Your November updates are here! As the new year makes its way around the corner, we would like to keep you up to speed on some of the important changes that will come with 2021, along with other industry-related information. We hope this email finds you and your team well, and invite you to reach out should you need any help. 
PPP Forgiveness for Loans of $50,000 or Less
The US Small Administration (SBA) released a new Interim Final Rule (IFR) for the Paycheck Protection Program (PPP). These additions apply to borrowers* with a loan of $50,0000 or less - which accounts for 67% of PPP borrowers.

#1 New simplified one-page loan forgiveness form (Form 3508S) that requires
eligible borrowers to do fewer calculations and provide less documentation.
#2 Eligible borrowers who use the new form are now exempt from the forgiveness
amount reductions due to restrictions in FTEs and salaries.
#3 While eligible borrowers will have to maintain records in case of an SBA review,
lenders no longer are required to verify eligible borrower's data or calculations.

*Borrowers affiliated with other businesses that in aggregate received PPP loans of $2 million or greater or have previously submitted a forgiveness application are not eligible for the new exceptions.
Survey Says...
TD Bank's Restaurant Franchise Finance Group ran a survey amongst franchisees focusing on pandemic-related changes - including sales, menu adjustments, and payment methods. Here are a few of the findings from the study.
  • Delivery and online ordering jumped from 20% of total sales in 2019 to 39% in 2020.
  • 38% of franchisees added drive-thru capabilities since the pandemic began.
  • 42% of surveyed franchisees pivoted to non-traditional payment methods.
  • 38% of respondents trimmed their menus to accommodate delivery and takeout functions.
Read more survey results and feedback HERE!
- California Family Rights Act Expanded -
Changes Take Effect Jan. 1, 2021
Governor Newsom has expanded the California Family Rights Act (CFRA) with Senate Bill (SB) 1383. This bill provides unpaid family and medical leave of up to 12 weeks for eligible employees, serving as a counterpart to the Federal Family and Medical Leave Act (FMLA). Here are the additions and removals to the current law set to change January 1, 2021.

  • Coverage applies to employers with as low as five employees (previous requirement: 50 employees).

  • Small-worksite employees will be eligible if they've been worked at least 12 months.

  • Reasons for leave include: care of grandparent, grandchild, or sibling in serious health condition.

  • "Child" category includes child of a domestic partner.

  • Military "qualifying exigency" leave for employee's spouse, domestic partner, child, or parent in the US Armed Forces.

  • Eliminates requirement that employees must work at a worksite with 50 or more employees within 75 miles.

  • Removes option for employers to cap CFRA leave for new child bonding to a combined total of 12 weeks when both parents are employed.

  • Removes "key employee" exception that allowed employers to restrict CFRA leave when the employee was among the highest paid 10% of employees.
Employer To-Do List:

✔️ Revise current leave policies and print/digital materials (ex: employee handbooks).
✔️ Post a new CFRA poster by Jan. 1, 2021, available soon on the DFEH website.
✔️ Provide training for Human Resources and Management teams to ensure leaves are FMLA and CFRA compliant.
Compliance Posters: Do You Have the Right Ones?
As labor policies change, it is important to ensure your workplace has the latest notices physically posted and/or provided to employees. Failure to post required laws can result in fines ranging from $110 to $10,000, depending on the law. The US Department of Labor provides an online poster advisor to identify the imagery you are required to post. Not all employers are covered by each of the DOL's statues and thus have different requirements. Here are the top posters required by the DOL:

Looking for even more compliance material? Have you checked out the HR Resource Portal? Gain access to hundreds of material, instant legal consultation, federal/state alerts, and other Human Resource tools curated to save you time and money, making compliance a breeze.

Call 877-568-6655 or email to gain access!
- CA's Pay Data Reporting Law -
DFEH Reporting Due March 31, 2021
California employers with a) 100 or more employees and b) file an annual EEO-1, must comply with Senate Bill (SB) 973 come the new year. This bill requires employers to submit an annual report to the Department of Fair Employment and Housing (DFEH) that includes the number of employees (and hours worked) by race, ethnicity, and sex in each of the job categories in the EEO-1 report. The state created the bill to further data collection to better identify wage patterns and allow for targeted enforcement of equal pay or discrimination laws. The first report is due March 31, 2021.

How do you maintain compliance?
The DFEH states that data must be submitted in a format that allows them to "search and sort the information using readily available software". There is not yet a specific form or template for report filing, but employers may submit a copy of their federal EEO-1 report containing the same or substantially similar pay information.

With this fresh eye on employee data, it is important to confirm that employee information is actually correct. One way to ensure accuracy is to allow employees to review their own information, and adjust necessary fields as needed. Enabling Employee Self Service in iSolved is one of the easiest ways to do this. Self Service allows employees to update and access their information based on the permissions you allow. Check out our training video below to learn about activating this service, or download the app and try it out yourself!

Visit our Resources page for more videos 📲
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Roseville, CA 95747

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