What Can Employers Expect from the Potential New Relief Package?

July 29, 2020

Much of what’s been floated to include in the next federal relief package remains speculative. With that in mind, employers should keep an eye on the following possible provisions:

$105 Billion for School Reopening: Remote schooling for children presents a huge burden for work-from-home teams and offices attempting to reopen during the pandemic. If the country manages to figure out how to safely send children back to school, employers’ path to returning employees to work could be much smoother.
Second Round for PPP: One of the main criticisms of the first round of the PPP was that many high-profile businesses qualified for loan funding but didn’t necessarily need the cash infusion. The result? Millions of smaller businesses were forced to close indefinitely or shutter permanently. A second round could focus on these especially vulnerable companies.
Tax Incentives for PPE Purchases: Businesses that hope to return to some semblance of normalcy can’t do so without personal protective equipment (PPE). Tax incentives could help organizations afford to keep their workers safe as offices and workplaces reopen.
Incentives for Hiring and Retaining Workers: Part of the Republican proposal is said to include measures to help companies hire and retain employees. This provision remains a bit of a mystery, but financial incentives offered to employers could help them keep their staffing stable during difficult times—and replenish their workforce as they reopen.
Expanded Unemployment Insurance: With the national unemployment rate hovering at 11.1%, millions of people are desperate for income. The $600 unemployment insurance will expire at the end of July, and without congressional intervention, vulnerable people could face eviction and worse.
More Direct Payments to Americans: Passed in late March, the CARES Act sent $1,200 checks to millions of Americans desperate for income. The
Hazard Pay for Essential Workers: Hazard pay would compensate essential workers at higher rates as they go to work in high-risk settings like grocery stores and hospitals.
Vaccine Development Funding: There’s no telling when one will be ready, but there may be dollars set aside to accelerate the search for a viable vaccine.