What Employers Need to Know About the American Rescue Plan Act
March 24, 2021
As a bonus to Bond’s March 23 webinar about the evolving legal implications of COVID-19 for business, Bond attorneys John Godsoe and Adam Mastroleo recorded short videos to review elements of the new American Rescue Plan Act (ARPA), recently signed into law by President Joe Biden.
John, a member of Bond’s employee benefits and executive compensation practice, discussed the basics of the new COBRA subsidy included in the ARPA. Short for Consolidated Omnibus Budget Reconciliation Act, COBRA is the law that enables employees to continue their health insurance coverage after their employment ends. Beginning April 1, the ARPA requires employers to cover 100% of the cost of continuing group health insurance coverage for employees who lost their jobs through involuntary termination or a reduction in hours. The subsidy period ends Sept. 30.
Adam, a Bond labor and employment attorney, explained how the ARPA extended the voluntary tax credits available to employers for providing various forms of paid leave to employees. The extension runs from April 1 through Sept. 30, and adds new qualifying reasons for paid leave, including getting vaccinated against COVID-19 and recovering from complications of receiving the vaccine. The ARPA also resets the 80 hours available for emergency paid sick leave provided by the Families First Coronavirus Response Act (FFCRA) on April 1.
The full presentation covered the following topics:
- American Rescue Plan Act – COBRA Subsidy
- American Rescue Plan Act – Employment Provisions
- PPP Update
- School Update
- Unemployment Update
Click here to view the webinar in its entirety or to register for upcoming Tuesday presentations.