The COVID-19 Reaction and Impact on Small Business

Experts accross the nation, and accross the globe, have stated that the novel corona virus that causes COVID-19 is a pandemic.  Although the disease has sickened relatively few people in our country, compared to the our actual population, the spector of rampant infection has states and local municiplalities enacting fairly extreme measures in the name of public health.  

Thankfully the mortality rate of this illness has reamined very low but experts do believe it will rise.  Thus, our political leaders have in many areas have implemented "Shelter in Place" orders, in the hopes that this keeps the infection rates and loss of life at a minimum.  Unfortunately, it may also lead to massive unemployment and unprecedented small business closures.

Larger employers are looking at extending Paid Time Off benefits to their impacted employees.  This is a great show of ethical, moral and financial support for employees and working people.  Small employers do not always have the luxuray of deep pockets, strong stock performance or angel investors and hedge funds. For these organizations, furloughs and lay-offs may be the only recourse to avoid outright closure.  

To those businesses and their employees, the one option that may be readily available is Unemployment Insurance, offered by the State.  If you have to let some or all of your team go to slow down or avoid total collapse of your business, be sure to refer you employees to this social safety net.  In Oregon, where I reside, unemployment benefits are being extended to those impacted by this pandemic. More informaiton can be found here: https://www.oregon.gov/employ/Pages/COVID-19.aspx.

Those of you in the neighboring state of Washington, one of the hardest hit in the US, the Employment Security Department put together a helpful Checklist to guide individuals through the process: https://esdorchardstorage.blob.core.windows.net/esdwa/Default/ESDWAGOV/Unemployment/COVID-19_Applications_CheckList.pdf.

Congress, our federal legislators may succeed in passing legislation that provides additional relief but until that time comes, the unemployment insurance programs in your home state may be the best, most immediate option available to your employees.  

Please stay safe and healthy.