Expanding paid sick leave programs in the wake of COVID-19

Abstract

The COVID-19 pandemic is having a profound effect on the U.S. workforce. Employers are struggling to make workforce decisions with the added constraint of preventing further spread of the virus, including the number of employees needed to operate at less-than-capacity and the number of employees that can work from home. Existing company policies and employment contracts may not effectively address employees’ personal experience with a situation like COVID-19, which may include a medical diagnosis of the virus, the need to quarantine due to exposure to another infected person, or the need to care for a child whose school or daycare is shut down due to the pandemic. In this paper, we explore the implications of the COVID-19 pandemic for employers providing paid sick leave and paid family medical leave. Employers are facing a growing number of lawsuits alleging noncompliance with the Families First Coronavirus Response Act (FFCRA). Paid sick leave mandates may be increasing employers’ exposure to employment practices liability insurance (EPLI), thus further complicating the legal considerations for employers as they navigate evolving guidelines for employee safety in the midst of a pandemic.