The Massachusetts Legislature is considering a paid leave bill that would establish the right of employees to receive job-protected paid family and paid medical leave. Benefits would include up to 16 weeks of paid family leave, and 26 weeks of paid medical leave. Weekly benefits would begin at 50 percent of the employee’s weekly wage and capped at $1,000 per week.
But benefit costs would accelerate quickly if the bill becomes law. The 50 percent salary replacement level required at implementation in January 2019 would increase to 90 percent by January of 2021.
How fast will costs increase? Consider the following information about California's decade-old paid family leave law:
State of California
Labor and Workforce Development Agency