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ARTICLE · 11 JUNE 2020

Congress Approves Paycheck Protection Program Flexibility Act

Littler Mendelson
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On June 3, 2020, the U.S. Senate passed by voice vote the Paycheck Protection Program (PPP) Flexibility Act of 2020 (H.R. 7010).

United StatesEmployment and HR
Littler Mendelson, P.C.
Littler Mendelson, P.C.
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Update: The Paycheck Protection Program Flexibility Act was signed into law on June 5, 2020.

On June 3, 2020, the U.S. Senate passed by voice vote the Paycheck Protection Program (PPP) Flexibility Act of 2020 (H.R. 7010). The House of Representatives had approved this bill with near unanimity on May 28. Generally, the PPP provides low-interest, forgivable loans to small businesses affected by the COVID-19 pandemic. The new bill responds to complaints that the strict requirements on how employers spend the PPP funds disqualify them from obtaining the promised loan forgiveness, given the ongoing inability for many businesses to reopen. The bill is expected to be signed into law.

What changes would the bill make to the PPP?

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