DOD Clarifies Use of Section 3610 of the CARES Act to Reimburse Federal Contractors For Keeping Employees in a Ready State
Arent Fox – Section 3610 of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, enacted on March 27, 2020, permits federal agencies to reimburse contractors, through contract modifications and other means, for any paid leave they have provided to employees or subcontractors in order to maintain a “ready state” either because the employee is out sick or locked out of their usual worksite as a result of the COVID-19 pandemic and unable to telework because their job duties cannot be performed remotely.
