New York’s new Paid Family Leave (PFL) law will go into effect on January 1st, 2018. This is a mandatory benefit for all New York employees, and employers have the option to approach their employees to make early deductions. Beginning July 1st, 2017 employers can start making these deductions. In the interest of sharing more information, Petschauer Insurance would like to answer some pressing questions to help readers understand how this law impacts you.
PFL supplements part of an employee’s income while they are out of work. Full-time employees who have worked 26 consecutive weeks and part-timers who have worked a minimum of 175 days are all eligible.
Paid Family Leave can be taken for newborn bonding and/or foster adoption (within one year of birth/placement), the caring of a seriously ill family member, or family exigency/military leave. The need for exigency leave will arise if a covered military family member is on covered activity duty or active duty status.
In 2018, employees will be eligible for 50% income replacement for a maximum of 8 weeks. An employee’s approved time off and income replacement percentage will continue to increase through 2020.
Employees fund PFL through payroll deductions. The premium or contribution will be equivalent to .126% of an employee’s weekly wage, capped at $1.65 per week for New York’s average wage of $1,305.92.
All eligible employees have job protection while out on Paid Family Leave.
Have more questions about Paid Family Leave? Please contact us today!