On July 11, 2023 Maine Governor Janet Trafton Mills signed a bill to create a Paid Family & Medical Leave program. This program provides up to 12 weeks of paid leave per benefit year for an employee’s own serious health condition, to bond and care for a new child, to care for a family member with a serious health condition, and for qualifying military exigencies. Contributions begin on January 1, 2025, with benefits effective May 1, 2026. Check in regularly to stay up to date as developments in this program occur.
Starting on January 1, 2026, parents with a newborn child in the neonatal intensive care unit (NICU) are eligible for an additional 12 weeks of leave to spend time with the child while hospitalized. If there were also pregnancy or childbirth complications, this could give birthing parents up to 28 total weeks of leave time.
Minnesota’s Department of Employment and Economic Development (DEED) confirmed today that the new paid leave program will launch with a 0.88% payroll tax, which is 25% higher than what was originally proposed (.7%) two years ago when the Legislature passed the law. DEED will do rate adjustments each year after receiving an annual actuarial analysis to investigate the solvency of the program. Employees will pay up to half of the payroll tax — 0.44% of their taxable wages in the first year — but an employer can choose to assume some of the employee cost.
More information on Minnesota’s premium rate and contributions are located at Premium rate and contributions / Minnesota Paid Leave.
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Wondering about paid family and medical leave in different states? This interactive map shows where and what kind of PFML laws are in effect or being proposed.