FTE Reduction Exception
The FTE Reduction Exception rule allows you to add certain FTEs to your total FTEs during Covered Period.
- This includes employees:
- who were laid-off during the Safe Harbor Period,
- who you made a written rehire offer to,
- you were unable to hire similarly qualified replacements.
- This includes employees, who you have made written offers to restore any reduction in hours and the employee rejected your offer.
- This includes employees during the Covered Period that were fired for caused, voluntarily resigned or voluntarily requested and received a reduction in hours.
If you are unable replace those employees before December 31, you can add those FTE Reduction Exceptions to your Covered Period FTEs.
Written offers should be for the same salary or hourly rates and, in the case of layoffs, the same number of hours.