Lawley-Andolina-Verdi Agency Lawley Benefits Group present Paid Family Leave September 26, 2017 lawleyinsurance.com @lawleyinsurance
Lawley Overview Independently owned accountable only to our clients Relationship Building, Respect & Integrity, Passion, Accountability, Community Partners Employee Benefits, Business Insurance, Risk Management, Workers Compensation, Surety Bonds, Specialty Lines, Personal Insurance Lawley Benefits Group Expertise in all aspects of Employee Benefits Health Insurance, Group Benefits, Retirement Plans, Technology Solutions 375+ professionals more than 90 dedicated to employee benefits Manage more than $1 billion in medical insurance premiums Comprehensive Services Underwriting, Financial Analyses, Reporting, Wellness & Health Management, Compliance & Regulatory, Benefits Administration, Technology Solutions, and more Strong market knowledge, industry relationships, and leverage
What is Paid Family Leave? New York State has adopted the richest Paid Family Leave in the United States effective January 2018. Employees will be eligible for paid time off to care for a new child or sick family member. NY DBL policyholders with automatically receive a PFL rider Paid Family Leave DOES NOT apply to employee s own health condition. Employees, however, may be eligible for NYS Disability Benefits or FMLA.
Qualifying Reasons for Leave (pt. 1) To care for family member with serious health condition. Family member includes spouse, domestic partner, child, parent, grandparent or grandchild. A parent includes a biological, foster, adoptive parent, a parent-in-law, a stepparent, a legal guardian or other person who stood in loco parentis to the employee when the employee was a child. A child includes a biological, adopted, or foster son or daughter, a stepchild, a legal ward, a son or daughter of a domestic partner, or the person to whom the employee stands in loco parentis.
Qualifying Reasons for Leave (pt. 2) To bond with a child during the first 12 months after the child s birth or placement for adoption or foster care or to meet adoption or foster care obligations. To meet qualifying exigencies (as defined under FMLA) arising from the fact that a spouse, domestic partner, child or parent of the employee is on active duty or has been notified of an impending call to active duty in the US Armed Forces.
Summary of Benefits 8 10 10 12 WEEKS WEEKS WEEKS WEEKS 50% 55% 60% 67% Weekly Weekly Weekly Weekly Wage Wage Wage Wage $652.96 $718.26* $783.55* $874.97* 2018 2019 2020 2021 Benefit is capped at the corresponding percentage of the NY Average Weekly Wage In 2016 AWW was $1,305.92 and may be indexed in future
Key Provisions Benefits are available on rolling 52-week cycle Employer must maintain health insurance and corresponding contributions Employer discrimination or retaliation is prohibited Job protection is given to employees utilizing PFL (same or comparable position with equal compensation)
Who is eligible to receive PFL? It applies to all private sector employers with at least 1 employee (not counting the owner) Employers in the public sector can opt in through collective bargaining All employees are eligible for PFL Full time employees (20+ hours/week) after 26 consecutive weeks of employment Part-time employee after 175 days of employment Seasonal or temporary employees not expected to work 26 consecutive weeks or 175 days in a 52 week period may submit a written waiver
Funding the PFL PFL is intended to be 100% employee funded. On June 1 st 2017, the Department of Financial Services set the rate for PFL coverage at 0.126% of the employees weekly wage up to the state maximum weekly wage of $1,305.92 Deductions were permitted beginning on or after July 1, 2017 Deduction is taken after taxes are withheld Coordinate with payroll and review billing processes with DBL carrier
How does it Differ from FMLA? FMLA, the Family and Medical Leave Act, is an unpaid federal program that provides job protection during an employee s approved family/medical-related leave for up to 12 weeks. FMLA only applies to employers with 50+ employees. FMLA does not provide a monetary benefit.
PFL vs. FMLA PFL vs FMLA
PFL vs. FMLA cont d PFL vs FMLA (cont.)
PFL vs. FMLA cont d
PFL vs. FMLA cont d
PFL vs. FMLA cont d
PFL vs. FMLA cont d
PFL vs. FMLA cont d
Employer Considerations Handbook updates or written guidance Integrations with other leave policies, paid time off, FMLA and/or CBA Required printed notice (to be released) Managing deductions and billing (.126% and $85.56)
Employer Considerations 30 days notice for foreseeable leave, claims process and tax implications PFL increments and absence management Staffing issues and holding positions open Maintaining health insurance contributions