Emergency Unemployment Insurance Stabilization and Access Act Puts Notice Requirement on Employers

In a continued effort to stay ready for when Congress passes legislation addressing the Coronavirus Response, it is helpful to review more aspects of the proposed bill.

Division D of the Families First Coronavirus Response Act is the Emergency Unemployment Insurance Stabilization and Access Act of 2020. This Blog Article focuses on this proposed Act.

The Act appropriates funds for Unemployment Trust Fund set up for the purposes of making emergency administration grants to States’ accounts. Per the Act, in order for states to obtain such funds, they must adhere to certain requirements namely:

• Ensure that applications for unemployment compensation are accessible at least two of the following:

  • In-person

  • Phone

  • Online

• Ensure that employers provide notification of the availability of unemployment compensation to employees at the time of separation from employment.

The Act explains that the notification can be based on the model notification language that is issued by the Secretary of Labor.

What Does This Mean?

If your company needs to lay off employees, or close for a time period, it is imperative that you inform you employees of the benefits available to them. If this Bill is passed, states will soon require that employers provide such notice. Remember, as of now, this Bill has not passed through Congress. However, in the meantime, it is important that employers are aware of their states unemployment programs. Model Notice Forms will most likely be released; however, it is good practice now for employers to prepare such Notice in the event of needing to provide such notice.

HELPFUL LINK

Below is a helpful link for employers to access their states’ unemployment benefits. It is important regardless of the legal requirements, to inform your employees of the benefits that are available to them.

Employers should not hesitate to contact counsel should they have any questions or concerns.