Family leave and parental leave policies have been in discussion for People Teams. Competing for top talent also means providing comprehensive benefit policies that allow individuals to care for their families. When working on your own policy, here is what you need to know to be compliant with NYS law and Paid Family Leave.
What You Need to Know:
New York State is updating the Paid Family Leave benefit. As of 2019 the 4-year phase of the PFL will be enhanced. Starting January 1st, 2019, the time allowed to take will be increased to 10 weeks. Additionally, an increase in wage allowances and job security will be improved.
Benefits & Wage Increases:
Starting January 1, 2019, the number of weeks eligible employees can take to bond with a new child, care for a sick family member, or assist loved ones when a family member is deployed abroad on active military service increases to 10 weeks.
The number of weeks employees can take will continue to rise through 2021, at which time employees will be able to take up to 12 weeks of job-protected, paid time off to be there forfamily when they are most needed.
For 2019, the maximum contribution rate for Paid Family Leave will go from 0.126% to 0.153% of the employee’s gross annualized wages capped at the new annualized New York State Average Weekly Wage (NYSAWW) of $70,569.72* per year (learn more here); which translates to a maximum annual premium contribution of $107.97 per employee.
The rate for Paid Family Leave has been increased by 21.4%. This takes into consideration the increase of benefits for 2019 which has also been confirmed as part of the rate announcement. When taking into account wage inflation (new NYSAWW), the total maximum contribution goes up by 26.1%.
- Download a copy of the official announcement from New York State here.
- For information on how to communicate this to employees, see here.
- For information on how to communicate payroll deductions for employees during leave, see here.
How MBL Benefits Can Assist You
Benefits offers in-house general counsel to assist you on all compliance inquiries. If you need further assistance in understanding these new laws, communication to employees, or developing your leave policies, we are here to assist.
Please feel free to contact us with any questions or concerns you may have.
