AGS_CM2020_Q3_COVID19-1

COVID-19

Much regulatory attention has been given to the demands of both remote work and the physical requirements of a return to the workplace. AGS has developed a detailed COVID-19 Resource Center to help clients and businesses around the globe keep abreast of rapidly evolving developments related to workforce and workplace policies.

Meanwhile, there are a few examples of the longer-term compliance issues that companies should monitor as they move toward a next-normal engagement strategy for their contractors, freelancers, and employees.

  • APAC: India lockdown measures create new employer restrictions. In March, India issued several restrictions on employers to help protect workers impacted by COVID-19. The rules were issued as “Orders” under the Disaster Management Act. Along with the initial 21-day lockdown in March, further rules include prohibiting companies from terminating employees or contract workers, or reducing their wages. Indian state governments in some areas have issued orders requiring employers to grant 28 days of paid leave to employees who have contracted COVID-19. As of early July, the country has remained on lockdown.

  • EMEA: COVID-19 tax agreement recognizes telecommuters as cross-border workers. An agreement between Switzerland and Germany in early June allows workers who previously crossed borders to work to continue their special treatment regarding related tax and employment laws. In the agreement, workers are taxed by the country of their employer even if they now have to work remotely due to new restrictions. Further, any rules about days required to work in their home countries will also accommodate days worked in the cross-border country toward that total. The cross-border agreement will continue until travel restrictions are lifted across both countries.

  • US and EMEA: Stay on top of changes in state and country regulations. Vigilance on the local regulatory landscape has never been more important. Companies must navigate rules ranging from reopening facilities, to wearing masks, and social distancing. In some areas, rules may grow more relaxed, while others may see a return to more strict quarantine conditions.

    To help keep up with state regulations in the US, Law360 has created a free monitoring resource, Coronavirus Regulations: A State-By-State Week In Review. In EMEA, the World Health Organization has developed a similar resource for tracking changes by country: The COVID-19 Health Systems Response Monitor. Both are helpful sites for keeping up with general changes in regulations as they occur.

  • US: Consider compensation for work-from-home expenses. Several states (e.g., California, Illinois, Iowa, Montana, New Hampshire, North Dakota, South Dakota, and the District of Columbia) have laws requiring an employer to reimburse expenses incurred by employees for tools and equipment necessary to the performance of their job duties.

  • US: Watch for potential lawsuits brought on by COVID-19 activity. Potential conflicts may arise as companies navigate pandemic-related employment questions. Wage and timekeeping for remote workers can lead to overtime pay issues. Eligibility for paid leave will be a question as workers care for family members who get sick. Return-to-work questions can create conflicts with the Americans with Disabilities Act (ADA) as companies ask employees to disclose underlying health conditions. These are a few of the issues organizations will need to consider as they move forward in their planning.

  • US: Ageism may create new issues in the return-to-office shift. A recent ruling by the Equal Employment Opportunity Commission (EEOC) in the US determined that even if the intention is well-meaning (i.e., to protect workers at an increased risk of COVID-19-related illness), banning people over the age of 65 from returning to the workplace is not permitted. The ruling highlights the sensitivity that companies should have regarding everything from requests for disclosure to communications that may seem to compel workers to respond based on health and disability-related issues.

Takeaway: Moving forward, companies must consider both near- and long-term COVID-19 regulatory developments. Rapid updates to regulations impacting return-to-office strategies or the reinstatement of quarantines leave little time for planning but require an ability to react quickly. For the long-term, best practices around compliantly managing pay, sick leave, information security, and remote work will be a continuing priority. AGS can provide the insight and expertise to help companies to stay ahead of both concerns.

 

North America


Canada: Don’t Depend on Arbitration Rules in Misclassification Suits

US: Employers Continue to Track the AB 5 Independent Contractor Law

US: Amid Setbacks, Supreme Court Takes a Step Forward on LGBTQ Worker Rights

US: Visas Suspended Through 2020

US: White Castle Case Highlights Balance Between Biometric Technology and Privacy

EMEA


UK: IR35 Implementation Moved to April 2021

France: Government Considers New Protections for Gig Economy Workers

Netherlands: Government to Explore More Stringent Quality Controls for Staffing Agencies

EU: European Court of Justice Decision Invalidates Privacy Shield

APAC


Singapore: New Licensing Requirements for Employment Agencies Will Promote Fair Hiring

Australia: Court Finds Casual Worker Entitled to Paid Leave

India: The US H1-B Visa Ban Influences the Workforce, but Skills Remain in Demand

This update contains general information only, and AGS is not rendering legal advice. Before making any decision or taking any action that may affect your business, you should consult qualified legal counsel. AGS shall not be responsible for any loss whatsoever sustained by any person or company who relies on this update.