A group of senators is pushing to include a paycheck guarantee for laid off or furloughed workers in the next coronavirus relief package. Under the senators' proposal, businesses that see at least a 20% month-over-month drop in revenues could receive grants to help cover workers' payroll and benefits for at least six months. The grants would cover benefits and up to $90,000 in wages for each furloughed or laid off employee. The grants also include up to 20% of revenue to pay rent, utilities insurance policies and maintenance. The Paycheck Security proposal would allow businesses of all sizes to receive the grants if they prove revenue losses, unless they hold more than 18 months of average payroll in cash or cash equivalents. More than 30 million Americans have filed for unemployment benefits over the past six weeks, as the coronavirus wreaks havoc on the U.S. economy. The senators argue their program would be more effective than the current coronavirus response efforts. Congress has already approved more than $2.5 trillion in coronavirus relief. As state unemployment systems strain to keep up with jobless claims and the Paycheck Protection Program has struggled with technical problems and backlash over big businesses accepting the loans. According to reports, the Justice Department has found possible fraud among businesses seeking relief in a preliminary investigation of money disbursed through PPP.) Rep. Pramila Jayapal (D-WA) has introduced a similar measure in the house, which would cover up to $100,000 in workers' wages. Some Republicans have also warmed to the idea of covering company payrolls.
Latest
Latest News
Each news summary is created according to strict standards. Here's how we do it.
Each summary is created using a consistent editorial procedure. The target length is approximately 16 lines of 11-point Arial text in a 650-pixel-wide column. Up to 25% of a summary may be set in bold to emphasize the most important ideas. Summaries are composed of verbatim excerpts presented in the same sequence as they appear in the original news source, with very minor editorial additions. Where material has been omitted between excerpts, the omission is indicated with ellipses (...). Any words added by an editor for clarity or context appear in [brackets]. Our original news editor was Fred Burks. Tod Fletcher edited most summaries from 2007 through 2014, and Mark Bailey has served as news editor since 2014.