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New York Employer Update: Guidance On The Continuing COVID-19 Pandemic

Posted Mar 18, 2020

Governor Cuomo Mandates a Workforce Reduction

On March 18, 2020, Governor Andrew Cuomo announced a statewide mandate that no business can have more than fifty percent (50%) of its workforce report to work outside of their home. Some of the exemptions to this mandate will include essential services such as food services and food delivery services, pharmacies, health care organizations, and shipping companies. As the Governor’s announcement offered few details as to what constitutes an essential service, more information is expected to be released soon, and KDV will continue these updates accordingly.

NYC Establishes Employee Retention Grant Program

New York City recently established a grant program to provide small businesses and nonprofits with fewer than five employees a grant to cover 40% of payroll costs (up to a maximum of $27,000) for two months in an effort to help qualifying employers retain their employees.

To be eligible to participate in the program, applicants must: (1) be located in NYC; (2) demonstrate that COVID-19 caused a revenue decline of at least 25%; (3) employ a total number of less than 5 employees across all locations; (4) have been in operation for at least six months; and (5) have no outstanding tax liens or judgments.

NYC Establishes Small Business Continuity Fund

In the wake of the COVID-19 outbreak, New York City has also established a small business continuity fund to provide businesses with fewer than 100 employees, and whose sales have decreased by at least 25%, with a zero-interest loan of up to $75,000 to mitigate losses in profit.

To be eligible to participate for a loan, applicants must (1) be located in NYC; (2) demonstrate that COVID-19 caused a revenue decline of at least 25%; (3) employ a total number of less than 100 employees across all locations; (4) demonstrate an ability to repay the loan; and (5) have no outstanding tax liens or judgments.

New York Poised to Pass Landmark Legislation

New York State is poised to implement an expansion of paid leave related to COVID-19. Watch your email for the very latest developments from KDV.

The attorneys in the KDV Labor and Employment Law Practice Group continue to closely monitor developments on the law and update employers as the legal landscape continues to evolve. If you have questions about these developments, complying with the above regulations or are in need of assistance in implementing the new policies, please contact one of the experienced Labor and Employment Law attorneys at Kaufman Dolowich & Voluck.

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