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Credit Union Times
MAY 13, 2020 | VOL. 31 | NO. 9 | CUTIMES.COM
New Benefit Strategies AppearThe novel coronavirus pandemic has raised many employeebenefit and compensation considerations for employers. Weexamined key issues relating toCOVID- 19 and provided suggested strategies for employersto prepare for these issues.
The Families First Coronavirus Response Act (FFCRA) wassigned into law on March 18, 2020.The FFCRA requires group healthplans to cover COVID- 19 screening without cost-sharing. Notably,the FFCRA does not require grouphealth plans to cover COVID- 19treatment without cost-sharing. Asa result, treatment costs relating toa covered individual infected withCOVID- 19 will be allocated basedon the terms of the plan documentor insurance contract.
The IRS Notice 2020-15, issued on March 11, 2020, provides that a high-deductiblehealth plan (HDHP) will not failto be a HDHP merely becausethe health plan provides services and items related to COVID- 19 prior to the satisfactionof the applicable deductible. Asa result, employees covered byHDHPs will remain eligible individuals if they receive healthbenefits for testing and treatment of COVID- 19 without incurring expenses toward theirdeductible.
In regard to paid leave andcontinuation of short-term andlong-term disability coverage,the FFCRA requires employerswith fewer than 500 em- Y16
& UNBANKEDWith tens of millions out of work due tothe COVID- 19 pandemic, moreAmericans than ever before are lookingto their financial institutions for help.Learn how CUs are working to bringstability to the lives of those facing thegreatest challenges during the economicdownturn in this Focus Report. Y6
Marketing toLatinosEmbrace a growingdemographic. Y10
to slow its
redit unions have
struggled with how to
serve gig workers, one
of the nation’s fastest-
growing segments, in part because
it’s difficult for them to identify
these workers in a sea of consumer
accounts and therefore recognize
their financial needs.
The Toronto, Canada-based
Sensibill, however, has offered
ways for credit unions to iden-
tify gig workers – the sole propri-
etors, freelancers and indepen-
dent contractors who are often
veiled behind member accounts
– more accurately, and how to
better serve them once found.
And in today’s economic cli-
mate, they may need that service
more than ever.
In October 2019, the Santa
Clara, Calif.-based Upwork and
New York, N.Y.-based Freelanc-
“Freelancing in America: 2019,”
which surveyed more than 6,000
U.S. workers over the age of 18. The
survey estimated 57 million Amer-
icans freelance. Caitlin Pearce, ex-
ecutive director of the Freelancers
Union, said, “More than one in
three Americans are freelancing.”
The study revealed five notable
findings about freelancers:
• Their income, at nearly $1 tril-
lion (approaching 5% of U.S.
GDP), exceeded the GDP of
some major industries.
Serving Gig Workers’ Financial Needs
he offices of the $231
million Actors Federal
Credit Union in New
“You go in and walk through
Times Square, and being a Jersey
kid growing up in this area, I don’t
know that I’ve ever actually seen
Times Square empty before at any
time,” Daniel Czerniawski, presi-
dent/CEO of Actors FCU, sadly re-
flected. “I guess the toughest part
in this is the lack of knowing when
it really will stop … both from a
human tragedy standpoint and
a financial standpoint. For me as
a CEO, I’m looking at it thinking,
what tools can I give to my staff?
How do I keep us whole and give
them enough support? The phone
calls [the staff] are getting [from
members] are tough, but there’s
just no way around it.”
Most of the credit union’s mem-
bers are stage actors who lost their
jobs when the Broadway theaters
went dark after the shutdown.
Making matters worse was thatmany of them held side gigsMANAGEMENT