PA Senate Committee Considers Paid Family Leave Proposal
Harrisburg, PA (WENY)-- The Senate Labor and Industry Committee is weighing a Bill that would bring paid family medical leave to Pennsylvania workers. Senate Bill 580, sponsored by Senators Dan Laughlin (R- Erie) and Maria Collett (D- Bucks), would establish the Pennsylvania Family and Medical Leave Insurance Program.
Senate Bill 580 is a bipartisan, bicameral Bill that would allow employees across Pennsylvania to take time off of work when a loved one gets sick, or a baby is born into their family, without having to worry about the lack of a paycheck.
“Only 17% of Pennsylvania’s employees have access to such benefits. The private market has yet to fill this need, and it is unrealistic in today’s economy to think they can or will,” Senator Collett says.
If passed, this proposal would create a statewide insurance fund, administered by the Department of Labor and Industry. Working individuals would contribute a payroll deduction of half a penny per dollar earned. That would generate an estimated $2.8 billion for the program each year. Benefits would be calculated on a graduated scale. Senator Laughlin says that will make the program available to all employees, regardless of pay grade.
“Workers can then rely on this fund when they need it most, to care for a new child or to care for themselves or a close family member in the event of a serious health condition,” Senator Laughlin explains.
The Senate Labor and Industry Committee gathered testimony from stakeholders during a public hearing today. Some panelists disagreed with the proposal, saying the mandatory contribution would only benefit some employees and could hurt employers.
“Some workers may prefer to have the cash or the flexible work arrangements for that matter. Whether or not they will use the state paid leave, they still must pay for it,” says Rebecca Oyler of the National Federation of Independent Business- Pennsylvania.
Others argue the current private market is working well, contrary to what the sponsors of the Bill believe.
“We caution against going with an exclusive Government program for this coverage. If you want this, at least examine if and why the private market isn’t working. We think it is, and we think this merits expanding it, not just replacing it,” explains Sam Marshall of the Insurance Federation of Pennsylvania.
Several other states including New York, New Jersey, Massachusetts, Rhode Island, California, Washington, and Washington D.C. have similar state insurance funds for paid family medical leave. However, just 14% of the country’s workforce has the benefit of paid family leave.
“I believe that this is a good, family Bill. It is good for American workers, and it is good for small businesses that will have their workers return to them after a short leave too,” says Senator Laughlin, who has been a small business owner for decades.
The Senate Labor and Industry Committee will now take the panelists’ comments under consideration. Time will tell if they decide to vote this Bill out of committee and onto the Senate floor for a full vote.
There is companion legislation introduced in the House as well. House Bill 1739, sponsored by Reps. Wendi Thomas (R- Bucks) and Dan Miller (D- Allegheny), is sitting in the House Labor and Industry Committee.