Update Applicable to:
All employers with covered individuals performing work in the state of Massachusetts.
What happened?
An amendment has been introduced that makes a notable change to the Massachusetts Paid Family and Medical Leave (PFML) law by allowing employees to supplement benefits received with any available accrued paid leave.
What are the details?
Reminder: W-2 employees are always covered individuals. 1099-MISC contractors are only covered individuals if they made up more than 50% of your workforce and meet certain criteria. If your business is new to PFML, you must calculate your total workforce for PFML contributions based on the covered individuals employed in the previous calendar year. After the first year you are registered for PFML contributions, the Department of Revenue determines your workforce count.
According to the amendment, the changes will take effect on November 1, 2023 for claims filed on or after that date. The bill was signed by the Governor on 10/17/2023 (Bill Page).
Effective November 1, 2023, employees who take PFML will be able to supplement any accrued sick, vacation or other paid leave provided under an employer policy, including, but not limited to, any leave provided under a collective bargaining agreement.
Employers can offer PFML through a private plan, which previously had the option to allow employees to supplement private plan benefits with accrued paid leave. Now that the bill has been signed into law, these employers will be required to provide employees with this option.
For more information, please see the links below:
Law Firm articles: Article 1, Article 2
PFML pages: PFML FAQ, Employer FAQ
PFML Section 3 (the amendment applies to this section)
What do employers need to do?
Employers should review the above resources and references for further information and be prepared to comply with the law effective November 1st. Employers seeking further guidance should consult their employment attorney.
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