If considering furloughs or layoffs, understanding all the options available to you is crucial. IHRSA has produced a “Questions to Ask Before Laying Off Your Staff” checklist that provides useful information and legal requirements to consider for the choices that health club owners have when it comes to downsizing during a pandemic.
You can learn more about hazard pay, salary increases, bonus payouts, and other options organizations are turning to during this global upheaval in this article by World at Work.
Adam Sloustcher, an attorney at Fisher & Phillips, also addressed the difference between furloughs and layoffs, as well as details of the Families First Coronavirus Response Act in an IHRSA webinar on staffing and legal FAQs.
Look into Government Assistance
It’s time to educate yourself and your staff on local, state, federal laws and relief opportunities in your country that can assist you during this time to pay your staff.
The U.S. government passed the $2 trillion Coronavirus Aid, Relief and Economic Security (CARES) Act in March offering a wide range of assistance, which has been broken down by IHRSA. Small businesses will be eligible for loans up to $10 million and loan forgiveness. Medium-sized businesses are being offered loans on conditions including retaining 90% of their workforce and no outsourcing or revoking collective bargaining agreements.
Most states offer their own individual business aid plans, explained by IHRSA, while workforce experts say employers should shore up their work-from-home agreements and revisit sick leave requirements should any employee miss work because of a coronavirus diagnosis, according to Forbes. Other countries such as France, Denmark, Ireland, U.K., and Canada have implemented wage subsidies ranging from 60-80% over arranging unemployment schemes with various rules.
No matter the size of your business, there’s a path forward for your club. By researching all of your options, you can explore the possibilities to retain staff and reopen when the time comes.