Provides disability benefits for six weeks after the birth, adoption or placement of a child with an employee

Summary of provisions

Sections 1 and 2: Amend the workers compensation law to add child care to the definition of disability and a day of disability.

Section 3: Amends the workers compensation law to define child care to mean any leave taken to bond with a new child within the first 12 months of the child being born or being placed with a parent through adoption or foster care.

Section 4: Amends the workers compensation law to include public employers into the definition of covered employers solely for the purposes of providing child care leave.

Section 5: Amends the workers compensation law to add the benefits an employee can claim for paid child care leave. An employee is entitled to half their weekly wage up to a maximum of $420 a week.

Section 6: Amends the workers compensation law to limit the amount of paid child care leave an employee is entitled to take to six weeks within a continuous fifty two week period. Exempts remuneration received for caring fox a foster or adopted child.

Section 7: Amends the workers compensation law to state that time taken for leave resulting from an injury, sickness, or pregnancy shall not count against the six weeks of child care leave and vice versa and states that disability benefits can only be received one claim at a time.

Section 8: Amends the workers compensation law to state that child care leave benefits shall be paid with no cost to employee out of the New York state insurance fund.

Section 9: Amends the workers compensation law to state that nothing in this act shall amend, repeal, or replace any existing collective bargaining agreements negotiated between covered employers and employee organizations or agreements mandated by binding arbitration. Nothing in this act mandates that employers use the same carrier to pay for child care leave that they use to pay for existing disability benefits.

Section 10: Amends the workers compensation law to state that employees must provide proof of the birth or placement of a child to receive child care leave.

Section 11: Amends the workers compensation law to mandate that employers give notice to existing and new employees of this benefit.

Section 12: Amends the insurance law to include child care leave to the definition of accident and health insurance .

Section 13: Sets an effective date of July 1, 2014.

Justification

Although the Federal Family and Medical Leave Act guarantees 12 weeks of unpaid leave to many workers to bond with a new child, most people can't afford to take unpaid time from work. In fact, a recent study showed that 77% of workers who declined the federal benefit did so because they could not withstand the loss of income. Paid child care leave benefits would allow all workers to remain in the workforce and still receive some income while taking leave to bond with their new children.

For many workers, the birth of a child forces them into a cycle of economic distress. 25% of all poverty spells begin with the birth of a child. Paid child care leave would enable workers to bond with and care for their new children without losing their economic stability.

Allowing new parents time from work to bond with a newly born, adopted or foster child is beneficial for the entire family in general and a child's development specifically. Despite spending the most on healthcare per capita of any nation in the world, the U.S. ranks 43rd in infant mortality; a major factor in reducing those rates is availability of paid child care leave. Studies have shown that paid child care leave lowers infant mortality - one study found that infant mortality drops by 25% with paid leave and that there isn't any significant impact in mortality rates from unpaid leave.

Paid child care leave is a Positive for employers, as research has suggested that employees are more productive and remain in jobs longer in companies that provide workplace flexibility with access to paid child care leave. Workers must care for themselves and their new families. When an employee leaves to care for a new child without paid leave, they are not likely to return, thus disrupting the company and requiring new hiring and training. Job loss means big costs for businesses in lost productivity, recruitment and training expenses. Experts estimate that replacing a salaried employee costs 150% of compensation. Studies show that 98% of employees return to work for the same employer after taking their longest family and medical leave. Businesses would profit from the higher productivity, increased worker morale and reduced absenteeism that comes from paid family leave.

History

2009-10 - died in Labor Committees in both Houses. Similar legislation in 2008 died in the Rules Committee. In 2007, similar legislation passed the Assembly only. Also in 2007, similar legislation died in committees. Finally, similar legislation also died in committee in 2007 and 2008.

Cost

This benefit will be paid out of funds accumulated in the new York state insurance fund. Based on the known costs of paid leave programs already implemented in California and New Jersey, the highest estimate of cost for the first year of implementation is $127.8 million. For the second year of implementation the highest estimate of cost is $128.5 million.

Effective date

This act shall take effect July 1, 2014; provided, that the addition, amendment and/or repeal of any rules or regulations necessary for the implementation of this act on its effective date are authorized and directed to be made and completed on or before such effective date.