New York is the 6th state to enact the PFL(paid family leave) act joining California, New Jersey, Washington, New Jersey and Rhode Island. We expect many other states to follow suit. To check your state’s rules go to www.NationalPartnership.org. Ignorance is expensive!!
- It’s effective on 1/1/18: Employees can have a baby today and give 30-day notice that they are taking (50%) paid time off the first 8 weeks of 2018 to bond with their baby.
- All employers with payroll must comply: All business owners with 1 or more employees on payroll must comply. As of 7/1/17, owners can deduct up to 0.126% of employee weekly pay to partially cover the expense,
- There is a 4-year phase in: In NYS 2018 the maximums are 8 weeks of pay at 50% of the employee wage base max of $1,305.92 meaning $652.96/week. 2019 it goes to 10 weeks at 55%, 2020 it’s 10 weeks at 60% and in 2021 it caps out at 12 weeks at 67%.
- A notice must be given in 2 of 3 ways: NYS will create a poster that “must be displayed in plain view where all employees and/or applicants can readily see it”. Employee handbooks must be updated to explain rights, obligations and how to file a claim. If you have no handbook, written materials must provide written guidance on the above.
- Reasons for paid leave include: Bonding with a new child (birth, adoption or foster), care for a “family member with a serious health condition”, caring for one’s own disability and qualifying if a spouse, domestic partner or child are called to active duty!
- Family members include: A child, foster child, parent, grandparent, grandchild, spouse, domestic partner, child of domestic partner, parent-in-law and step-parent.
- Part-time and Full-time workers may qualify: Full-time employees who work 20 or more hours/week are eligible for PFL after 26 consecutive weeks of employment regardless of how many days/week worked. Part-time under 20 hours/week qualify after working a total of 175 days.
- Employers face fines for failure to provide coverage: Employers face fines up to .5% of weekly payroll for the period without coverage, plus an additional sum of $500. If employers don’t continue health coverage for an employee while on leave, the employer will be responsible for medical costs incurred by the employee while on leave.
These facts are only a part of the new PFL law. Feel free to reach out to me or download a copy of our 8-page white paper on these rules and NYS DBL rate quotes.
