Employers’ Responsibilities under the New York State Paid Family Leave Benefits Law

On January 1, 2018, New York’s Paid Family Leave Benefits Law (“PFLBL”) became effective. The PFLBL provides eight weeks of total paid time off for employees who work for twenty or more hours per week (after twenty-six consecutive weeks of employment) and part-time employees who work less than twenty hours per week (after one hundred and seventy-five days of work, consecutive or otherwise). Below are a few key steps that New York employers should take to be compliant with the new law:

• Obtain Insurance. The PFLBL requires private employers to purchase paid family leave
  insurance. These policies are paid for by employee payroll deductions. It is strongly advised to
  inform any and all employees before withholding such contributions.
• Update Payroll Contribution Processes. Employers should make sufficient changes to payroll
  processes to accommodate the collection of employee contributions needed fund paid family leave
  insurance. The 2018 payroll contribution rate is set at 0.126% of an employee’s weekly wage with
  a maximum cap of $85.56.
• Change Handbooks and Manuals. Employers will want to document their compliance with the
  new law in their handbooks and employee manuals. In addition, employees may want to institute
  policies so that employee leave under various regulatory schemes is taken concurrently, rather than
  consecutively. Otherwise, employees extend their time away from work by linking together the
  eight weeks of paid leave under the PFLBL, the 12 weeks of unpaid leave under the FMLA, and
  perhaps other leave policies.
• Record keeping. Employers are required to conspicuously maintain the notices indicating proof of
  coverage readily viewable by all employees.
• Obtain Written Waivers for Ineligible Employees. If an employee does not fall within the purview
  of the PFLBL, the employer may provide them with a waiver form to preclude such employees
  from coverage.

There are many other considerations for employers to consider in order to ensure compliance and the least disruption of its workforce.

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Contacting Pavia & Harcourt LLP

Questions regarding matters discussed in this publication may be directed to the author, Adam Mitzner
(amitzner@pavialaw.com; +1 (212) 508-2318), or to any other Pavia & Harcourt lawyer with whom you
may have consulted previously. Contact information for all our attorneys is available on our website,
www.pavialaw.com.