New York’s Paid Family Benefits Law

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Governor Andrew Cuomo announced on February 22, 2017 that regulations have been filed with the state to implement New York’s Paid Family Benefits Law (“PFBL”). The paid family leave policy is set to take effect as of January 1, 2018 and be fully implemented by January 2021. These regulations provide guidance for employers, employees and insurance carriers, and mean that New York is one step closer to paid family leave.

PFBL provides for up to twelve (12) weeks of job protected paid leave for employees to care for themselves or a family member suffering from a serious health condition, to bond with the employee’s child during the first twelve (12) months following the child’s birth or adoption, or to relieve pressures created when a family member is on active duty in the armed forces of the USA. The PFBL is applicable to all employers with at least one employee.

Once the PFBL takes effect, eligible employees (eligible means employed for four (4) or more consecutive weeks) are to receive the following:

(i) on or after January 1, 2018, the payment shall be 50% of the employee’s average weekly wage, not to exceed 50% of the State’s average weekly wage, for a period no more than eight (8) weeks during any fifty-two (52) week calendar period;

(ii) on or after January 1, 2019, the payment shall be 55% of the employee’s average weekly wage, not to exceed 55% of the State’s average weekly wage, for a period no more than ten (10) weeks during any fifty-two (52) week calendar period;

(iii) on and after January 1, 2020, the payment shall be 60% of the employee’s average weekly wage, not to exceed 60% of the State’s average weekly wage, for a period no more than ten (10) weeks during any fifty-two (52) week calendar period; and

(iv) on and after January 1st of each succeeding year the payment shall be 67% of the employee’s average weekly wage, not to exceed 67% of the State’s average weekly wage, for a period no more than twelve (12) weeks during any fifty-two (52) week calendar period. Weekly benefits for leave shall not be less than $100.00 per week unless the employee’s wages at the time of injury are less than $100.00 per week, in which case the employee shall receive his or her full wages.

The payments made to eligible employees pursuant to the PFBL will be distributed from a State administered fund, which will in turn be funded by contributions made by employees. No employer will be required to fund any portion of the PFBL benefit.

“New York’s Paid Family Benefits Law” was Written By Brian Klein and Jasmine Patel