Congress continues to debate on the next wave of COVID-19 relief funding. Until an agreement is reached, millions of Americans and thousands of employers remain at risk. As a result, President Trump signed executive orders to provide aid during the ongoing crisis. Here’s what you need to know and how they may impact your business.
In July, CNBC reported that Congress reconvened in Washington to begin work on a new, possibly $1 trillion relief package. While the CARES Act—the initial piece of coronavirus legislation—staved off economic collapse with provisions like the Paycheck Protection Program (PPP) and expanded unemployment benefits, some key provisions expired at the end of July.
Another CNBC story reported that a new relief package “is likely coming in August” as the House and Senate continue to debate about to include and exclude from the bill.
However, a deal has failed to materialize.
In response, CNN reported that President Trump signed several executive orders on Saturday, Aug. 8, 2020, to provide temporary relief while Congress continues to hammer out a deal. Supporters of the president say that the orders take action as legislators delay while detractors question the constitutionality of the orders.
What should employers expect, how might it impact their workers, and how could the legislation impact their operations?
Consider four takeaways from the executive orders, as reported by CNET and CNN:
Talks are expected to continue, though there’s no deadline or official timeline for a new relief package. However, speculation continues about what might actually be included in the legislation.
For example, BerniePortal covered eight new provisions that might be part of the new package, including additional stimulus checks and incentives for hiring and retaining workers. Nevertheless, employers should expect more news in the coming days and weeks on another round of relief—as well as additional guidance from the Secretary of the Treasury regarding how the payroll tax deferment will be implemented.