| Update Applicable to: | Effective date |
| All covered employers | Upon Signed into Law |
What happened?
On June 13, 2024, the Delaware Legislature passed SB 248, which would modify the Delaware Family and Medical Leave Insurance Program. It is awaiting the Governor’s action.
What are the details?
The amendments are done in which the following definitions are added and clarified:
- A definition for Collective Bargaining Agreement (CBA) is added (Link).
- An exclusion for employees who are covered under a CBA is added (Link).
- A provision of who is considered an employer is added when a situation in which a person works for a company that is hired by another company, the term ‘employer’ refers to the company that hired the other company, not the company that the person directly works for (Link).
Business Considerations
- Employers will need to ensure they comply with the Family and Medical Leave Insurance Program amendments, adjusting policies and procedures.
- Employers may need to update their administrative processes. This could involve tracking employee leave, managing claims, and maintaining compliance with the program, especially for those that can be considered “employer-client companies.”
- The bill states that for the Family and Medical Leave Insurance Program, the ‘employer’ is the company that hired the employee leasing company or professional employment organization, not the leasing company or organization itself. So, it is this hiring company that must follow the program’s rules. Employers that qualify under that definition should be aware of the compliance responsibility that could fall on their lap, so they should prepare.
Source References
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