New Jersey employers facing difficult decisions given business challenges posed by the COVID-19 pandemic have been hoping for some relief from the amendments to New Jersey’s Millville Dallas Airmotive Plant Job Loss Notification Act (NJ WARN Act), set to take effect on July 19, 2020. Simply put, those amendments will lower the bar such that the NJ WARN Act will be triggered by reductions in force that impact 50 or more employees (either full-time or part-time) at or reporting to an establishment (a single location or group of locations within the state) during any 30-day period. In addition, the amendments require employers who lay off employees on or after July 19, 2020, to give employees 90 days’ notice, rather than the 60 days previously required by state law and by the federal Worker Adjustment and Retraining Notification (WARN) Act.
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Employer COVID-19 Responses May Trigger Additional State and Local Wage Payment, Notice and Other Obligations
In the midst of the COVID-19 pandemic, state and local “stay at home” orders and the resulting financial and business impact, many employers have implemented or are considering a range of workforce planning alternatives to workforce reductions, including moving to a primarily remote workforce, temporary reductions to employee hours or pay (or both), and temporary periods of continued employment without any work or pay (commonly referred to as furloughs). This article addresses some of the frequently asked questions regarding state and local wage payment and notice issues that may arise in connection with such measures.
For the full alert, visit the Faegre Drinker website.
New Jersey Law Prohibits COVID-19-Related Employment Discrimination
On March 20, 2020, New Jersey Governor Phil Murphy signed a new law meant to protect employees who take COVID-19-related leave. New Jersey Assembly Bill 3848 (the Act) provides protections and remedies for such employees and outlines the complaint process for aggrieved individuals. The Act is in direct response to COVID-19 and is meant to protect employees who need to take time off from work because they are or might be infected with COVID-19. The Act was effective immediately.
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Expanded Unemployment Insurance Access and Benefits: 4 Key Takeaways from the CARES Act
On March 27, 2020, the Coronavirus Aid, Relief and Economic Security Act (CARES Act) was signed into law, providing an estimated $2 trillion stimulus package to address the COVID-19 pandemic. Although the CARES Act has a number of employment-related provisions (as discussed here), a central piece of the legislation expands existing unemployment insurance programs, making far more individuals eligible and providing greater benefits than existing programs. As employers consider workplace actions during this time of uncertainty, understanding the impact of the new unemployment insurance landscape and the options available will inform employers as they make critical decisions suited to their circumstances and workforce.
Pennsylvania Grants Waivers Allowing Non-‘Life-Sustaining’ Businesses to Resume Operations
On March 19, 2020, Governor Tom Wolf ordered all Pennsylvania businesses that are not considered “life-sustaining” to shut down their physical operations by March 21 at 12:01 a.m., which was later amended to March 23, 2020 at 8 a.m. Governor Wolf’s order will remain in effect until further notice. Although there are several industries that are listed as non-life sustaining, the Pennsylvania Department of Community and Economic Development (DCED), has granted several waivers permitting specific businesses in industries that are not life sustaining to continue operating. For example, although construction companies generally must cease construction, they are permitted to construct health care facilities and conduct emergency repairs.
COVID-19 State and Local Employment Law Developments
As COVID-19 cases have swept across the country, state and local governments have reacted by issuing various orders and guidance affecting employers and their employees. Although it is not possible to discuss all related state and local developments that have occurred, this update provides a brief overview of some of these developments to help you maintain compliance for your organization.
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