Pub. 8 2019-2020 Issue 3

SPRING 2020 21 exceptions may apply to dealer- ships with annual receipts under certain thresholds. Other loans that may be available to cover COVID-19-related financial hardships include an advance on an Economic Injury Disaster Loan or an SBA Express Bridge Loan. Certain small businesses with exist- ing SBA loans may also be eligible for debt relief. Local Orders Under California’s Resilience Roadmap, businesses around the state have been reopening after Governor Newsom issued an exec- utive order on March 19 requiring all California residents except those qualifying as essential workers to stay at home. During what is now Stage 2 of the Resilience Roadmap, Dealerships are permitted to fully reopen as long as they follow the relevant Industry Guidance issued by the California Department of Public Health and Cal/OSHA. Despite being labelled as “guid- ance,” businesses must comply with the mandatory provisions of the Industry Guidance. In addition to the state’s Industry Guidance, many local governments have also imposed restrictions aimed at curtailing the spread of COVID-19. The most recent Public Health Order from San Diego County requires that busi- nesses complete and post the Social Distancing and Sanitation Protocol (for essential businesses) and the Safe Reopening Plan (for non-essential businesses). Reopened businesses mus t include all mandatory measures from Industry Guidance as part of the Safe Reopening Plan, and must further include all suggested measures necessary to maintain proper sanitation, employee screening, social distancing, and facial coverings. Regardless of whether your Dealership (or parts of your Dealership) was open as an essential business or whether it reopened as a non-essential business, best practice is to comply with all require- ments necessary for reopened businesses. In addition to creating a written plan, all businesses in San Diego County must require employees to wear face coverings unless they fall within certain narrow exemptions permitted by the Public Health Order. Further, businesses must conduct temperature screenings and prohibit entry of employees with a temperature of 100 degrees Fahrenheit or more. Businesses must also prohibit entry for employees exhibiting COVID-19 symptoms or employees who have recently been exposed to a person who has tested positive for COVID-19. Layoffs With so many companies unable to operate at full capacity, many employers have had to consider mass layoffs. Typically, when a California employer with over 100 full-time employees or with 75 employees at a specific location lays off (or furloughs) either a substantial portion of its workforce or at least 50 employees, it is required to provide employees 60 days of advanced notice under state or federal law, or both. However, most employers did not anticipate the need for any layoffs two months ago, due to the quick and unexpected disruption of the economy by COVID-19 and related shutdown orders. For this reason, Gov. Newsom has suspended the require- ment that employers provide the full 60-day notice for layoffs, provided they still provide notice as soon as practicable and include specific language directing laid-off employees on how to learn about unemployment benefits. Lasting Impact and Leadership Current news reports show an increase in infections and deaths in the state as mandatory stay-at-home restrictions are loosened. However, even if businesses continue to reopen, the impact of this virus and our stay-at-home habits will undoubtedly linger as some consumers will be hesitant to venture out in large groups or shake hands, and employees may be fearful to return to a workspace that requires they work in close proximity to others. Dealerships can prepare by brainstorming potential solutions now, working with legal counsel to confirmcompliance with the standard framework of employment laws, including disability and medical condition anti-discrimination laws. In the meantime, this current crisis has served as a reminder of our shared humanity. While this time is stressful for businesses and employers are subject to a new and evolving framework of legal requirements, dealershipswill bebest served in the long runby leaders who incorporate and remember humanity in their inter- actions and communications with employees. Contributed by Fisher Phillips | fisherphillips.com Fisher Phillips is anational lawfirmthat focuses exclusively on labor and employment law for employers. Founded in Atlanta, they have 32 offices andmore than 350 attorneys whopractice before state and federal courts andadminis- trative agencies in virtually every state.

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