Government-mandated protocols and social distancing directives as a result of the COVID-19 pandemic have led to significant business interruptions and tremendous financial strain on employers. These measures may continue to disrupt businesses and the economy for the foreseeable future. As a result, employers are faced with difficult choices regarding their employees – including how to keep them working during this unprecedented time and for many employers, possibly reducing employees’ hours, furloughing employees, or terminations – all of which can directly affect retirement plans and other types of employee benefit plans. In addition, a wave of new federal legislation affecting employee benefit plans, much of which is intended to provide relief to employees, is being rolled out.
Bass, Berry & Sims’ employee benefits attorneys have compiled a series of FAQs providing the latest guidance on the impact of COVID-19 on employee benefit plans. We are closely monitoring the government’s response to this developing situation and will update our website with further guidance as it unfolds.