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NFIB Urges Maine Labor Department to Avoid Creating Complicated and Cumbersome New PFML Rules

NFIB Urges Maine Labor Department to Avoid Creating Complicated and Cumbersome New PFML Rules

July 12, 2024

NFIB Urges Maine Labor Department to Avoid Creating Complicated and Cumbersome New PFML Rules

NFIB urged Maine labor department officials to avoid creating complicated and cumbersome new rules for the Paid Family and Medical Leave (PFML) law where existing rules and interpretations for various leave programs cover the same situations. For example, NFIB comments on proposed rules to implement PFML urged that the method of counting employment levels be the same as the methods used in the existing unpaid family and medical leave law. “Maintaining consistency with employment level calculation will avoid compliance confusion with both the paid and unpaid laws,” wrote NFIB. The NFIB comments also asked for clarification on whether private “equivalency” plans must offer the same amount of leave time (12 weeks) as employers in public plan. What does “equivalency” mean?  If a small employer must provide up to 12 weeks of leave for qualifying events, does a large employer with a private plan also have to provide up to 12 weeks or only have to provide the same financial equivalent even if the actual weeks of leave is fewer than 12? NFIB sharply criticized a proposed process for proving “undue hardship” if an employer wants a worker to take leave at a different time than the worker wants. “It is our understanding the purpose of the ‘undue hardship’ provision in Maine’s law was intended to recognize the realities of business operations and especially challenges of running a small business, particularly a very small business.  The proposed rule turns that statutory purpose on its head by creating a creating a cumbersome, time consuming, contentious and costly process of the employer having to justify to an agency official (who does not run a business and is not responsible for the financial survival of the business, meeting payroll, paying bills, taking care of customers, etc.) what is reasonable as determined by the small business owner!” NFIB pointed out the law states: “Use of such leave must be scheduled to prevent undue hardship on the employer as reasonably determined by the employer.”  Just ask why an employer invoked “undue hardship” and keep the process simple, NFIB urged. Lastly, the NFIB comments called for the state labor department officials to be mindful that about 86% of Maine employers have fewer than 20 employees (most employees work in firms that are much larger, over 100 employees).  Unlike the thousands of small employers in Maine, large employers have human resource professionals and legal advisors on retainer or in-house who can understand and process complicated rules. “We strongly urge that the rules also be viewed for how they affect the backbone of Maine’s economy, our thousands of small businesses,” NFIB comments on the proposed rules concluded. Department of Labor officials, who said nearly 300 comments were received, will spend the next few months determining what changes to make for final rules to implement the PFML law.  Final rules are expected later this summer of this fall.
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