As the coronavirus spread in 2020, Congress enacted the Families First Coronavirus Response Act (FFCRA) which provided benefits for employees affected by the coronavirus. Additionally, under the FFCRA, employees were also allowed time off to care for their children or for a family member. The initiative allowed business owners with 500 or fewer employees to provide sick leave, insurance coverage, and other benefits to their employees. This support encouraged employers to keep their workers on payroll while ensuring everyone’s safety during the pandemic. Unfortunately for some, the DOL has decided that they will not extend sick leave under the FFCRA. However, the law does allow employers to voluntarily give employees paid sick leave. If employers choose to give their employees PTO under the FFCRA, they may receive tax credits.
Tag: paid time off
If your employees are back to work, you’ve probably established new policies to comply with social distancing guidelines. You’ve most likely worked out new policies regarding how to handle documents, time tracking, customer service, and more. You have gotten this far, but have you considered taking a look at your current time off policy?
Most people can’t travel like they used to, which means that many employees aren’t using their PTO as they normally would. What are you going to do with those hours? Allow them to rollover their hours to the next year? Are you going to implement a use-it-or-lose-it policy? There’s a lot to consider now that the coronavirus has changed the way people work. What are you planning on doing with your PTO policy?
Paid time off (PTO) is a fantastic benefit that employers provide for their employees. In fact, recent studies show that 65% of business owners provide PTO benefits for their employees. Employees with time off benefits have higher morale and better work-life balances, which increases employee retention. So, it’s no wonder why employers choose to give their employees time off throughout the year.
Many employees enjoy the freedoms they get with time off benefits, but there are times when employers must manage time off consumption. For instance, it’s especially common for employers to restrict PTO during busy seasons or require employees to use their time off during slow periods. Although this might cause the employee inconveniences, an employer has the authority to dictate how and when PTO is used.
A paid time off (PTO) payout is compensation for earned time off that an employer must pay employees when they leave their jobs. Although the FLSA doesn’t require business owners to give their employees time off, some employers who give time off benefits to their employees must pay out their employees when they leave the company under law. Why is that? Some states require employers to handle an employee’s accrued vacation hours in a certain way. According to state law, former employers must give their employees the cash value of their accrued time off balances upon leaving.
If you need to calculate a payout, try our handy PTO payout calculator.
Many businesses are facing economic hardships now that the coronavirus has considerably slowed consumer spending. Without an influx of income, many business owners made tough decisions to cut employee hours and pay throughout the past few weeks. As a result of this change, anxious employees try to figure out how to balance their new financial situations. In response to coronavirus’ economic effect on businesses, the federal government took action to provide relief.
Although taking time off is very exciting, it’s not a great idea to let yourself mentally check out before you’ve left the office. If you don’t prepare correctly, you’ll find yourself with an abundance of phone calls, emails, missed meetings, and questions from colleagues upon your return. To avoid stress when you come back from vacation, we’ve provided a checklist to help you prepare for your departure.
Lawmakers made changes in Washington D.C. effective July 1st that may affect your business. First, minimum wage in D.C. increased due to the Fair Shot Minimum Wage Amendment Act of 2016. Additionally, the DC Office of Paid Family Leave (OPFL) made changes to the program. Here’s what you need to know:
We have written about time off and holiday leave a lot on this blog. With the 4th of July upon us, we thought it would be beneficial to create a holiday guide just for you. When holidays come around, employers may wonder how to handle various situations that may come up between their company and their employees. Are you following the law? Are you doing what other businesses are doing? Since the Fair Labor standards Act doesn’t require an employer to pay for any vacation or holidays, you may be left wondering not just what to do, but what you should do.
Employees and employers typically establish holiday benefits in an agreement. This is usually in the form of an employee handbook. This means that employers have flexibility to design a PTO policy that works best for the company, but it also leaves many questions unanswered. We hope you find the articles below helpful and informative.
When a company offers vacation time or PTO, they have to decide on a vacation rate for the accrual. There are a few options. Vacation time can accrue by hours worked, by the day, the week, or pay period. Alternatively, employers can choose to give out a lump sum at the beginning of the year. There are many rates to choose from and they are all suited for different needs and scenarios.
Not every company chooses to put a cap on time off since not everyone considers rollover a problem. But for those companies that do, there are a couple of ways in which to cap it. One of those is by zeroing out time off balances at the end of the year. This is called a use it or lose it time off policy. Employers don’t always realize it but this type of policy can cause conflicts in work flow and employee engagement.
Whether your paid time off plan is complex or pretty basic, you should take the time to lay out the details and create a policy. Besides the amount of time and the rate at which that time accrues, there are other important considerations to consider. For example, a policy helps companies cover their bases legally. It also helps prevent misunderstandings.