As of March 2016, only 13 percent of all private workers hadaccess to paid family leave (PFL), according to theBureau of Labor Statistics.

While many employers offer sick leave, short-term disability,paid time off and maternal leave, gaps in these benefit offeringsoften fail to meet the needs of employees seeking time to bond witha child or to care for a sick or aging parent.

Fewer families with a stay-at-home parent to help withcaregiving needs has increased the number of conversationsemployers are having about including PFL as part of an employeebenefits package.

While many employers are proactively adding their own coverage,some states are beginning to introduce and pass legislation aroundmandatory PFL coverage.

New York state, for example, is mandating that any privateemployer that provides Disability Benefits Law (DBL) coverage toNew York-based employees will be required to provide PFLcoverage.

New York’s proposed plan is one of the more robust PFL programsand, given this type of legislation is a newer concept across thecountry, there are bound to be questions from your clients.

Anticipating and proactively addressing these questions now canhelp ensure the program implementation process goes smoothly for youand your clients:

1. When will the New York PFL program takeeffect?

The legislation will take effect Jan. 1, 2018.

2. Are all New York employers required to providePFL?

Private employers with New York-based employees that provide DBLcoverage will be required to provide PFL coverage. This mandatealso applies to employers that are not based in New York, but haveremote employees based in the state that receive DBL coverage.

3. How is the New York PFL program funded?

New York’s PFL program is entirely employee-funded throughpayroll deduction. It’s important to clarify that the rates forthis coverage are determined by the state, not the employer.

For 2018, the contribution rate for PFL is 0.126 percent of acovered New York employee’s average weekly wage, capped at the NewYork State Average Weekly Wage (NYSAWW).

4. Does New York’s PFL legislation replace the Familyand Medical Leave Act (FMLA)?

In a word, no. PFL has different employee eligibility rules andemployer requirements than the FMLA.

However, there are many instances where the available leavetypes overlap, thus allowing PFL and FMLA to run concurrently.

5. How will New York’s PFL program beimplemented?

New York’s PFL program is designed to be phased in over the nextfour years, beginning Jan. 1, 2018, with the duration and benefitpayout set to gradually increase as the program matures.

The chart below highlights the proposed increases over the nextfour years. However, the state could delay these increasesdepending on the program’s performance.

6. How can I help clients prepare for New York’s PFLlegislation?

• Update the companyhandbook: Encourage your clients to update theiremployee handbook policies to ensure they’re compliant with the newPFL regulations.

• Communicate the changes toemployees: Once the handbook is updated, work with yourclients to determine the best way to communicate these benefitchanges to employees. The more proactive and transparent employerscan be about these changes, the better.

• Stay up to date: Keydetails and decisions around this legislation are still beingdetermined. It will be especially important for you to stay abreastof any changes, so you can ensure your clients are aware of anyupdates and remain compliant. New York’s PFL page is a great resource for thelatest information updates.

The end of the year will be here before we know it. Thesequestions can help prepare clients and their internal teams for thenew legislation provisions and mitigate a rush of questions andissues at the onset of the year.