer warmth, perhaps readying kids to go back to school or college. Except this Labor Day will likely be anything but typical. With crowded activities such as parades and fireworks displays canceled due to … Continue Reading

Don’t Get Bitten—COBRA and Costly Consequences of Non-Compliant Notices

COBRA: an acronym that strikes fear (and understandable confusion) into the hearts of many employers. If you have 20 or more employees, you are subject to the often equivocal requirements of the Consolidated Omnibus Budget Reconciliation Act—and the consequences of non-compliance can be poisonous. Given the increase in COBRA-related lawsuits and the Department of Labor’s (DOL) recent revisions of its … Continue Reading

BOLO: Cyber Attacks Against Retirement Plan Accounts

Employer-sponsored retirement plans have long been targets for cybercriminals. Employers should be on the lookout as the COVID-19 pandemic has expanded the types and likelihood of potential cyber attacks against retirement plan accounts. After all, with many more Americans working remotely, interfacing with the secure plan recordkeeping sites is occurring around the clock from a wide range of personal computing … Continue Reading

Relief for Employers in the CARES Act

The Federal Corona Aid, Relief, and Economic Security Act (CARES), approved Friday in the wake of COVID-19 pandemic, provides businesses with a myriad of opportunities for relief, including expansion of unemployment benefits, advance refunding of tax credits for employers that provide expanded FMLA leave and emergency paid sick leave, small business loan programs, debt forgiveness, and more. Summaries of the … Continue Reading

CARES Act Impacts to Employer-Sponsored Health and Welfare Benefit Plans

Health and welfare benefit plans and insurers are affected by various provisions of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) passed on March 27, 2020. In addition to provisions impacting tax-qualified retirement plans and executive compensation (summarized here), the CARES Act affects coverage of diagnostic testing, preventive services, telehealth services, and drug reimbursement. Here are the … Continue Reading

Summary of Key Tax Provisions in Historic Senate CARES Act Legislation

On March 26, the Senate passed the Coronavirus Aid, Relief, and Economic Security Act (the CARES Act), which advances legislation intended to help Americans and businesses survive a public health and economic crisis due to COVID-19. This article provides a summary of key tax provisions in the CARES Act. The bill now moves to the House, which is expected to … Continue Reading

COVID-19 Inquiries and Disclosures in the Workplace

Once an employee has been exposed to a suspected or confirmed case of COVID-19, what do you do? Once an employee has tested positive, what do you say? How does an employer walk the fine line between protecting the privacy of affected individuals and ensuring the safety of others in the workplace?

Because a national public health emergency has been … Continue Reading

New Sick Leave Entitlements for Quarantined NY Employees and More Coming

Immediate pay and job protection for New Yorkers quarantined as a result of the coronavirus (COVID-19) , as well as comprehensive paid sick leave that will impact all employers within six months, will be enacted imminently into law, Governor Cuomo of New York has announced.

Originally designed as one bill, New York lawmakers and the Governor reached agreement on the … Continue Reading

Paid Sick Leave and Other Relief Coming for Employees Affected by COVID-19

Employers with fewer than 500 employees will be required to provide up to 80 hours of paid sick leave for certain employees impacted by the coronavirus (COVID-19) and will receive a tax credit in return under an emergency bill passed by the U.S. House of Representatives this weekend. The Senate is expected to consider the bill this week and President … Continue Reading

IRS Issues Helpful Coronavirus-Related Guidance for Employers with High Deductible Health Plans

Benefit plan sponsors are responding to participant questions about the coronavirus/COVID-19. In particular, employers’ HR departments are fielding questions about whether their health plan will pay for any necessary testing and/or treatment. Both full-insured and self-funded plans are widely announcing plans to waive the cost of physician-ordered tests. But until now, there was one huge open question. Could participants in … Continue Reading

Tread Carefully – DC Federal Judge Weakens Association Health Plan Regulation

A recent ruling by the United States District Court for the District of Columbia calls into question the recently expanded regulations allowing small employers to band together to establish Association Health Plans. This development should be monitored closely by employers and employer organizations currently sponsoring, or considering sponsoring, these plans.… Continue Reading

Illinois Expands Employee Rights and Imposes New Obligations on Employers

New Illinois Expense Reimbursement Obligations

Joining employers in California and a growing number of other states, Illinois employers must now reimburse their employees for all expenditures or losses incurred within the scope of their employment which were authorized or required by their employer. A failure in compliance could result in severe penalties and the payment of employees’ attorneys’ fees.

Effective … Continue Reading

New Year, New Wellness Program Rules

Employers with established wellness programs that collect health information and/or require a medical exam can no longer rely on the EEOC regulations to justify that incentives provided under their wellness programs are voluntary. On December 20, the EEOC published a final rule (83 Fed. Reg. 65296) vacating the rules that allowed employers to offer those financial incentives to … Continue Reading

Employee Wellness Developments: Keeping Your Finger on the Pulse

As we alluded in our “Preparing for the Unknown: Open Enrollment 2018” blog post, employers that are finalizing their employee benefit plan designs in advance of the 2018 plan year would be well-advised to monitor the developments concerning the future of health care reform, the employee wellness program regulations, and mental health benefit enforcement activity.… Continue Reading

Preparing for the Unknown: Open Enrollment 2017

With Open Enrollment season just around the corner, employers have been hoping for answers regarding the direction of health insurance under the Trump Administration. However, it’s looking like clarity is a long way off. Despite the lack of certainty, there are a handful of important issues employers should keep in mind:

Future of the Affordable Care Act

Although the Trump … Continue Reading

Finally in Play: A Refresher on the Fiduciary Rule for Plan Sponsors

On the heels of Labor Secretary Alexander Acosta’s announcement that the Department of Labor’s oft-delayed “Fiduciary Rule” would finally take effect on June 9th, Congressmen introduced new legislation on June 8th to overturn it. The new bill’s sponsors, House Representatives Phil Roe (R-TN) and Peter Roskam (R-IL), and other opponents contend that the Fiduciary Rule is flawed … Continue Reading

Proposed Employee Wellness Legislation Might Undermine Protections of GINA

Employees who don’t want to disclose genetic information about themselves and their families to their employers may have to pay a stiff price for that privacy in the future. The Preserving Employee Wellness Programs Act (H.R. 1313), a GOP-sponsored bill currently under consideration in Congress, could dismantle the employee privacy protections of the Genetic Information Nondiscrimination Act (GINA).… Continue Reading

Employers Can Be Thankful: New Salary Regulation Delayed

Providing employers with a piece of good news, a Texas court has issued a nationwide preliminary injunction that delays the December 1 implementation of the controversial final rule that increased the salary level for exempt employees to $47,476, more than double what it had been. The court found that the 21 states challenging the rule showed both that they were … Continue Reading

HHS Issues Final Non-Discrimination Rules for Healthcare Providers

Healthcare providers and others who receive federal financial assistance are now subject to new non-discrimination rules and notice requirements under the Affordable Care Act. The new regulation prohibits discrimination in healthcare programs and activities on the basis of race, color, national origin, age, disability and sex – including pregnancy, gender identity, and sex stereotyping. The new rule also encompasses the … Continue Reading

LexBlog