New York employers should begin preparing to comply with New York’s Paid Family Leave (PFL) law which will become effective January 1, 2018. Your employees will have new rights, and you’ll have new responsibilities.
An employee eligible for PFL is entitled to a continuation of certain benefits during her leave, such as health insurance, in the same manner as if she were working. For instance, if the employee contributes towards her health insurance premiums, she will be required to do so during her leave. And if your company pays the premiums, it must continue to do so during her leave.
When she returns to work, you must reinstate her to her original or a comparable position.
In addition to these logistics, soon you’ll be required to purchase a PFL insurance policy or self-insure for this coverage so be sure to check with your insurance professionals in advance. The policy’s premium can be paid for by your employees through a payroll deduction you’ll have to set up.
Of course you’ll want to ensure PFL is used appropriately as there are some exceptions. Consequently, it’s important to assess how the new PFL law interacts with FMLA (a federal law) as well as with New York disability coverage.
We can work with you to update your policies to reflect the many nuances of this new law.
