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04.09.2020 Newsletters Doerner

The Employer’s Legal Resource: Additional DOL Guidance on CARES Act Expansion of Unemployment Benefits

Over the last several days, the DOL has released three sets of guidance relating to the CARES Act expansion of unemployment benefits and eligibility (available herehere, and here). Highlights include:

  • Up to 39 weeks of unemployment benefits may be available for unemployment beginning on or after January 27, 2020, and ending on or before December 31, 2020, in connection with the COVID-19 pandemic.
     
  • Generally speaking, individuals may be eligible for these benefits if they are unemployed, partially unemployed, or unable/unavailable to work because:
    • they were diagnosed with COVID-19 or are experiencing symptoms and seeking a medical diagnosis
    • a member of their household has been diagnosed with COVID-19 and/or they are providing care to the household/family member
    • a child for whom they have primary caregiving responsibility is unable to attend school or a childcare facility that is closed because of COVID-19
    • they are unable to reach their employment location because of a COVID-19 quarantine or because they have been advised by a healthcare provider to self-quarantine for COVID-19 concerns
    • they were scheduled to begin employment and do not have a job or are unable to reach the job as a direct result of the COVID-19 public health emergency
    • they have become the breadwinner or major support for a household because the head of household has died as a result of COVID-19
    • they have to quit their job as a direct result of COVID-19
    • their place of employment has closed as a direct result of the COVID-19 public health emergency
       
  • Benefits may be available to workers not traditionally eligible for unemployment compensation, including self-employed and part-time workers, individuals who have limited recent work history, and employees of certain non-profit organizations, state and local governments, and federally recognized Indian tribes.
     
  • An additional $600 per week (funded by the federal government) for individuals collecting regular state unemployment benefits.
     
  • Up to 13 weeks of (additional) benefits for individuals who have exhausted or are otherwise ineligible for regular state unemployment benefits.
     
  • Partial unemployment benefits for individuals when their employer reduces the hours for a group of workers in an effort to avoid layoffs, whereby employers may be reimbursed for certain benefit costs.
     
  • Unemployment benefits are not generally available to employees who have the ability to telework (with pay), or who are receiving paid leave benefits of any kind. But individuals receiving paid sick leave or other paid leave benefits for less than their customary workweek may still be eligible.

The highlights described above include benefits under various different programs within the CARES Act. The federal government is currently working with the various states to implement these programs, so all details are not yet clear. It does appear these benefits may not be combined, and employees may not be eligible for all types of benefits. Employees should contact the OESC or DOL for more specific information regarding the individual benefits that may be available to them.

Of particular note, the DOL’s guidance emphasizes that while the CARES Act does provide workers some flexibilities, “quitting work without good cause to obtain additional benefits would be fraud.” Exactly what is considered “good cause” under these circumstances—and whether it might include workers, especially those that are vulnerable or at-risk, voluntarily resigning due to concerns about their own safety and susceptibility to COVID-19 (a common question these days)—remains unclear.

By Rebecca D. Bullard, rbullard@dsda.com

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