Paid Family and Medical Leave: New Federal Insurance Benefits and Funding
This Act establishes a federal paid family and medical leave insurance program (FAMILY Act) providing monetary benefits to workers who need time off for caregiving or personal medical reasons. Eligible individuals can receive paid leave for serious health conditions, caring for a qualified family member, bonding with a new child, or reasons related to domestic violence or sexual assault. The program is funded by new payroll and self-employment taxes, offering income security during necessary absences from work.
Key points
Establishment of Federal Paid Leave: Provides monetary benefits when eligible individuals take time off for their own serious health condition, caring for a broad range of family members, or dealing with issues arising from domestic violence or sexual assault.
Benefit Limits: Benefits are capped at 60 caregiving days within a 12-month benefit period.
Program Funding: The program is financed through new payroll taxes (0.2% employee, 0.2% employer) and self-employment taxes (0.4%), deposited into the Federal Family and Medical Leave Insurance Trust Fund.
Job Protection and Anti-Retaliation: Employers must restore the employee to their original or an equivalent position and maintain health benefits during the leave. An adverse action taken within 12 months of taking leave creates a rebuttable presumption of retaliation.
Coordination with States: States with existing comprehensive paid leave programs (Legacy States) can receive federal grants to maintain their programs, provided they meet federal benefit and data sharing standards.
Expired
Additional Information
Print number: 118_S_1714
Sponsor: Sen. Gillibrand, Kirsten E. [D-NY]
Process start date: 2023-05-18