In addition to ABC federal updates , please visit our ABC resource pages to find updates on federal legislation, state and local actions, and agency guidance on issues related to the coronavirus.

RESOURCES:

DOL FFCRA RESOURCES:

Below is additional information on the previously passed legislation that requires paid leave from employers with fewer than 500 employees.

ABC general counsel Littler Mendelson’s analysis of DOL’s guidance.

Additional DOL resources can be found on ABC’s Coronavirus Update webpage.

Also, the U.S. Department of Labor is hosting a national online dialogue, Providing Expanded Family and Medical Leave to Employees Affected by COVID-19, to help employers and workers understand their responsibilities and rights, respectively, under the Families First Coronavirus Response Act (FFCRA). Please  register to participate .

ABC OSHA Letter on Recordkeeping and Respirator Enforcement:

On March 24, ABC, as a member of the Construction Industry Safety Coalition Steering Committee,  wrote to the U.S. Department of Labor’s Occupational Safety and Health Administration regarding recordkeeping and respirator enforcement during the COVID-19 outbreak. CISC is comprised of a number of trade associations that represent every aspect of the construction industry.

Last night Senate Democrats and Republicans arrived at a deal to provide approximately $2 trillion in federal funding and programs to address the ongoing health crisis. The legislation would send $1,200 checks to many Americans under a certain income threshold, create a $350 billion loan program for small businesses, and establish a $500 billion lending fund for industries, cities and states. Other provisions include payroll tax delays and other tax fixes for businesses and, importantly, $140 billion for hospitals. Attached is a copy of the final bill and section-by-section that the Senate passed 96-0 without a single vote in opposition and additional information and links on the bill are included below. Also please feel free to reach out with any questions.

While ABC had concerns with some of the provisions included in the bill that don’t seem to directly combat this health crisis and the economic threat it poses, we remained supportive as this bill is viewed as a critical lifeline for our small and mid-size construction companies as they work hard to maintain their businesses, keep employees on payroll, and provide paid leave to those affected by the COVID-19 virus. We are also aware of concerns regarding a provision in the bill that would require some companies that accept federal loans to remain neutral in union elections. You can view the provision on pages 520-524 of the bill.

The provision is a part of an optional   program that would create additional assistance for mid-Sized Businesses (between 500 and 10,000 employees) for workforce retainment. The bill states, “the Secretary [of the Treasury] shall endeavor to seek the implementation of a program or facility … that provides financing to banks and other lenders that make direct loans to eligible businesses… with between 500 and 10,000 employees….” Eligible borrower must make a good-faith certification - “(X) that the recipient will remain neutral in any union organizing effort for the term of the loan.” 

While including the language sets a horrible precedent, it is unclear whether it will have much of a practical impact but this could make the loan program less attractive for any business not wanting to be unionized. It is also important to note that this provision would only apply to employers with more than 500 employees. ABC raised concerns with lawmakers about this provision but at this time does not feel that a grassroots approach or public effort to object to the measure would have any impact on the bill. Further, the main $350 billion Paycheck Protection Program in the bill for employers with fewer than 500 employees doesn’t set these requirements.

Democrats who had held up the process over the weekend and into this week obtained new accountability measures related to the Treasury Secretary’s broad discretion. The White House and Republicans agreed to allow an oversight board and create a Treasury Department special inspector general for pandemic recovery to scrutinize the lending decisions and detect abusive or fraudulent behavior. The bill also sets stricter limits on executive compensation and stock buybacks for companies that access these federal funds, and new rules to ensure employee retention and worker protections.

Changes to the bill will also boost unemployment insurance benefits, expanding eligibility and offering workers an additional $600 a week for four months, on top of what state unemployment programs pay. Millions of Americans have filed for unemployment benefits in the past few weeks.

HOUSE ACTION:  

While the bill passed the Senate, House members remain in their home districts, and, at this time, it seems most likely that the House will attempt to pass the bill by voice vote after debate on the House floor this Friday. A voice vote will allow members to debate the bill and raise objections but not result in a roll call vote on the House floor. However, just one member could demand a full vote on the House floor that would require members to return to the chamber to register their votes, causing a delay in the bill’s enactment.

 

NEXT STEPS:

Once signed into law, this deal – and its unprecedented scale – will be critical for pulling the economy out of its sudden, COVID-induced slide; but what comes next, in the coming days and weeks, is perhaps even more important.

Normally for large-scale changes of this nature, a lengthy and iterative inter-agency process would provide opportunities for stakeholders to provide feedback on proposed regulations. However, with the entire US economy on the brink, such a deliberative process will not be possible for the vast majority of this law-in-waiting and instead, we will likely have to rely on rapidly drafted and released informal guidance, notices, FAQs and other sub-regulatory materials from a whole host of sources across the federal government.

ABC will work to provide up to date information on the processes for accessing these funds.

Information provided by:

Peter Comstock

Director of Legislative Affairs, ABC National