Category: New York

2021 Paid Family Leave

2021 Paid Family Leave in New York

We are now in the third year of New York’s Paid Family Leave Program. It continues to get more costly for employees. But the benefits also get better. Here a primer on New York’s 2021 Paid Family Leave Program.

Employee Contributions

The New York Department of Financial Services (DFS) has announced the maximum employee-contribution rate for 2021. It will increase from 0.270% to  0.511% of the employee’s gross wages, up to an annual maximum. This maximum annual contribution will be $385.34 in 2021 compared to $196.72 in 2020.

The contribution rate increased from 0.153% to 0.270% in 2020. That changed the maximum annual contribution from $107.97 to $196.72. Thus, the maximum annual contribution has nearly doubled since last year and increased overall by 350% in just 3 years.

This means an additional annual cost of up to nearly $300 for many employees from 2018 to 2021. And additional increases remain likely each year.

2021 Paid Family Leave Benefits

But it’s not all bad news for workers. DFS also confirmed that the weekly paid family leave benefit will increase again in 2021. The weekly benefit rate increases from 60% of the employee’s average weekly wage to 67%. This percentage only applies up to the first $1,450.17 of weekly earnings. An employee who earns more than that can only receive $971.61 per week in paid family leave benefits.

The maximum leave allowance also increases from 10 weeks in 2019-2020 to 12 weeks in 2021. That is the last scheduled increase in the length of the paid leave allowance, which began at 8 weeks in 2018.

Preparing for 2021

Companies should confirm their 2021 paid family leave premiums with their insurance carriers. Then make sure that next year’s payroll will include the correct contribution rates.

If your paid family leave policy reflected specific rates for paid family leave in 2020 (or earlier), then you might want to update that component.

This is also an excellent opportunity for employers to review which employees are eligible to opt out of the paid family leave program. Employers must offer qualifying employees the chance to waive coverage (and corresponding paycheck deductions). However, the waiver automatically expires if the employee later becomes eligible for paid family leave.

Finally, employers might find that these changes coupled with unique COVID-19 issues increase the utilization of paid family leave in 2021. First, the benefits are higher and last longer, making it more financially viable for employees to take time off from work. Plus, since employees have to pay more for the program, they might feel even more entitled to use it. These factors might require employers to replace more worker hours next year or otherwise allow for lost productivity.

 

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Reopening Gyms

New York Phase 4: Reopening Gyms & Fitness Centers

On August 17, 2020, Governor Andrew Cuomo announced that gyms and fitness centers could finally reopen as early as August 24, 2020. However, reopening gyms would not be a simple task in New York. Operators must comply with extensive guidelines, including a mandatory on-site inspection by the local health department.

NYS Guidelines for Reopening Gyms & Fitness Centers

The New York State Department of Health has issued Summary and Detailed Guidelines for reopening gyms and fitness centers. The guidelines include recommended and mandatory procedures for social distancing, protective equipment, hygiene, cleaning, and disinfection, communication, and screening. They also provide pertinent information related to on-site activities and air handling systems.

Covered Businesses

The gym and fitness center guidelines cover a wide range of activities, such as:

  • Fitness activities and facilities that stand alone or are located in a hotel, residence, or office
  • Gyms and fitness centers located in higher education institutions
  • Yoga/Pilates/Barre studios
  • Boxing/kickboxing gyms
  • Fitness boot camps
  • CrossFit or other plyometric boxes;
  • Other group fitness classes (e.g., spin, rowing, and dancing).

Although the guidelines take effect on August 24, 2020, county executives and the Mayor of New York City could delay the effective date until September 2, 2020. If your gym or fitness center has other facets of the business that operate out of the building that you intend to reopen, you will also be required to comply with other applicable industry-specific guidelines from the NYSDOH. Examples include fitness centers or gyms that contain restaurants, snack bars, pools, or childcare centers.

Mandatory Parameters

Gyms and fitness centers cannot exceed 33% capacity, counting both employees and patrons. Outdoor classes and activities are encouraged, to the extent practicable.

Classes or group activities are restricted to the lesser of:

    • A size that permits social distancing of 6 feet between participants and the instructor;
    • A maximum of 33% of a typical class size; or
    • The social gathering limit set by the State, which is currently 50.

Both employees and patrons (who can medically tolerate them) must wear face coverings at all times. Everyone must also socially distance by keeping at least 6 feet apart.

Unlike most other businesses, gyms and fitness centers must be inspected by the local health department before or within 14 days after opening. Local health departments will inspect for compliance with the NYSDOH reopening guidelines.

High-risk activities that require physical contact, such as boxing and martial arts, are still prohibited. Businesses can refer to the separate “Interim Guidance for Sports and Recreation during the COVID-19 Public Health Emergency” to determine the level of risk, and corresponding restrictions, associated with various sports and recreational activities.

Air Filtration

The guidelines establish new standards related to air filtration systems. Gyms and fitness centers that have central air handling systems must use an HVAC filtration system that meets the highest-rated filtration compatible with the currently installed filter rack and air handling system. The minimum is a MERV-13, or industry equivalent or greater (e.g., HEPA), as applicable. A certified professional must document compliance in a written statement.

Facilities that have a central air handling system that cannot handle a MERV-13 or greater filtration system must obtain a statement from a certified professional confirming that the current system would not perform adequately with a higher filtration system. These facilities, along with those who do not control their central air handling systems, must adopt additional ventilation and air filtration mitigation protocols as set forth by the U.S. Centers for Disease Control (CDC) and the American Society of Heating, Refrigerating and Air-Conditioning Engineers (ASHRAE).

Other Standard Reopening Conditions

As with all other industry-specific guidelines set forth by the NYSDOH, gyms and fitness centers must create and implement a safety plan. The plan must include protocols for conducting health screenings and procedures for obtaining contact information for all employees, patrons, and visitors.

Thus must also develop a communication plan that allows the company to disseminate COVID-19 related information effectively.

What Should New York Gyms and Fitness Centers Do Next?

Gym and fitness center operators must review the guidelines and affirm that they have read, understood, and intend to implement them before reopening. You must prepare a written safety plan and post it on-site along with all other required signage. You must also schedule an on-site inspection with your local health department.

 

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Reopening New York Part III

Reopening New York, Part III (Webinar Recap)

On August 13, 2020, we presented a complimentary webinar called “Reopening New York, Part III”. For those who couldn’t attend the live webinar, we’re happy to make it available for you to watch at your convenience.

In the webinar, we discuss:

  • Ongoing Business Restrictions
  • Employee Travel & Childcare Issues
  • Impact of School Reopening
  • Navigating New and Old Leave Laws
  • What’s Ahead for Employers?

With all of New York State now in Phase 4 of the State’s reopening plan, it’s still not back to business as usual. The same will be true for schools that are preparing to reopen in September. School districts will vary in how they get back to teaching, ranging from full in-person to fully remote models. This will create disparate impacts on employees with school-aged children.

Not limited to school issues, this webinar address the current status of New York’s reopening process. Content includes discussion of various leave laws that must be navigating for employees seeking to care for their children or address medical concerns potentially related to COVID-19.

Don’t have time to watch the whole webinar right now? Click here to download the slides from the webinar.

Why You Should Watch “Reopening New York, Part III”

Our third webinar in this series anticipates the issues employers may face as schools “reopen” in September. Many employees will face unusual challenges this school year because of COVID-19. This will range from childcare to new stresses of students learning more at home and less at school

Among other topics, this webinar focuses on the various complex leave laws that employers must navigate when employees say they can’t work. This includes a new statewide Paid Sick Leave law that takes effect in New York as of September 30, 2020.

Make sure your company is prepared to balance employee needs with business demands. Plus, we expect further legal developments that will further complicate the workplace during the COVID-19 pandemic.

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