The Maryland General Assembly’s House Economic Matters Committee is considering House Bill 740, which would establish a Family and Medical Leave Insurance Program in Maryland. The program would provide up to twelve weeks of paid leave ($50 to $1,000 per week, with the maximum tied to inflation) to an employee taking unpaid or partially paid leave for the following reasons:
(1) to care for a newborn child or a child newly placed for adoption or foster care with the employee during the first year after the birth, adoption, or placement;
(2) to care for a family member with a serious health condition;
(3) because the employee’s own serious health condition that results in the employee being unable to perform the functions of the position of the employee;
(4) to care for a service member who is the employee’s next of kin; or
(5) because the employee has a qualifying exigency arising out of the employee’s family member’s deployment.
The weekly benefit is 66% of the highest total amount of wages earned by the covered employee in one week during the base period. For employees taking partially paid leave, the weekly benefit amount is the lesser of (1) the amount required to make up the difference between the wages paid to the employee while the employee is taking partially paid leave and the full wages normally paid to the employee and (2) 66% of the highest total amount of wages earned by the covered employee in one week during the base period.
The legislation would also establish the FAMLI Fund, which would be funded by employee contributions. The FAMLI Fund would pay for benefits required under the legislation, public education programs, and implementation of the program. The contribution rate will be set by DLLR regulation, with the requirement that it be sufficient to fund FAMLI benefits.
The legislation defines covered employees as those who earn at least $1,800 during the first four of the last five completed calendar quarters in the year immediately preceding the year in which the employee applies for benefits. Alternatively, if the employee is not covered under that definition, the employee earned at least $1,800 during the four most recently completed calendar quarters immediately preceding the year of application for benefits. Self-employed individuals may participate for an initial three year period, and then renew annually.
Benefits under the program are capped at 12 weeks in an application year (with specified exceptions). Covered employees may not receive benefits for the first five consecutive days after the employee becomes eligible for benefits, unless the employee used at least 10 days of paid or unpaid leave during the application year or has already undertaken the waiting period in the same application year. Further, a covered employee may not be paid benefits for less than one day or eight consecutive hours of leave taken in one work week