This year, private-sector employers in New York must provide employees with more paid family leave than ever before. In addition to State-mandated family leave, New York City officials have proposed new legislation that, if enacted, would provide paid personal leave for all employees who work in the city.
New York Paid Family Leave
New York's Paid Family Leave policy took effect in 2018 and requires businesses to provide eligible employees with paid time off in certain situations. As of January 1, 2019, employers must also provide the following benefits to their workers:
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An increase from eight to 10 weeks of paid family leave in a 52-week period.
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An increase from 50 to 55 percent of the employee's average weekly wage during family leave, up to a maximum weekly benefit of $746.41. The employees' average weekly wage will be capped at the current Statewide Average Weekly Wage (SAWW) of $1,357.11.
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An increase in the employee’s maximum payroll contribution from 0.126 to 0.153 percent of the employee's gross wages each pay period (and a maximum annual contribution of $107.97).
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Approval for paid family leave if an eligible employee’s family member is preparing for, or recovering from, surgery related to organ or tissue donation. (Effective February 3, 2019)
The New York Department of Labor also issued new guidance regarding the transition of paid leave benefits from 2018 to 2019. According to the DOL, if an employee began paid family leave in 2018 and it extends into 2019, the employee should receive the benefit rate and amount of leave that was in effect at the start of the employee’s leave period. However, if an employee took leave in 2018 and a second qualifying event occurs in 2019, the second event will not extend the amount of leave that the employee is entitled to under the law. For example, if an employee used four weeks of paid family leave in October 2018, and now requires additional leave in February 2019, he or she will be limited to six weeks of leave at the new benefit rate (10 weeks total), until 52 weeks have passed since the employee’s 2018 leave.
New York City Paid Personal Time
Following the State’s trend of increasing mandatory paid leave for covered workers, New York City Mayor Bill de Blasio has just proposed new legislation that could provide paid personal time off for all workers in the city. According to the Office of the Mayor, there are approximately 500,000 workers in the city with no paid personal time, including workers in professional services, retail, hotel and food service sectors. If enacted, this law would require businesses with five or more employees to provide workers with 10 days of paid personal time per year.
Personal paid time off will be separate and in addition to, paid sick time that workers presently receive under existing City law. Workers could instead use paid personal time off for vacation, family events, rest and relaxation, bereavement, or any other personal matter of their choosing.
New York Paid Family Leave and NYC paid personal time are just a few examples of the recent wave of paid leave statutes and proposed legislation, which have surfaced nationwide. Employers with questions regarding paid family leave requirements in their home state, PTO or other employee benefits should contact experienced employment law counsel for assistance.