Paid Family and Medical Leave in the U.S.

Paid Family and Medical Leave in the U.S.

• Workers in the U.S. are not guaranteed paid time off by federal law.
• Many types of laws exist to provide workers with rights regarding leave.
• Paid family and medical leave can include:
  • Medical leave: For a worker's serious health condition.
  • Parental leave: To bond with a new child (maternity/paternity/bonding leave).
  • Caregiving leave: For a loved one with a serious condition.
  • Deployment-related leave: For military service-related needs.
  • Safe leave: For victims of sexual or domestic violence.

Defining "Serious Health Condition"

• Under the Federal Family and Medical Leave Act (FMLA), a serious health condition requires:
  • Inpatient care or ongoing treatment by a healthcare provider.
• Examples include illnesses, injuries, chronic conditions (e.g., asthma, diabetes), recovery from accidents, and mental conditions.
• State laws vary in their definitions, mostly aligning with federal law.

Who Has Paid Family and Medical Leave?

• Short-term disability insurance is a crucial pay source for extended medical leave.
• 45% of the private sector workforce has access through their employers.
• However, access isn't equal: lower earners and part-time workers often have less access to this insurance.
• Many workers lack access to short-term disability insurance coverage.
• Service workers and leisure/hospitality workers have significantly lower access than the overall private sector average.
• Most private sector employees have some paid sick time, though this often does not meet the need for extended leave or serious health conditions.

Paid Family Leave Laws

• No federal law mandates paid family leave (PFL).
• Proposals exist: Build Back Better Act, Family and Medical Insurance Leave Act (revised for the 118th Congress).
• 13 states have their own PFL laws: California, Colorado, Connecticut, Delaware, Maine, Massachusetts, Maryland, Minnesota, New Jersey, New York, Oregon, Rhode Island, Washington (and Washington D.C.)
• New Hampshire and Vermont offer voluntary programs for private sector employees.
• Temporary Disability Insurance (TDI): 5 states have original TDI laws (California, New Jersey, New York, Rhode Island) with some expanding coverage to family leave. Hawaii's TDI law has not expanded to cover family leave.

What Paid Family and Medical Leave Laws Cover

• All state laws provide benefits for medical leave (addressing workers' own serious health conditions).
• Most also provide benefits for caregiving leave, parental leave, and sometimes deployment-related and/or safe leave.

Defining Family

• Laws define "family" broadly: children, parents, spouses, domestic partners, siblings, grandparents, grandchildren. "Chosen family" is sometimes included too.

Who Is Covered By Paid Family Leave?

• Almost all private sector employees in many states are covered
• Some state and local government employees are also covered.
• Most laws cover employers of practically any size (one employee and up).
• Self employed are often covered, but this depends on the specific state laws.

Rights Given Under Paid Leave Laws

• Cash benefits are given through an insurance system.
• Employment protections are available in several states: re-employment and/or maintaining health insurance benefits
• Retaliation-free protection is provided for employees using their leave rights under the PFL law in most states.
• Eligibility for other protections and cash benefits may require specific requirements regarding employment, time worked, or earnings.

How Long Is Paid Leave?

• Almost all state PFL programs offer at least 12 weeks of benefits.
• Some programs allow for more if necessary (e.g., circumstances like repetitive issues, certain pregnancy cases/concerns).

The Wage Replacement Rate

• Paid leave benefits are typically based on a percentage of a worker's earnings (wage replacement rate).
• The rate method varies. Some states have a flat rate for all workers; others adjust the rate based on income (progressive rate).
• Weekly benefits are capped in most states.

Paying For Paid Leave

• Insurance systems fund paid leave.
• Employer/employee payroll contributions to the fund, up to a maximum wage amount.
• Some states allow employers some ability to privately fund through purchased commercial insurance. These plans have to meet the same standards.