New York State Paid Family Leave

New York Law Requires Paid Family and Medical Leave

New York’s Democratic governor, Andrew Cuomo, signed Senate Bill 6406 into law on April 4, as well. It was approved by the state Senate March 31 and the state Assembly April 1.

The measure gradually raises New York’s minimum wage to $15 an hour for most workers. It also requires employers to provide workers with 12 weeks of paid family and medical leave.

Under the law, the minimum wage for workers in New York City will rise to $11 on Dec. 31, 2016, for employers with 11 or more employees and by $2 per year at the end of 2017 and 2018. For New York City employers with 10 or fewer employees, the minimum wage will increase to $10.50 in December of this year and by $1.50 annually over the following three years.

The minimum wage will increase more gradually in the three counties surrounding the city and even more gradually in the upstate region of the state.

In Nassau, Suffolk and Westchester counties, it will increase to $10 this year and then rise by $1 annually over the next five years. Upstate, it will increase to $9.70 this year and then rise by 70 cents each year for four years until it reaches $12.50.

In a concession to upstate lawmakers and businesses, the minimum wage there will not rise to $15 until a study is conducted by the state and a new indexed schedule is set.

The law contains a similar provision to the “pause” provision in the California law, which provides that the state will conduct annual economic studies beginning in 2019 to determine if the scheduled increases should be suspended due to a lagging economy.

The measure also provides for the phase-in of paid family leave. Beginning in 2018, workers will get eight weeks of leave at a pay rate of at least 50 percent of their average weekly wage, with a cap of 50 percent of the statewide average weekly wage.

When the leave provision becomes fully effective in 2021, employers will have to provide 12 weeks of leave at a rate of pay equal to at least 67 percent of an employee's average weekly wage, capped at 67 percent of the statewide average weekly wage.

Employees will be eligible for leave after six months of employment with a single employer.

The paid-leave program will be funded by a payroll deduction of 0.5 percent on employees.

Paid family leave will be available to care for an infant, to care for a family member with a serious health condition or for “any qualifying exigency” resulting from a family member being called to active military service.

Joanne Deschenaux, J.D., is SHRM’s senior legal editor.

For More Information Please Contact MCM Agency

Marc Altneu

VP Benefits

MCM Agency

293 Route 100 Somers, NY 10589

914-276-0469

marc@mcmagency.com