U.S. State Updates
California
The Employment Development Department has released an updated version of the DE 2511 brochure for the Paid Family Leave program. As a reminder, this brochure should only be provided to new hires and those employees who request a leave of absence in order to care for a seriously ill family member, to bond with a new child, or to participate in a qualifying military event. If you are a Larkin client and we handle your leave of absence services, we will provide your employees with the updated brochure when they request a leave of absence.
Colorado
Colorado’s Department of Labor and Employment adopted updated rules regarding the administration of CO FAMLI (Family and Medical Leave Insurance), effective January 1, 2025. Below is a brief summary of the highlights, though we encourage you to review the rules in full:
Premiums
Wage deductions for paying an employee’s share of premiums must not exceed the necessary amount for coverage, and the overreduction may result in a fine by the Division. If the Division issues a reimbursement of premiums, then an employer must return to its employees any portion collected from the employee’s share. Any unpaid premiums, fines, penalties, or interest may be recouped by the Division via benefits offset. As a reminder, the FAMLI Act applies to any employer with at least one employee in Colorado, and employers must report their employer size annually during the first quarter of the year.
Employer Participation and Benefits Coordination
Covered employers are required to register with the Division via “MyFAMLI+Employer”. Multiple accounts are prohibited unless an entity is registering multiple accounts on behalf of multiple employers, in which case they must submit a document to the Division by March 31, 2025 to confirm legitimacy. Employers must pay a fine if they are not registered, have multiple unnecessary accounts, or fail to submit documentation for registration of multiple employers. Additionally, failure to notify the Division of any cease in operations in Colorado or re-registering will also result in a fine.
The coordination of benefits have also been amended to clarify when benefits terminate. Separation of employment for any reason (i.e., the end of seasonal work, in between temporary work placements) or the end of a temporary work assignment will mean an employee is unemployed and ineligible for benefits. Additionally, if an employee is receiving workers’ compensation benefits while receiving FAMLI benefits, the state may recover any overpayment of benefits (workers’ compensation and unemployment insurance do not run concurrently with FAMLI benefits). Employers may permit employees to use employer provided paid leave benefits to supplement FAMLI benefits, however, such an agreement must be made in writing, and benefits shall not exceed an employee’s full wage.
Private Plans and Appeals
There are several clarifications on employer obligations when it comes to private plans. These include notices to new and existing employees, when benefits information should be provided, and also when private plan coverage begins. The Division will also provide an invoice to employers of their annual maintenance fees by November 30 of each year, with a due date of December 31.
The appeals and determination processes have also been defined more clearly in the new rules, including how the FAMLI Appeals Unit will review and respond to appeals. For more information on how these decisions are made, please refer to the adopted rules.
Maine
The online system for employers to register, designate a payroll processor, file quarterly wage reports, and remit contributions for the state’s upcoming PFML program is now available (as of January 6, 2025). You will need to register for your business account to begin wage reporting in April. You can find more information like a Portal demo and Q&A on the ME PFML website, under “Maine Paid Leave Contributions Portal”.
Oregon
With the changes from SB 1515 that came into effect as of January 1, 2025, the state has adopted rules to provide clarifying changes and better align its Paid Leave Oregon (PLO) program.
- Oregon allowed employers up to 10 calendar days to provide any additional information or corrections about an employee’s claim once they have applied for PLO benefits – this has now been reduced to 5 calendar days.
- Documentation for the verification of an employee’s serious health condition (e.g., certification issued by a qualified health care provider) must now include the employee/claimant’s date of birth, and the serious health condition must be verified by diagnosis or a description of symptoms and treatment.
- Pre-placement leave has been defined as leave taken before the actual adoption or foster placement of a child, and must be taken intermittently in increments equivalent to one work day or one work week. Reasons for this type of leave include: attending counseling sessions; appearing in court; consulting with an attorney; submitting to a physical examination or home study; travel to another state or country to complete an adoption; or performing other actions the department has determined necessary for completing the legal process of an adoption or foster placement.
- Verification for pre-placement leave requires an employee to provide one of the following documents dated no earlier than 180 days before the start of leave: court order, letter signed by the employee’s representing attorney; document from the relevant foster care agency, adoption agency, or social worker; document for the child issued by the U.S. Citizenship and Immigration Services; or another approved document.
Rhode Island
The Department of Labor and Training has released the update to the Temporary Disability Insurance (TDI) contribution rate and taxable wage ceiling for 2025. The employee contribution rate is increasing from 1.2% to 1.3% and the taxable wage ceiling is increasing from $87,000 to $89,200. The maximum annual contribution will be $1,159.60. Here is a helpful press release from the RI Department of Labor and Training you may find useful.
Canada Update
Ontario
Bill 229, the “Working for Workers Six Act, 2024” has received royal assent as of December 19, 2024, bringing into force two new leaves under the Employment Standards Act. We covered the full details of these upcoming leaves in our previous newsletter, so we invite you to refresh your memory if needed.
The long-term illness or injury leave will be coming into force 6 months after the day of royal assent, which we calculate to be June 19, 2025. As for the other leave for the placement of a child due to adoption or surrogacy, this will be coming into force on a date named by proclamation of the Lieutenant Governor. As there’s no indication yet of when this might be, we will let you know once confirmed.