FEI Weekly

April 3, 2020

Why you won't see record-setting unemployment numbers in today's jobs report.

Disney to Furlough Non-Essential Employees

Reuters

Walt Disney said on Thursday it will start furloughs of non-essential U.S. employees across the company on April 19 in response to the global coronavirus outbreak that has shut down or disrupted its media and theme park businesses. Disney had committed to full pay and benefits for all employees through April 18 despite the closure of theme parks, halting of film and TV production, and the shuttering of movie theaters.

AICPA Releases Report on COVID-19 Auditor Challenges

Journal of Accountancy

A new special report by the AICPA’s Center for Plain English Accounting (CPEA) posted Wednesday discusses issues including professional skepticism and audit evidence quality, financial statement issuance delays, physical inventory observation, access to client records, design, implementation, and testing of internal control, account confirmations, audit planning, fraud brainstorming and interviews, going concern assumptions and related disclosures, subsequent events, management representations, and fraud risk.

FASB to Meet to Re-Think Lease Accounting Timing

Bloomberg

FASB plans to meet April 8 to discuss pressing accounting questions related to the new coronavirus pandemic. Among other topics, the board plans to discuss lease accounting, after the Association of General Contractors of America asked FASB to delay by one year the date by which privately held companies have to overhaul how they account for leases. Private companies are due to start reporting lease liabilities on their balance sheets in 2022.

Why You Won't See Record-Setting Unemployment Numbers in Today's Jobs Report

WSJ - Paywall

Unemployment-insurance claims triggered by the coronavirus pandemic that were filed in the last two weeks are unlikely to materialize in today's March unemployment report. That is because the government uses different time frames and methods for gathering data for the separate reports. The Labor Department releases a national compilation of unemployment-insurance claims for the prior week every Thursday, giving a fairly quick read on fast-moving changes to the U.S. labor market.

Moments of Crisis Reveal Great Leaders

Harvard Business Review

To move forward in a crisis, leaders need to cultivate four behaviors in themselves and their teams. They must decide with speed over precision, adapt boldly, reliably deliver, and engage for impact. Moments of crisis reveal a great deal about the leaders below you. Once the immediate fire is under control and you have a moment to catch your breath, think about who rose to the occasion, who struggled, and why.