Compliance During a Pandemic: Are You Keeping Up with Mandatory COVID-Related Handouts?

You’re most likely aware that you must display certain labor law posters in a conspicuous area of the workplace — such as in the breakroom, by a time clock or in another high-visibility location. But did you know these posters are just one layer of your legal obligation to inform employees of their rights?

In addition to workplace postings, U.S. employers must also distribute federal, state and local employee notices, or handouts. And due to new laws passed during the pandemic, this responsibility is greater than ever. Today, you must comply with a handful of notices that also include specific, COVID-related handouts.

What Are Mandatory Employee Handouts?

Employers are required by law to personally distribute handouts informing employees of their rights and responsibilities under various federal and state workplace laws. The handouts cover a range of topics, depending on the state, county or city — from paid family leave and hiring to sexual harassment and unemployment compensation.

The reasons for providing these handouts varies, too. Under some laws, certain handouts may be necessary for newly hired employees. Others are triggered by a specific event or activity. For example:

• When an employee requests time off for a protected absence, such as caring for a sick family member, or for an employee’s own pregnancy-related condition
• When a workplace injury takes place, requiring information about workers’ compensation benefits
• Upon an employee’s separation from the company (whether resignation or termination), which requires details about unemployment insurance
• When an employer makes a change in wage information or pay

Further still, legislation developments and employer activity surrounding the COVID-19 pandemic are resulting in specific, COVID-related handouts. These written notices address critical topics such as:

• Emergency leave under the Families First Coronavirus Response Act (FFCRA)
• Paid time off
• Earned sick leave
• Unemployment insurance
• Benefits
• Separation
• Mass layoffs

Some COVID-related notices are federal, while others are state-and local-specific. For example:

• Federal: FFCRA Notice, COBRA Election Notice, COBRA General Notice, Premium Assistance Under Medicaid and CHIP
• California: For Your Benefit California’s Programs for the Unemployed, Notice to Terminating Employee – Health Insurance Premium Payment
• District of Columbia: Family and Medical Leave Act During COVID-19
• Massachusetts: Family and Medical Leave Law Notices, Health Care Coverage Form
• New Jersey: Family Leave Insurance Notice, Business Closing/Mass Layoff Notification Law, Instructions for Claiming Unemployment Insurance Benefits
• New York: Record of Employment Notice
• Oakland, California: COVID-19 Emergency Paid Sick Leave Notice
• San Francisco, California: Public Health Emergency Leave Notice
• Washington: Paid Family and Medical Leave Notice

Today, employers may be responsible for more than 400 potential federal, state and local employee notices, as well as a growing number of COVID-related handouts.

Avoiding Costly Penalties and Legal Issues

Many small companies fall victim to costly compliance mistakes because they assume employment laws apply only to larger organizations. While it’s true that some laws don’t apply to some businesses, making an incorrect assumption can turn out to be costly.

Similar to labor law postings, the penalties for noncompliance with required employee notices can be severe. Among the most common penalties:

• Federal penalties
  • Up to $21,410 per violation
  • Daily penalties for late notices up to $110-$500 per day
• State penalties
  • Range from $100-$500 per violation

Government agencies rarely inspect businesses for the sole purpose of ensuring compliance with posting and notification regulations. However, if a government official should visit your business on another matter (based on an employee complaint, for example), he or she may ask to check for poster and notice compliance.

Beyond the risk of fines, there’s also the risk of employee lawsuits and disputes. Under some laws, you could lose or forfeit certain defenses if you fail to notify your employees of their rights.

Noncompliance also may be used against you as evidence of bad faith. This can multiply the damages in an employment-related lawsuit, in addition to hurting your business reputation. That’s why it’s absolutely essential to stay up to date and get the right notices to your employees at the right time.

Stay Compliant and Protect Your Business

Labor law compliance is a complex but vital part of the employer-employee relationship. To cover all your bases, that involves displaying workplace postings as well as distributing topic-specific, event-triggered employee handouts.

Get the professional assistance you need to uphold this growing requirement. With the Mandatory Employee Handout Service, you get electronic access to the latest federal, state and local employee notifications. Designed to be utilized year-round, this service is especially helpful now when many employees are off-site and/or working remotely.

You’ll enjoy complete confidence that you’re fully compliant because our legal team monitors and updates the handouts in real time as laws change, covering the latest COVID-related notices.