Governor Signs Paid Family Leave Expansion. Now What?

Date: February 20, 2019

Members forewarned policymakers about the reality of the law

Gov. Phil Murphy this week signed into law a legislative bill expanding paid family to all businesses with 30 or more employees. This will now:

  • Double the maximum number of weeks of leave from 6 to 12 weeks
  • Increase intermittent leave from 42 days to 52 days
  • Expands the amount that covered individuals can collect in benefits
  • Expands the scope of family members individuals covered under the law may take leave for to include siblings, grandparents, grandchildren, parents-in-law, and close friends
  • Extend leave to parents that have a child through the use of a surrogate
  • Strengthens protections for program participants by specifying that an employer may not discharge, harass, threaten, discriminate or retaliate against an employee.

NFIB thanks its many members who responded to its Action Alert urging defeat of the legislation as it was making its way through the New Jersey Statehouse. Below are some edited responses on what the law will mean in reality.

  • When employees are absent from work, particularly for an extended period, his or her work needs to be completed by someone else. Hiring temporary employees is costly and not always an option … Funding this expansion could become non-sustainable.
  • Most Small Businesses have a PTO Policy in place. It is more of a family-like environment where employers work with their employees’ need.
  • We just about manage month to month with our expenses. NJ is becoming an exit state. This could cause us to shut down.
  • I’m working 6 days a week 10+ hours a day. I can’t afford anything that makes it harder to do business.
  • I am a very flexible employer and treat my employees as family. It’s tough enough to operate in this state as it is.
  • This legislation ignores the question of whether a small employer can actually afford to keep positions open for up to 12 weeks a year for employees out on leave. When employees are absent from work, particularly for an extended period, his or her work needs to be completed by someone else. Hiring temporary employees is costly and usually not an option.
  • We employ only 9-10 employees at a time. If even a third of them went on extended leave, we would be out of business.
  • The paid leave act would be completely non-sustainable for me … How can I offer paid leave with my business inoperable? What about the employees that do want to work when one or more is taking off? My industry is undesirable work for most people.

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