New York State's Paid Family Leave - NYS PFL - requirements

The Lead - 2017

What employers need to know about...New York State's Paid Family Leave - NYS PFL - requirements

New York State Paid Family Leave - Employer InformationEffective January 1, 2018, all private employers will be required to provide Paid Family Leave (PFL) to their New York state employees. While regulations governing this plan are proposed but not yet finalized, the plan must still be available to employees on New Year’s Day.

 

NYS Paid Family Leave will provide New Yorkers:

  • Job-protected, paid leave to bond with a child or care for a loved one with a serious health condition; or
  • Help to relieve family pressures when someone is called to active military service.

The plan will be an addition to the employer’s NYS Disability Insurance Policy.

The cost of the plan will be paid via employee deductions that are currently set at .126% of the employee’s weekly wage, and are not to exceed the NYS Average Weekly Wage of $1,305.92. This would result in a maximum deduction of $1.65 per week. Employees cannot opt out of this deduction.

Roles & Responsibilities

  • New York State Paid Family Leave - Lifetime Benefit SolutionsEmployers may begin making deductions today*. Unless deductions begin prior to January 1, 2018, deductions will begin on all employees with the first check dated in 2018.
  • Employers can elect to self-fund this benefit and not make deductions from employees.
  • Employers must continue health insurance coverage to employees during paid family leave, and employees must continue to pay their share of health plan premiums during the leave.
  • Employees must be restored to the same or comparable position held by the employee prior to the leave.
  • Employers are required to notify their employees of the Paid Family Leave and post a notice where employees can see it (similar to a Worker’s Compensation Notice).
  • This information should be provided by their disability carrier once coverage is established.

Helpful Resources:

For a more complete description of the NYS Paid Family Leave, visit:

NYSIF Website

NYS Paid Family Leave Website

NYS Paid Family Leave Help Line: (844) 337-6303

What Employers Need to Do:

NYS Paid Family Leave - Employers Business Owners Roles and ResponsibilitiesIf your clients have not already done so they should immediately contact their disability carrier to inquire about this coverage. Some disability carriers may not offer this coverage in which case they may need to find a new carrier.

It is important to determine the following from the disability carrier:

  • When will the Paid Family Leave premium be billed (e.g., quarterly, annually)?
  • How will their Paid Family Leave premium be billed (e.g., in arrears, in advance)?
  • When will the first premium be due?

You may need to create or revise your existing leave policies to include information about PFL.

We are here to help! As always, please feel free to contact Payroll Operations Customer Service with additional questions or concerns at 1-800-491-6584.

*Once they have determined when the premiums will be payable they can decide when to start making the deductions from employees to allow the cost of the plan to be available when the first premium is due. Employers must notify Lifetime Benefit Solutions if they would like to begin employee deductions prior to January 1, 2018; otherwise deductions will begin on all employees January 1, 2018.

 

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