State panel approves $6M for family leave program
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Jun. 30—The N.H. Executive Council authorized a five-year, $6 million contract Wednesday that clears the way for a paid family medical leave plan to be implemented next year.
"New Hampshire's voluntary, private market PFML plan is the first in the nation to provide benefits to Granite State families without requiring an income tax or a mandatory, automatic payroll deduction," Gov. Chris Sununu said in a written statement.
"This paid leave product will be universally accessible for anyone who wants it and forced upon no one who does not."
New Hampshire general budget funds will be used to pay for the contract approved Wednesday between the state and the Metropolitan Life Insurance Co., which will provide family leave coverage for state employees.
More than 10,000 state employees would pay nothing for this coverage. Other employers can decide whether to pay all or part of the costs for their employees. Workers whose employers don't buy the coverage could buy it themselves for a maximum of $5 per week.
"New Hampshire continues to show how free-market approaches can provide cutting-edge solutions to important policy issues," N.H. Insurance Department Commissioner Christopher Nicolopoulos said in a written statement.
Covered employees would receive 60 percent of their average weekly wage for up to six weeks per year for family leave associated with the birth of a child, placement of a child for adoption or fostering, or a serious health condition of a family member.
Other qualifying events include caring for a military service member with a serious injury or illness or emergencies from a foreign deployment.
Participating employers will get a business enterprise tax credit equal to 50 percent of the insurance premium that is paid. They can pass along costs to their employees.
In 2019, Sununu vetoed a Democratic-backed family leave bill that called for a 0.5 percent payroll deduction, which the Republican governor labeled as an "income tax."
That program would have provided up to 12 weeks of leave at 60 percent of salary.
Rick Green can be reached at RGreen@KeeneSentinel.com or 603-355-8567
