SANTA FE (Feb. 12, 2024) – Following the passage of SB 3 by the House Health and Human Services Committee, NFIB State Director Jason Espinoza urged lawmakers in the House to reject the costly paid family medical leave mandate.

“The overwhelming majority – 89 percent – of New Mexico’s small business owners oppose this mandate. Our job creators do everything they can to take care of their employees and meet their customers’ needs, but escalating costs are pushing them to the breaking point. Amid a chronic worker shortage, the idea of finding replacement workers for up to 12 weeks per year is a daunting task for our small business owners. A loosely defined, state-run program will result in fewer jobs, slashed wages, and higher costs for New Mexican families, which is why we’re asking lawmakers to reject this costly mandate once again.”

Background:

In NFIB’s 2023 New Mexico member ballot, 89% of small business owners opposed the creation of this new mandate.

In September, NFIB testified against the proposal, warning that “exchanging custom, employer-provided benefits for an overly broad and loosely defined state-run mandate will result in fewer jobs and higher costs.”

A burdensome, loosely defined, state-run paid family and medical leave program that would have been funded through a payroll tax on employers and a wage tax on employees was defeated on a bipartisan basis by the 2023 Legislative Session.

According to a recent NFIB survey, 23 percent of small business owners reported that inflation was their single most important problem in operating their business, up one point from last month, and replacing labor quality as the top concern. CLICK HERE to view the full survey.