H.R. 805House117th Congress (2021-2023)In Committee

Layoff Prevention Act of 2021

Introduced February 4, 2021

AI-Generated Summary

Updated February 7, 2026 at 10:12 PM UTC

The Layoff Prevention Act of 2021 extends the temporary financing for short‑time compensation programs that were created under the CARES Act. It pushes back the dates when those funding provisions expire and doubles the grant money available for the programs. The changes affect state short‑time compensation programs and the workers who receive benefits through them.

Key Provisions

  • Extends the expiration date for state short‑time compensation payments to a date that is five years and six months after the Act’s enactment, replacing the original March 14, 2021 deadline.
  • Extends the expiration date for short‑time compensation agreements to a date that is two years and 13 weeks after the Act’s enactment, replacing the original March 14, 2021 deadline.
  • Increases grant funding for short‑time compensation programs from $100 million to $200 million in two sections of the CARES Act.
  • Extends the grant application deadline from December 31, 2023 to December 31, 2026.

Legislative Activity

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1 earlier action
HouseIntro Referral Latest Action

Referred to the House Committee on Ways and Means.

February 4, 2021

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HouseIntro Referral

Introduced in House

February 4, 2021

HouseIntro Referral

Referred to the House Committee on Ways and Means.

February 4, 2021

Bill Text

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Introduced in HouseIssued February 4, 2021

I

117th CONGRESS

1st Session

H. R. 805

IN THE HOUSE OF REPRESENTATIVES

February 4, 2021

Ms. DeLauro (for herself and Mr. Pocan) introduced the following bill; which was referred to the Committee on Ways and Means

A BILL

To provide for an extension of temporary financing of short-time compensation programs.

1.

Short title

This Act may be cited as the Layoff Prevention Act of 2021.

2.

Extension of temporary financing of short-time compensation payments in states with programs in law

Section 2108(b)(2) of the CARES Act (15 U.S.C. 9026(b)(2)) is amended is striking March 14, 2021 and inserting the date that is 5 years and 6 months after the date of enactment of the Layoff Prevention Act of 2021.

3.

Extension of temporary financing of short-time compensation agreements

Section 2109(d)(2) of the CARES Act (15 U.S.C. 9027(d)(2)) is amended by striking March 14, 2021 and inserting the date that is 2 years and 13 weeks after the date of enactment of the Layoff Prevention Act of 2021.

4.

Extension of grants for short-time compensation programs

(a)

Extension; additional funding

Section 2110 of the CARES Act (15 U.S.C. 9028) is amended—

(1)

in subsection (b)(1), by striking $100,000,000 and inserting $200,000,000;

(2)

in subsection (c)(1), by striking December 31, 2023 and inserting December 31, 2026; and

(3)

in subsection (g), by striking $100,000,000 and inserting $200,000,000.

(b)

Effective date

The amendments made by subsection (a) shall take effect as if included in the enactment of the CARES Act (Public Law 116–136).