The Hazard Pay Stimulus Bill: What You Need to Know

The COVID-19 pandemic has put many essential workers at great risk as they continue working on the frontlines to keep society functioning. In recognition of this, there have been efforts by Congress to provide hazard pay to these workers through stimulus legislation One prominent example is the hazard pay provision in the Health and Economic Recovery Omnibus Emergency Solutions (HEROES) Act stimulus bill

What is Hazard Pay?

Hazard pay refers to additional compensation given to workers who perform hazardous duties that involve physical hardship or risk. It is meant to offset dangers and risks associated with certain jobs. Hazard pay recognition and compensation policies exist in fields like construction, military, and healthcare.

With the risks essential workers face during the pandemic, there have been increasing calls to provide them hazard pay through government stimulus bills. Groups like grocery store workers, janitors, transit employees, and healthcare staff all face amplified dangers of virus exposure during their day-to-day jobs serving the public. Hazard pay would financially recognize these risks.

The HEROES Act and Hazard Pay

The HEROES Act is a stimulus bill passed by the U.S. House of Representatives in May 2020. It calls for another round of stimulus checks, unemployment benefits, support for businesses, and funding for coronavirus testing and healthcare. The bill also designates $200 billion in hazard pay for frontline essential workers.

Specifically, the HEROES Act defines eligibility for hazard pay as employees who have regular in-person interactions with patients, the public, or co-workers as part of their essential work during the pandemic. Examples include healthcare workers, grocery clerks, transit staff, janitors, and food service workers.

The bill mandates $13 per hour hazard pay on top of regular wages. This would be capped at $10,000 for workers earning under $200,000 annually and $5,000 for those making over $200,000 per year.

Who Would Get Hazard Pay Under the HEROES Act?

The HEROES Act outlines a broad list of occupations that would be eligible for hazard pay, including:

• Healthcare workers like doctors, nurses, hospital staff, pharmacists, home health aides
• First responders like paramedics, police officers, firefighters
• Food service staff like grocery clerks, agricultural workers, restaurant cooks
• Janitors, sanitation, maintenance, and cleaning workers
• Public transit workers like bus drivers, subway conductors, aviation staff
• Education staff like teachers, cafeteria workers, support staff
• Postal service workers
• Childcare providers

Rough estimates indicate over 50 million essential workers could qualify for hazard pay under the HEROES Act parameters. However, because the $200 billion fund would be limited, priority would likely go to lower-income healthcare, grocery, transit, education, and sanitation workers with high public exposure risk.

Status of the HEROES Act Hazard Pay Provision

While the HEROES Act passed the Democratic-majority House in May 2020, the legislation has stalled in the Republican-controlled Senate. Opposition is largely over the bill’s high costs exceeding $3 trillion.

However, both Republicans and Democrats recognize the need to compensate frontline workers. A bipartisan proposal called the Frontline Providers Pandemic Compensation Act has been introduced in the House by Republican Chip Roy and Democrat Tom Malinowski. It would create a $50 billion fund to provide hazard pay to healthcare workers and first responders specifically.

With continued advocacy and negotiations in Congress, some form of hazard pay for essential workers through stimulus legislation remains possible. However, the final eligibility, amount per worker, and total funding allocated will depend on any compromise reached by both parties.

Why Hazard Pay Matters

Beyond recognizing risks faced by essential workers, hazard pay offers other benefits that improve pandemic response:

• Financial support for low-wage workers – Many essential workers are lower-income hourly staff. Hazard pay would provide direct financial assistance to these workers and their families.

• Incentive to keep working – Reports indicate some essential workers are retiring early or resigning due to safety concerns. Hazard pay could incentivize them to keep working essential jobs.

• Compensate for health risks – Essential workers face amplified risks of workplace illness and COVID-19 infection. Hazard pay helps compensate for these risks.

• Economic stimulus – With hazard pay in the pockets of millions of essential workers, they would funnel more consumer spending into the economy.

Hazard pay for frontline essential workers makes ethical and economic sense during the pandemic. As Congress negotiates further stimulus bills, some form of hazard pay provision remains likely. This would provide direct assistance and compensation to the workers who keep society functioning through unprecedented dangers and challenges.