Latest Coronavirus Information

Check back here for the latest Coronavirus (COVID-19) updates:

January 13, 2021

2021 Employment Laws Every California Employer Should Know

AB 2537 – Personal Protective Equipment: Health Care Employees

AB 2723 – Insurance Agents Signing of Agreements

AB 1867 – Handwashing for Food Employees

Hiring During the Covid-19 Pandemic

Employers may make disability-related questions inquiries of applicant’s after a conditional offer of employment if job-related and consistent with business necessity.
Inquiries about a weak/compromised immune system are disability related.
Employer must have a reasonable belief, based on objective evidence that: an employee will pose a direct threat due to a medical condition or an employee’s ability to perform essential job functions will be impaired by a medical condition.
Impair the employee’s ability to perform essential functions of the position or would pose a direct threat to other non-vaccinated employees.
Employers can screen applications for Covid-19 symptoms only after a conditional offer has been made.
Employer can delay the start date of applicant’s with Covid-19 symptoms.

AB 2257 – Independent Contractor Classification

Exemptions – underwriting inspections, premiums audits, risk management or loss control work for insurance and financial service industries; musicians or musical groups for the purpose of single-engagement live performance events; individual engaged in any creative, production, marketing or independent music publicist services related to sound records or musical composition, individual performance artists; freelance translators and copy editors; licensed landscape architects; registered professional foresters; home inspectors; manufactured housing
salespersons; persons engaged in conducting international and cultural exchange visitor programs; competition judges with a specialized skill set or expertise; specialized performer hired to teach a master class for no more than one week and individuals providing feedback to date aggregators.
Prop 22 – Exempts App-Based Transportation Companies
Rideshare Companies must now provide certain benefits – earnings minimum, health insurance stipend, pay for costs when a driver gets hurt on the job, rest policy, sexual harassment policy, mandate safety training, criminal background checks.

AB 2992 – Leave for Victims of Crime of Abuse

Families First Coronavirus Response Act

Two weeks, up to 80 hours, of paid leave
10 weeks under EFMLEA (Emergency Family and Medical Leave Expansion Act)
Expired on December 31, 2020
California Covid-19 Supplemental Paid Sick Leave – also expired on December 31,2020 when Families Frist Coronavirus Response Act expired.
There are some exceptions – Los Angeles City (500 or more employees), City of San Francisco, San Jose City and Sacramento County, Sacramento City

SB 1383 – Expansion of the California Family Rights Act (CFRA)

CAL/OSHA imposes Covid-19 Safety Regulations on Business

Effective December 1, 2020 and stays in effect for 180 days.
9 Categories that employers must -
1. Draft and implement a Covid-19 prevention program and training.
2. Identify Covid-19 Hazards with help of employees and correct them.
3. Investigate Covid-19 cases, notify and provide testing to exposed employees.
4. Require physical distancing and mask wearing, improve ventilation and maximize outdoor air.
5. Do not allow employees back into the workplace until quarantine ends, pay employees throughout quarantines.
6. Record, report and allow access the information as allowed by AB685 and the new regulations.
7. Report all outbreaks to the public health department, provide continuous testing to all employees.
8. Employer provided housing must space beds, eliminate bunk beds and disinfect daily.
9. Employer provided transportation requires screening workers before boarding, distance sitting, and face masks required.

Exceptions – 1 employee who does not work with anyone, employees working from home and employees covered under California’s Aerosol Transmissible Disease.

Scope & Definitions

Covid-19 Case means a person who has a positive Covid-19 test, is subject to Covid-19 related order to isolate by a local or State Health Official, has died due to Covid-19.
Covid-19 Exposure means being within 6 feet of a Covid-19 case for a cumulative total of 15 minutes or greater in any 24-hour period within or overlapping with the “high risk exposure period” as defined in the regulations. Applies regardless of use of face coverings.
Exposed Workplace means any work location, working area or common area at work used or accessed by a Covid-19 case during the high-risk period, including bathroom, walkways, hallways, isles, break or eating areas and waiting areas. Does not include building or facilities not entered by a Covid-19 case.
High Risk Exposure Period means;
- For a person to develop Covid-19 symptoms; 2 days before they first developed symptoms until 10 days after symptoms first appeared and 24 hours have passed with no fever, without the use of fever reducing medication and symptoms have improved.
- For a person to test positive who never developed Covid-19 symptoms; 2 days before until 10 days after the specimen for their first positive test for Covid-19 was collected.
Covid-19 Prevention Program requires a written program that can be integrated into the employers Injury and Illness Prevention Program (IIPP) or can be maintained separate.
Investigation and Responding to Covid-19 Cases in the Workplace
Must include:
1. Determine the day and time the Covid-19 case was last present and if possible, the date of the positive Covid-19 test/diagnosis and the date the Covid-19 case first had one or more Covid-19 symptoms.
2. Determine who may have had Covid-19 exposure.
3. Give notice of the potential Covid-19 exposure within one business day, in a way that does not reveal any personal information of the Covid-19 case.
4. Offer Covid-19 testing at no cost to employees during their working hours to all employees who must be quarantined and excluded from the workplace with Covid-19 related benefits to which they may be entitled under federal, state and local laws.
5. Investigate when whether any workplace condition could have contributed to the risk of Covid-19 exposure and what could be done to reduce exposure to Covid-19 hazards.
6. Employers must enact procedures to correct in a timely manner any unsafe ofhealthy conditions. These conditions can only include not only physical conditionsbut polices and methods of performing job duties.
7. Employers must provide “effective training and instruction” to employees. There is no requirement for length of training or who can perform training.

Exclusion of Covid-19 Cases from Workplace during Quarantine

Employers must ensure that Covid-19 cases are excluded from the workplace until the return- to- work requirements are met – 24 hours have passed since a fever or 100.4 orhigher has resolved without the use of fever-reducing medication, Covid-19 symptoms haveimproved and at least 10 days have passed since Covid-19 symptoms first appeared.
Employers must exclude employees with Covid-19 exposure from the workplace for 14 days after the last known “Covid-19 exposure to a known Covid-19 case”. Amended to 10 days for employees who are symptom free.
Employers shall continue and maintain an employee’s earnings, seniority and all other employee rights and benefits, including the employee’s right to their former job status as if the employee had not been removed from their job.
Covid-19 cases who tested positive but never developed Covid-19 symptoms shall not return towork until a minimum of 10 days have passed since the date of specimen collection of their first positive Covid-19 test.
A negative Covid-19 test shall not be required for an employee to return to work.
Cal/OSHA may, upon request, allow employee to return to the work on the basis that removal ofan employee would create undue risk to a community’s health and safety.

Multiple Covid-19 Infections & Covid-19 Outbreaks and Major Outbreaks

3 or more positive Covid-19 cases in an exposed workplace within a 14-day period.
Employer must provide Covid-19 test to employees exposed.
Employers must test and then retest these employees one week later. All at the Employer’s costand time.
Must notify public health including names and addresses of employees.
Major outbreak includes 20 or more employees that test positive for Covid-19 in an exposedworkplace within a 14-day period. The employees must be tested twice a week and will probably be rapid tests at the cost of the Employer.

AB 685 – Took Effect January 1, 2021

Provides for 3 things when an employee tests positive for Covid-19.
1. Notice to employees and others at work.
2. Reporting to requirements to local health authorities, and
3. Expanded enforcement authority by OSHA.
Requirements – applies regardless of whether Covid-19 is contracted in the workplace, in addition to other Cal/OSHA and OSHA requirements and applies to all employers, public and private.
Not applicable to; employees who “as part of their duties” conduct Covid-19 testing or screening or provide direct patient care or treatment unless the qualifying individual is an employee at the same worksite.
When the employer “receives notice of potential exposure to Covid-19” notices are required. The employer must within one business day of a positive confirmed case of Covid-19 by a qualifying individual provide written notice to all employees and employers of subcontracted employees, who were on the premises at the same worksite as the qualifying individual within the infectious period and the exclusive representative of employees, if any.

Senate Bill 1159 – Overview

Added 3 new labor Codes – 3212.86 (codifies Gov. Newsom’s Executive Order), 3212.87 (presumption for front-line workers) and 3212.88 (presumption for employees during a workplace outbreak).
Established new reporting requirements for employers and new claims administrative requirements.
Signed and effective September 17,2020.
Remain in effect until January 1, 2023.
Establishes Covid-19 reporting requirements – must report to claims administrator and made in electronic mail or fax within 3 business days of knowledge.

Mandating Covid-19 Vaccines of Employees

EEOC (Equal Employment Opportunity Commission) Guidelines suggests employers can require employees to obtain Covid-19 vaccinations.
CA State law has been silent.
Unclear how it applies to EUA (Emergency Used Authorization) vaccine.
Vaccines are not considered a “medical examination” under ADA.
Employees may request an accommodation from a from mandatory vaccination requirement if an employee has a disability that prevents the employee from taking the vaccine or an employees sincerely held religious beliefs.

Employers should know that Cal/OSHA is geared up with a funded budget and has hired more employees to monitor these new regulations. General penalties are $13,000 per violation, $25,00 for a serious violation per violation and $134,00 for repeat and willful violation.

Additional Resources

October 20, 2020

California Covid-19 Federal & State Employee Leave Benefits

Federal Families First Coronavirus Response Act (FFCRA) Emergency Paid Sick Leave

Who Qualifies?

If you are an employee who has been unable to work because:

You are subject to Federal, State, or local quarantine or isolation orders related to COVID-19.
You have been advised by a healthcare provider to self- quarantine due to concerns related to COVID-19.
You are experiencing symptoms of COVID-19 and are seeking a medical diagnosis.
You are experiencing any other substantially similar condition specified by the Secretary of Health and Human Services.

Maximum Time Periods

Full-time Employees = Up to 80 hours of paid sick leave
Part-time Employees = The number of hours the employee is normally scheduled to work in a two week period; or 14 times the average number of hours worked each day over a 6-month period

Effective Period: April 1, 2020 through December 31, 2020 or upon the expiration of any federal extension.

The Benefits

You are entitled to the higher between:

Your regular rate; or
The minimum wage rate.

Note: Cannot exceed:

$511 per day, and
$5,110 total.

More Information. How to file

The employee must either:

Work for a public employer;or
Work for a private employer with less than 500.

You can learn more about your eligibility for FFCRA Emergency Paid Sick Leave here.

Exceptions

Businesses with fewer than 50 employees can claim an exception under the FFCRA.

Employers of health care providers and emergency responders can elect to exclude such providers from paid sick leave under the FFRCA
[see (2.) under Paid Sick Leave for "Covered Workers" "Who Qualifies?"]

California COVID-19 Supplemental Paid Sick Leave for Food Sector Workers

Who Qualifies?

Any person who is a "Food Sector Worker", defined as:

A person works in an industryor occupation defined in paragraphs B, H, or D of Section 2 of IWC Wage Order 8-2001; or
Works for a hiring entity that operates a food facility; or
Delivers food from a food facility.

AND

Is subject to a governmental quarantine or isolation order related to COVID-19.
Is advised by a health care provider to self-quarantine or self-isolate due to COVID-19 concerns.
Is prohibited from working by the Worker's Hiring Entity due to COVID-19-related health concerns.

Maximum Time Periods

1. Full-time Employees = Up
to 80 hours of supplemental paid sick leave for Food Sector Workers

2. Part-time Employees = The
number of hours the worker is normally scheduled to work; or 14 times the average number of hours worked each day over a 6-month period.

Effective Period: April 16, 2020 through December 31, 2020 or upon the expiration of any
federal extension.

The Benefits

You are paid the highest wage between:

Your regular rate of pay;
The state minimum wage; or
The local minimum wage.

Note: Cannot exceed

$511 per day, and
$5,110 total.

Exceptions

If the hiring entity already provides the worker with a supplemental benefit (such as paid leave) that would compensate the worker in an amount equal to or greater than the amount of compensation for taking COVID-19 food sector supplemental paid sick leave, then the hiring entity may count the hours of the other paid benefit or leave toward the total number of hours of COVID-19 food sector supplemental paid sick leave that the hiring entity is required to provide.

California COVID-19 Supplement Paid Sick Leave for "Covered Workers"

Who Qualifies?

Any person who:

Is employed by a "hiring entity", defined as:
(a) a private sole proprietorship; or
(b) any kind of private entity; or
(c) any kind of enterprise that has 500 or more employees in the U.S.
Is employed as a health care provider or emergency responder by a "hiring entity" that has elected to exclude such employees from emergency sick leave under the Federal FFCRA.
Is NOT an industry or occupation defined in paragraphs B, H, or D of Section 2 of IWC Wage Order 8-2001.

AND

Is subject to a governmental quarantine or isolation order related to COVID -19.
Is advised by a health care provider to self-quarantine or self-isolate due to COVID-19 concerns.
Prohibited from working by the Worker's Hiring Entity due to COVID-19-related health concerns.

Maximum Time Periods

Full-time Employees = Up to 80 hours of supplemental paid sick leave for Food Sector Workers
Part-time Employees= The number of hours the worker is normally scheduled to work; or 14 times the average number of hours worked each day over a 6-month period.

Effective Period: April 16, 2020 through December 31, 2020 or upon
the expiration of any federal extension.

The Benefits

You are paid the highest wage between:

Your regular rate of payfor your last pay period;
The state minimum wage; or
The local minimum wage to which you are ent it led.

Note: Cannot exceed

$511 per day, and
$5,110 total.

Exceptions

Does NOT apply to a person:

Defined as a "Food Sector Worker"
Who works for a hiring entity that operates a food facility
Who delivers food from a food facility

An active firefighter scheduled to work more than 80 hours for the hiring entity in the 2 weeks prior to the date the covered worker took COVID-19 supplemental paid sick leave is entitled to leave equal to the total number of hours worked.

If a hiring entity already provides a covered worker with a supplemental benefit (such as paid sick leave) that would compensate the worker in an amount equal to or greater than the amount of compensation for taking COVID-19 supplemental paid sick leave, then the hiring entity may count the hours of the other paid benefit or leave toward the total number of hours of COVID-19 supplemental paid sick leave that the hiring entity is required to
provide.

Local Government Supplemental Paid Sick Leave for COVID-19

Who Qualifies?

If you are not covered by the FFCRA, and you live in the cities of:

Los Angeles;
Unincorporated areas of Los Angeles County;
San Francisco; or
San Jose
Oakland
Long Beach
City of Sacramento
Santa Rosa
Unincorporated San Mateo County
City of Sonoma

You may be eligible for supplemental paid sick leave if you are unable to work for COVID-19 related reasons.

Maximum Time Periods

Full-time Employees = Up to 80 hours of supplemental paid sick
Part-time Employees= supplemental paid sick leave equal to the amount of hours worked on average over a 2-week period.

Benefits

Employees are entitled to their regular rate of pay.

Note: Cannot exceed

$511 per day, and
$5,110 total.

More Information / How to File

Applies to employers with 500 or more employees in Los Angeles; or 2000 or more employees in the U.S.
Applies to employers with 500 or more employees in the U.S.
Applies to employers with 500 or more employees worldwide.
Applies to "essential businesses" located in San Jose; or who have employees performing work within the City's geographical boundaries.
Applies to all employers not covered by the FFCRA except for employers with less than 50 employees.
Applies to employers with 500 or more employees nationally who are not required to provide paid sick leave under the FFCRA.
Applies to employers exempt under the FFCRA.
Applies to all private employers (including those already covered under the FFCRA) except for employers with less than 50 employees.
Applies to private employers with 500 or more employees in the U.S.
Applies to private employers with 500 or more employees either nationally or locally not already covered by the FFCRA.

October 15, 2020

COVID-19 Senate Bill 1159 and Workers Compensation

There are new changes to California Workers Compensation laws related to COVID-19 claims. These changes were passed by the California Legislature on 8/31/2020 and signed into law by Governor Newsom on 9/17/2020. They apply retroactively to July 6, 2020 and remain effective until January 1, 2023.

This legislation replaced the executive order put in place by Governor Newsom back on March 19^th and expired on July 5^th, 2020. The executive order and this law presume a WC injury for any employee who tests positive for COVID-19 and was working at their place of employment within the preceding 14 days.

OVERVIEW of SB 1159:

This new law requires that Employers with five (5) or more employees must report to their claims administrator (WC insurance company) via email or fax, any instance they become aware of an employee who tested positive for COVID-19, or risk substantial financial penalty (up to $10,000).

If an employer is aware of an employee who tested positive prior to the effective date of this statute, between July 6, 2020 and September 16, 2020 they have until October 29, 2020 to report those cases.

SB 1159 divides COVID-19 workers’ compensation claims into three categories:

Executive Order Claims - Claims that otherwise would have been subject to prior executive order.
Healthcare Worker and First Responder Claims - Claims brought by certain health care workers and first responders.
Outbreak Claims - Claims that arise out of an outbreak at a particular facility

Summary of SB1159 – Three Claim Categories:

Executive Order Claims

Governor Newsom issued a previous executive order applicable to claims where employees worked between March 19, 2020 and July 5, 2020. This portion of the bill essentially codifies the prior executive order.
For presumption to apply, the following conditions must be met:

1. The employee tests positive or is diagnosed within 14 days of last day of work

a. If the employee is diagnosed with COVID-19, the diagnosis must be confirmed. by testing or COVID-19 serologic (antibody) test within 30 days of the date of the diagnosis.

b. Diagnosis must be made by particular licensed practitioners as defined in the bill.

2. Injury must occur within 14 days of last date worked. Injury must happen at place of employment (not employee’s residence).

3. Injury must be due to work at employer’s direction.

30-day period to reject claim.
Paid COVID-19 related sick leave must be exhausted before disability benefits are paid.

Healthcare Worker and First Responder Claims

Applies to specified (as defined in the statute) Healthcare Workers and First Responders who worked on or after July 6, 2020 and before January 1, 2023.
For presumption to apply, the following conditions must be met:

The employee must test positive.
- Test must be PCR (Polymerase Chain Reaction) or other viral testing approved by the FDA and does not include serologic (antibody) test.
Injury must occur within 14 days of last date worked.
Injury must happen at place of employment (not employee’s residence).
Injury must be due to work at employer’s direction.

30-day period to reject claim.
Paid COVID-19 related sick leave must be exhausted before disability benefits are paid.

Outbreak Claims

Applies to other workers who worked on or after July 6, 2020 and before January 1, 2023 and who are not specified Healthcare Workers and First Responders.

For the presumption to apply, the following conditions must be met:

1. The employee must work for an employer with 5 or more employees.

2. The employee must test positive.

Test must be PCR (Polymerase Chain Reaction) or other viral testing approved by the FDA and does not include serologic (antibody).

3. Injury must occur within 14 days of last date worked.

4. Injury must be due to work at employer’s direction.

Additionally, the employee must test positive during an “Outbreak” at the employee’s “Specific Place of Employment.” “Outbreak” is defined as one of the following:
For employers with 100 employees or fewer at a specific place of employment, 4 employees must test positive.
For employers with more than 100 employees at a specific place of employment, 4% must test positive; or the “specific place of employment” is ordered closed by a covered public health authority. “Specific Place of Employment” is defined as “the building, store, facility, or agricultural field where the employee performs work at the employer’s direction, but does not include the employee’s residence, unless: the employee is providing in-home health care services.
45-day period to reject the claim.
Paid COVID-19 related sick leave must be exhausted before disability benefits are paid.
Critically, it also imposes new reporting requirements on employers:

1. As of the Act’s effective date (September 17), when the employer knows or reasonably should know that an employee has tested positive for COVID-19, the employer has three (3) business days to report this and other information (such as the number of employees at a specific place of employment) to a claims administrator.

2. For situations where the employer knew an employee tested positive before the effective date (but on or after July 6), the employer has thirty (30) business days to report to the claims administrator.

3. Employer can be subject to a $10,000 fine for failing to properly report.

* The information provided in this summary does not provide legal advice but is for general information purposes only. SB 1159 has many provisions and nuances not referenced above and the full act should be reviewed. You should consult an attorney for any legal questions or advice in respect of SB 1159.

Helpful links

CLICK HERE to read about CAREMINDr’s release of back-to-work employee screening tool to detect early signs of COVID-19
- Solution alerts employers and healthcare organizations of potential coronavirus symptoms before work shifts begin to prevent spread within workplaces and communities.
CLICK HERE to read about mid-year election changes to cafeteria plan and FSA relief: IRS update
- Health Coverage – Employers may allow employees to make prospective mid-year elections with regard to employer sponsored health coverage. These permissive election changes include: (1) electing previously declined coverage, (2) electing different employer sponsored health coverage, and (3) revoking elections in certain circumstances.
- Health FSA and Dependent Care FSA – Employers may allow employees to make prospective mid-year elections to revoke a previous election, make a new election, or change an election (increase or decrease amount).
CLICK HERE to read about COBRA regulations change due to COVID-19
- Some COBRA regulations have changed as part of the government’s response to the COVID-19 National Emergency.
- The Department of Labor and Internal Revenue Service issued joint regulations on April 29, 2020, providing significant extensions of various deadlines applicable to employee benefit plans, especially group health plans.
- COBRA regulations are affected as well, including extending the election period for COBRA continuation coverage, the date for making COBRA premium payments, and the timeframe a plan/sponsor has to provide a COBRA election notice.
CLICK HERE to read about Governor Newsom signing an executive order regarding workers’ compensation presumption for certain COVID-19 related claims
- On May 6, 2020, Governor Newsom signed Executive Order #N-62-20 which creates a presumption that any COVID-19-related illness of an employee shall be presumed to arise out of and in the course of the employment for purposes of awarding workers’ compensation benefits if the following applies:
  - The employee has tested positive or been diagnosed within 14 days after performing labor or services.
  - The labor or services must have been performed at the employee’s place of employment (work performed at home or residence does not apply).
  - The labor or services must have been performed at the employer’s direction on or after March 19, 2020, and the date of injury must occur on or prior to July 5, 2020.
  - There must be either a positive test or a diagnosis by a medical professional who holds a physician or surgeon license issued by the California Medical Board. The diagnosis must be confirmed by further testing within 30 days of the date of diagnosis.
  Items Worth Noting
  - There is no requirement that the worker be “essential” nor be part of “critical infrastructure.”
  - The order alters how benefits are paid. For instance, an employee must exhaust all state and federal sick leave specific to COVID-19 before temporary disability benefits are paid and there is a 30-day deadline for making a compensability determination. There is also no waiting period for Temporary Total Disability benefits.
  - The order creates a “rebuttable presumption,” meaning a claim can be rebutted by evidence that the employee developed his or her illness due to exposure outside of work, such as in the community or at home.
CLICK HERE to review the Flash Report requested by Senators Schumer (D-NY), Cardin (D-MD), and Brown (D-OH) on the implementation of the PPP
- The Paycheck Protection Plan was created through the CARES Act, which was signed into law on March 27th, 2020.
- Since then millions of loans have been given out…but who are they going to?
- And is the PPP Loan administered through the SBA following both the law and spirit of the CARES Act?
  - CLICK HERE to read my blog post on this topic
CLICK HERE to read a Deloitte report on COVID-19’s impact to property and casualty insurance
- Actuarial perspective on 2020 loss reserves and future pricing.
- COVID-19 is impacting property and casualty (P&C) insurance companies and is expected to continue to affect claims and premium trends over the next several months—and potentially for years to come.
CLICK HERE for The Small Business Administration, in consultation with the Treasury Department, released updated Paycheck Protection Program loan FAQs, specifically Question 46.
- Question: How will SBA review borrowers’ required good-faith certification concerning the necessity of their loan request?
- Click through for answer…
CLICK HERE for a great report on the Future of Work: Ways of working in uncertain times
- Increasing organizational resilience in the face of COVID-19
- This perspectives piece provides insights for organizations that must explore new ways of working to sustain and thrive in uncertain times brought forward by COVID-19.
- Topics covered in this article: Response to the virus, Building Future of Work capabilities and Making work portable across the organization.
CLICK HERE for revised Federal Reserve Main Street Lending Program: Terms and Key Considerations
- To facilitate lending to small and mid-sized businesses that were in good financial standing before the COVID-19 pandemic, the Federal Reserve recently updated and expanded its Main Street Lending Program to now include three separate credit facility options. Providing up to $600 billion in combined availability, these three facility options may provide additional liquidity options to eligible companies that accept the facilities’ restrictions and can strategically align a chosen facility with their existing indebtedness.
  - CLICK HERE for Main Street Lending Program FAQ Link
CLICK HERE to Track where states stand on reopening as COVID-19 cases fall
CLICK HERE for 5 employee stress management solutions in the time of Coronavirus
- Have you taken proactive steps for employee stress management as your workforce faces the impact of COVID-19?
- For Stress Awareness Month 2020, we discuss:
  - The link between working from home (WFH)/remote work and employee stress
  - 5 employee stress management technologies you need during COVID-19
  - Why these tools matter now more than ever before

CLICK HERE to review a thorough – and ready to use - document regarding: Creating a Return to Work Action Plan

Echoing the sentiments of public health officials, a return to normalcy won’t be like flipping a switch, but rather a gradual effort. In preparation for reopening your business and asking employees to come back to work, it’s imperative that your company thoughtfully constructs a return to work action plan for its employees to keep everyone healthy and safe following the COVID-19 pandemic.

Centers for Disease Control (CDC) & World Health Organization (WHO)

What you need to know about coronavirus disease (COVID-19)
Keeping Workplaces Safe
As states begin planning to lift restrictions, employers will need to prepare for returning employees and set protocols in place for resuming operations safely. Lear Corporation created a 51 page "Safe Work Playbook" that you can download for free. CLICK HERE
Interim Guide for Businesses and Employers to Plan and Respond to COVID-19
Symptoms of Coronavirus (English) (Spanish)
Stop the Spread of Germs (English) (Spanish)
Steps to take if you are sick with COVID-19
Clean & Disinfect
Coronavirus Myth Busters
Q&A on Coronaviruses

Occupational Safety & Health Administration (OSHA) & Small Business Administration (SBA)

Preparing Workplaces for COVID-19
Hazard Recognition
Prevent Worker Exposure to COVID-19
COVID-19 Background
Standards
Medical Info
Control and Prevention
OSHA Resources on COVID-19
Small Business Administration Loan Resources
See the details starting to emerge about House Democrats’ coronavirus relief bill While this is not law yet…it is a good look at what they’re looking at. The final version will look a lot like this.

HR and Employment Law Resources

Families First Act: This new law requires employers with up to 500 employees to provide paid sick leave and paid family leave. For more information on this law that goes into effect on April 2^nd, 2020 Click here.
CLICK HERE for the FAQ’s posted by the Department of Labor
CLICK HERE to download the JUST RELEASED Employee Rights Poster from the Department of Labor. CLICK HERE for the Spanish version of this required document.
CLICK HERE for a FAQ on the Employee Rights Poster
Today we hosted a Webinar with Chris Olmstead presenting “Employment Law During COVID-19 Pandemic.” Click here for a link to his presentation... Webinar materials provided here… COVID-19 Slides and Essential Critical Infrastructure Workers.
For more Employment Law updates, information and resources, please click here to be directed to the Ogletree Deakins website. Click here to be taken directly to their Webinars and Seminars page. Additional Coronavirus Client Resources and template documents are available.

Layoffs & Furloughs:
- Make sure you provide this document to all newly terminated employees. Click here to visit the EDD website which can provide much more details you would need as an employer.
- CA WARN Act, Temporarily MODIFIED through Executive Order, please click here to learn what kind of notice you need to give employees you are laying off.
Health Insurance Companies list of Resources and Links. Click here to find all the info you need to access the resources your insurer is providing.
CA Workshare Program: for those who have to reduce work hours for employees, you may be eligible to participate in the active Workshare program through the EDD. Click here for more info.
For up to the minute information, please visit the CDC here
Individual Health Plan Options: For those who want to look into options OUTSIDE of Cobra, we can help. Please email myplan@teaguefs.com for immediate help with rates and even help understanding if you or your employees might qualify for help paying premiums.

Additional Resources

Paycheck Protection Program:

SBA PPP guidance on laid-off employees who refuse to be rehired

Businesses that received Paycheck Protection Program (PPP) loans can exclude laid-off employees from loan forgiveness reduction calculations if the employees turn down a written offer to be rehired, according to new guidance from the U.S. Small Business Administration (SBA), which warned that employees who reject offers of reemployment may find themselves ineligible to continue receiving unemployment benefits.

Should You Defer Payroll Taxes If You Apply for a PPP Loan?

Next round of small business relief may come with fewer strings attached

Banks have agreed to lend out more than $500 billion of the $670 billion allocated in the first phases of the small business aid package, known as the Paycheck Protection Program. But many employers are still complaining that the program’s hastily written rules are too stringent to help them stay afloat through the pandemic and keep their workers on the payroll.

As businesses who received a Paycheck Protection Program (PPP) loan look forward to maximizing their loan forgiveness, the following outlines the steps to take for PPP loan forgiveness. Look over these steps now to prepare for maximum loan forgiveness at the end of the 8-week covered period.

PPP FAQ’s from the American Institute of CPAs – This is a long read, so we pulled out some of the best Q&A’s in case you don’t have time to dig through the whole thing.

When does the 8-week period begin to determine the amount of the forgiveness for the PPP loan?The 8-week period begins on the date the lender makes the first disbursement of the loan. The lender must make the first disbursement of the loan no later than 10 calendar days from the date of the loan approval.
- What is included in utilities?
  - The CARES Act defines utilities in Sec.1106(a)(5) as electricity, gas, water, transportation, telephone or internet access for service which began prior to February 15, 2020. Further guidance released added gas used when driving a business vehicle. Other common utilities such as garbage collection or security monitoring may also be classified as a utility, but a business should confirm with the lending institution.
- Are employee federal withholdings and employer payroll taxes on wages for the 8-week period included in payroll costs?
  - The employee federal withholding is included in allowable payroll costs for the purposes of determining the amount to be forgiven. The employer federal payroll taxes (i.e. FICA and Medicare taxes) imposed on the gross payroll are not eligible payroll costs for the loan forgiveness calculation.
- What about if the business had employees who left for their own reasons? Or need to be fired due to performance issues? Is the loan forgiveness still reduced for those employees?
  - More guidance is needed on this issue. As the statute is written in the CARES Act, the forgiveness is tied to employee count comparisons and also specific employees and whether their pay was substantially reduced. FAQ #40 addresses the situation where a business lays off an employee, offers to rehire the same employee and the employee declines the offer. SBA and Treasury intend to issue an interim final rule that excludes laid-off employees that the business offers to rehire from the forgiveness calculation. The business must make a good faith, written offer to rehire and the rejection of the offer must be documented. It was also noted that employees who reject offers of re-employment may forfeit eligibility for continued unemployment compensation.
- Can you increase pay for employees during the forgiveness period (for example, hazard pay, bonuses or other salary increases)?
  - A decrease in wages of more than 25% will decrease forgiveness and wages is capped at an annualized rate of $100,000 per employee. The current guidance does not prevent an increase in pay in the form of a short term pay increase, hazard pay or bonus.
- Are payments to employees when they are not currently able to work (due to business being closed or for any other reason)?
  - The PPP was intended to keep businesses’ employees employed and paid. In order for the PPP loan to be forgiven, a minimum of 75% of the loan proceeds must be spent on payroll. Based on guidance provided currently, the covered 8-week period starts when the loan is funded. If a business is not open and the business’ PPP has been funded, employees will need be paid even if they are not able to work to ensure maximum forgiveness of the loan.
- Are these expenses tax deductible if the loan is ultimately forgiven?
  - IRS Notice 2020-32 was issued on April 30, 2020 to state that no deduction is allowed for an expense that is otherwise deductible if the payment of the expense results in forgiveness of a PPP loan.
- Is the forgiveness of the loan taxable income?
  - No, the forgiveness of the loan does not constitute federal taxable income. States are providing guidance on state taxability that will be included in the AICPA state tax guidance chart.

CLICK HERE for the application to apply for the Paycheck Protection Program

CLICK HERE for a GREAT summary of the PPP from Steptoe & Johnson LLP

CLICK HERE for the Corona Virus Emergency Loans Small Business Guide and Checklist published by the US Chamber of Commerce. For personal assistance in applying for any of these loans, please reach out to: Cynthia Diaz, CPA 760.294.8727 or cynthia@soluorient.com

Additional Points of Interest for Businesses:

CLICK HERE for COVID-19 resources for small businesses from Liberty Mutual

CLICK HERE for
information from the Department of Labor re: Benefits for Workers Impacted by
COVID-19

CLICK
HERE for information from the Treasury regarding assistance for Small
Businesses

CLICK
HERE to learn about Limited non-enforcement periods for in force rules as a
result of COVID-19 notice

CLICK
HERE to review information from the IRS re: the Employee Retention Credit
available for many businesses financially impacted by COVID-19

CLICK HERE for the special section the IRS has set up for information on Coronavirus Tax Relief

CLICK HERE FOR COVID-19 FAQ Will illnesses be considered Worker's Compensation Claims? - Is there coverage for business losses? - Will liability policies respond? - What other coverages should I possibly look to? - What Employment issues do I need to be concerned about?

CLICK HERE for ergonomic tips while working from home.

Coronavirus & Workplace Hygiene

Increase your employees’ awareness of COVID-19 and ways to prevent its spread.

Coronavirus (COVID-19) is the latest communicable disease outbreak with symptoms ranging from mild to severe. The World Health Organization (WHO) has classified this illness as a pandemic because of its worldwide spread with no pre-existing immunity. While it may be a novel illness, workplace hygiene best practices remain the same.

What is a Coronavirus?

The term coronavirus describes a broad category of viruses that affect both people and animals. The name is based on the crown-like spikes on the virus’s surface. According to the U.S. Centers for Disease Control and Prevention (CDC), these types of viruses were identified in the mid-1960s and are a common cause of colds and upper respiratory infections. Note: Antibiotics have no effect on viruses.

COVID-19 is a new strain of coronavirus. Evidence suggests it began with animal-to-person transmission then shifted to person-to-person spread.
Symptomatic people are the most frequent source of COVID-19 spread (as is true for the flu and colds).
The incubation period — the time frame between exposure and having symptoms — ranges from 2 to 14 days for COVID-19.
COVID-19 data to date suggests that 80% of infections are mild or asymptomatic, 15% are severe, requiring oxygen, and 5% are critical, requiring ventilation. The percentage of severe and critical infections are higher for COVID-19 than for influenza.
There is currently no vaccine for COVID-19.
People who have already had a coronavirus infection, including COVID-19, may get it again, particularly if it mutates.

Symptoms: Allergies vs. Flu vs. COVID-19

Many ailments share symptoms. Here are some ways to tell them apart.

ALLERGIES

Sneezing
Itchy Eyes or Nose
Runny or Stuffy Nose
Watery, Red, or Swollen Eyes
Shortness of Breath
Wheezing
Cough
Rash or Hives
Nausea or Vomiting
Dry/Red/Cracked Skin

FLU

Fever
Cough
Sore Throat
Runny or Stuffy Nose
Muscle Pain or Body Aches
Headache
Fatigue

COVID-19

Fever (100.4+° F)
Cough
Shortness of Breath
Phlegm Production
Fatigue
Sore Throat
Headache
Muscle or Joint Pain
Chills
Nausea or Vomiting
Nasal Congestion

Sources: Report of the WHO-China Joint Mission on Coronavirus Disease 2019 (COVID-19), CDC

How Viruses Spread

Person-to-Person Contact

Being in close contact with someone who is sick.
Coming in contact with droplets expelled when an infected person coughs or sneezes.

Contaminated Surfaces

With COVID-19 it may be possible to contract the virus by touching a surface or object that has a live virus on it and then touching your eyes, nose, or mouth.

Poor Hygiene

Not washing your hands long enough or often enough
Not covering your own coughs or sneezes.

Take Precautions to Protect Yourself

The CDC recommends taking the following steps to reduce your risk of contracting viruses, including COVID-19:

Avoid close contact with people who are sick (staying 6 feet away or more is recommended).Avoid touching your face, nose, eyes, etc.
Wash your hands often with soap and water for at least 20 seconds, especially after blowing your nose, coughing, or sneezing, or having been in a public place.
If soap and water are not available, use a hand sanitizer that contains at least 60% alcohol.
To the extent possible, avoid touching things — elevator buttons, door handles, handrails, etc. — in public places. Use a tissue or your sleeve to cover your hand or finger if you must touch something.
Clean and disinfect your home and workplace to remove germs. Wipe down frequently touched surfaces, including tables, doorknobs, light switches, handles, toilets, faucets, sinks, and cell phones.
Avoid crowds and keep your distance from others, especially in poorly ventilated spaces.
Avoid non-essential travel, including plane trips and cruises.

Personal Risk Factors

Aspects of people’s personal health may increase their risk for more severe instances of COVID-19.
People with a higher level of risk include:

Older adults (risk is highest for ages 80+)
People who have serious chronic medical conditions, such as heart disease, diabetes, and lung disease

COVID-19 May Be OSHA Recordable

The U.S. Occupational Safety and Health Administration (OSHA) indicated COVID-19 is a recordable illness and thus employers are responsible for recording cases of COVID-19, if:

COVID-19 was confirmed as part of CDC protocols for a person under investigation, presumptive positive, or as a laboratory-confirmed case.
The case is work-related as defined under OSHA standard 29 CFR 1904.5.
The case involves one or more of the recording criteria specified in OSHA standard 29 CFR 1904.7.

Employees who have gotten the common cold or the flu are not considered reportable incidents. Follow your employer’s protocols.