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MA Paid Family & Medical Leave UPDATE!!!
MA Paid Family & Medical Leave Program
Beginning in 2021, PFML will provide temporary income replacement to eligible workers who are welcoming a new child into their family, dealing with a serious illness or injury, caring for an ailing relative, or dealing with complications resulting from the military deployment of a family member. The program is funded by payroll-based contributions from employers, employees, and certain contract workers.
As announced last week, the Required Holding for this new program will begin on October 1, 2019 (moved from July 1, 2019). Employers will be responsible for remitting employee and (if applicable) employer contributions for the October 1 to December 31 quarter through MassTaxConnect by January 31, 2020.
Also announced last week is that the Contribution Rate has increased from 0.63% to 0.75% to ensure full funding will be in place for the commencement of benefit payments in January 2021…there has been no announcement on if/when this contribution rate will go back down to the original 0.63% OR how the 0.75% will be broken down between Medical and Family Leave
Timeline Extended for Required Employee Notices
Employers now have until September 30, 2019, to notify all covered individuals of their rights and obligations under PFML.
There are 2 steps to this process:
- An updated Labor Law Poster is available to notify your employees – this must be printed and displayed in a conspicuous location in your place of business (we recommend placing with your Federal and State Labor Law posters).
- New notifications will need to be provided to your employees and returned (completed and signed) back to you by September 30, 2019.
Timeline Extended for Exemption Applications
Employers that offer paid leave benefits that are at least as generous as those required under the PFML law may apply to the Department for an exemption from making contributions. Employers will now have until December 20, 2019, to apply for an exemption that will excuse them from the obligation to remit contributions for the full period commencing with the October 1 start date.
PFML Regulations Will Be Final and Effective on July 1, 2019
The final regulations will be available on Monday, June 17, 2019. The regulations will be formally published under the title 458 CMR 2.00 DEPARTMENT OF FAMILY AND MEDICAL LEAVE.
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