Wednesday, March 30, 2016

Paid Family Leave - Will New York Be Next?

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PNN: NY Paid Family Leave Proposed

New York Governor Andrew Cuomo has expressed his support for legislation that would create a paid family leave program in New York State (A.B. 3870/S.B. 3004). Here are some highlights of the legislation:

  • If enacted, the legislation would provide employees with up to 12 weeks of paid family leave and cover two-thirds of the employee's salary up to a certain amount.
  • The legislation has been amended (it was previously considered last year), and would no longer require employer contributions.
  • The paid family leave program would be funded through employee payroll deductions of up to 45 cents a week in the first year. Thereafter, employee contributions would be calculated on an annual basis.

Currently, New York has a state disability insurance program. It is a state plan and employers are allowed, but not required, to collect contributions from employees to offset providing benefits.

The paid family leave program legislation has passed the Assembly and is currently under consideration in the Senate. Three states (California, New Jersey, and Rhode Island) currently already have paid family leave programs.

Will the New York legislation pass? Keep checking Pay News Now as we track the issue.