As previously communicated in our e-Alert from December 20, the Paid Family Leave (PFL) program in New York State took effect on January 1, 2018. When the law is fully phased in over the next several years, employees will be eligible for 12 weeks of paid, job-protected leave to bond with a new child, care for a family member with a serious health condition, or assist with family obligations when a family member is called to active military service. During any period of family leave, employers are required to maintain any existing health benefits of eligible employees for the duration of the leave. Further details can be found here. PFL benefits have now been extended and contribution rates were increased as of January 1, 2019.
What has changed
The number of weeks of paid, job-protected leave for eligible employees has increased from 8 to 10 weeks. Wage replacement benefits have increased from 50% to 55% of the employee’s average weekly wage, up to a cap of 55% of the state Average Weekly Wage. The law is a phase-in over time and the benefit amounts will increase again in 2020 and 2021. The amount of payroll deductions funding the benefits have also increased to 0.153% of an employee’s gross wages.
Employer next steps
- All New York State employers should review their payroll practices to ensure that payroll deductions comply with state and federal law.
- All New York State employers should update their policy with the required language if they have not already done so.
- If you are an HR Knowledge Full-Service or Virtual HR client, please reach out to your Client Account Manager and we will be happy to update your policy and handbook for you.
This content is provided with the understanding that HR Knowledge is not rendering legal advice. While every effort is made to provide current information, the law changes regularly and laws may vary depending on the state or municipality. The material is made available for informational purposes only and is not a substitute for legal advice or your professional judgment. You should review applicable laws in your jurisdiction and consult experienced counsel for legal advice. If you have any questions regarding this content, please contact HR Knowledge at 508.339.1300 or email us.