Legalized Recreational Marijuana Use Comes to the New York State Workplace

Posted by jhellert on 04/14/2021 12:00 am  /   Phillips Lytle Monthly Updates

On March 31, 2021, New York State Governor Andrew Cuomo signed the Marijuana Regulation and Taxation Act into law (“Cannabis Law”). The law, among other things, legalizes the adult recreational use of marijuana and protects individuals who use marijuana outside of the workplace from discrimination. These provisions of the law became effective upon the law’s signing. The legalization of recreational marijuana use will dramatically alter the landscape of workplace drug testing and safety, and limit the ability of employers to discipline, terminate or refuse to hire employees for marijuana use. This alert discusses some of the issues employers will face in adapting their policies and practices to the Cannabis Law.

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American Rescue Plan Act Mandates Temporary Subsidy of COBRA Premiums and Provides 100% Tax Credit

Posted by jhellert on 04/01/2021 12:00 am  /   Phillips Lytle Monthly Updates

Among its many employment-related provisions, the American Rescue Plan Act of 2021 (ARPA) provides that if an individual’s qualifying event for Consolidated Omnibus Budget Reconciliation Act (COBRA) coverage is an involuntary termination or reduction in hours (“eligible individual”), then 100% of the COBRA premium shall be paid by the entity to which COBRA premiums are due (the employer, health plan or insurer) between April 1 and September 30 of 2021. The COBRA subsidy is available for eligible individuals who are enrolled in COBRA as of April 1, 2021, or enroll between April 1 and September 30 of 2021. In addition, the subsidy is available to any individual who would otherwise be an eligible individual (including a former employee) within the 18-month COBRA coverage period, but who did not elect COBRA coverage or dropped COBRA coverage before April 1, 2021. Such individuals must receive notice of their extended opportunity to elect COBRA coverage. ARPA also requires that plan sponsors update COBRA notices regarding the availability of the premium subsidy. Failure to provide the required notice will be treated as a failure to comply with the COBRA notice requirements. ARPA directs that the Secretary of Labor, in consultation with the Secretary of the Treasury and the Secretary of Health and Human Services, shall provide model notices within 30 days of the law’s enactment.

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