PPP Forgiveness: What To Do If You Got A Paycheck Protection Program Loan & Your Employees Won’t Come Back

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: Question: Will a borrower’s PPP

loan forgiveness amount(pursuant to section 1106 of the CARES Act and SBA’s executing guidelines and guidance)be reduced if the customer laid off a staff member, used to rehire the same worker, but the worker decreased the deal? If some workers don’t desire to or can’t return to work, you can employ brand-new staff members. If some workers do not want to come back and it’s not possible to increase existing employees’payment or to find replacement employees in time, you might just qualify for partial forgiveness on your PPP loan.

: Question: Will a customer’s PPP

loan forgiveness amount(pursuant to area 1106 of the CARES Act and SBA’s carrying out rules and guidance)be decreased if the customer laid off a staff member, offered to rehire the same staff member, but the staff member declined the offer? Employers and staff members should be mindful that employees who turn down offers of re-employment might surrender eligibility for continued unemployment settlement. If some employees do not desire to or can’t return to work, you can hire brand-new staff members. In order to qualify for the PPP exemption that omits laid-off workers whom the customer has offered to rehire however declined to return, the company needs to record the staff member’s rejection of the return-to-work deal. If some staff members do not want to come back and it’s not possible to increase existing workers’payment or to find replacement staff members in time, you might only certify for partial forgiveness on your PPP loan.

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