Starting January 1, 2018, eligible employees in New York can receive Paid Family Leave ("PFL") benefits. PFL applies to all employees who regularly work at least 20 hours per week and have worked at least 26 consecutive weeks. Part-time employees who regularly work fewer than 20 hours per week become eligible for the benefits after working 175 days.
PFL is fully funded by employees through payroll deductions.
Employers are not funding the contributions. Contributions are set at 0.126% of employees' weekly wages and are deducted from their paychecks. For 2018, the maximum employee contribution is roughly $1.65 per week (or $85 per year).
The new law provides wage replacement and job protection to employees:
- During the first 12 months after the birth, adoption or fostering of a child;
- While caring for a spouse, domestic partner, child, parent, parent-in-law, grandparent or grandchild with a serious health condition; and
- While assisting loved ones when a spouse, child, domestic partner or parent is deployed abroad on active military duty.
Employees must notify their employer at least 30 days in advance when the leave is foreseeable (for example a scheduled surgery or birth) or at the earliest practical time if it is not foreseeable (for example a sudden illness or unexpected military deployment).
PFL benefits are calculated using a percentage of the employee's average weekly wage. The rates are scheduled to gradually increase over the next few years.
|
YEAR
|
WEEKS OF LEAVE
|
BENEFIT
|
| 2018 |
8 Weeks |
50% of average weekly wage ("AWW") |
| 2019 |
10 Weeks |
55% of AWW |
| 2020 |
10 Weeks |
60% of AWW |
| 2021 |
12 Weeks |
67% of AWW |
Employees are not eligible for PFL due to their own illness, and may not receive both paid family leave benefits and sick pay for the same period. Employees are entitled to job protection (reinstatement to the same job upon return from leave) and continuation of their health insurance during PFL.
Employers must inform all employees of their rights and obligations in writing, including how to file a claim, and post a notice about paid family leave. Employers should also revise their employee handbooks to address the new PFL benefit.
Generally, PFL insurance will be added to the disability insurance policy you already carry. However, if you are self-insured for disability, you may purchase a separate PFL policy or apply to self-insure.
If you have any questions regarding PFL contact your disability carrier or call the LaBonte Law Group at 516-280-8580 or by e-mail at slabonte@labontelawgroup.com for immediate assistance.
