SALT LAKE CITY-Workers who face greater risks from COVID-19 than others could receive up to $12 more hourly for the next three months per a suggested proposal from Utah Republican Sen. Mitt Romney.
This proposal is known as a “patriot play” plan and calls for one quarter of the bonus to be paid by the employer and three-quarters by the federal government via a refundable payroll tax credit.
If employers, such as grocery stores, implemented this plan, employees could be granted a $12 bonus for May, June and July.
The store would contribute $3 with the federal government furnishing the additional $9.
This means a $10 per hour worker would receive an extra net $5,760 for those three months.
Romney was among the first senators to propose the government write a check to all Americans to help them deal with the financial fallout of the COVID-19 outbreak.
Congress included a $1,200 payment in the $2.2 trillion relief package passed in March.
This pay plan would help ensure essential workers in critical industries as designated by the Department of Labor and Congress receive greater compensation than the unemployment insurance rate, per a statement from Romney.
Furthermore, under this program, employers would receive a 75 percent refundable payroll tax credit for a bonus up to $12 an hour for workers who would make less than $50,000 annually.
For those earning more than $50,000 annually, the tax credit would phase out by $24 for every additional $500 in income until the income hits $90,000.
The maximum tax credit is $1,440 per month per employee, meaning a full-time worker would receive up to a $1,920 monthly bonus.
Employees would have to work at least 100 hours each month they receive the bonus to be eligible for the proposed tax credit.
I’m introducing #PatriotPay because our essential workers—those putting themselves in greater risk on the frontlines of #COVID19—deserve our unwavering support. For more information on my plan to help ensure essential workers receive greater compensation→ https://t.co/NCznX3VgVc
— Senator Mitt Romney (@SenatorRomney) May 1, 2020
