The Massachusetts Department of Family and Medical Leave (DFML) recently published a new workplace poster, notifications, and new rate sheets for all employers in the state for 2023 regarding the Paid Family and Medical Leave (PFML) law. Employers are required to notify their employees of new contribution and benefits rates and new published notices. Below is an outline of the DFML’s updates.
2023 Rate Sheets
Massachusetts employers are required to provide the new 2023 PFML contribution rate sheets to current employees informing them of the new PFML contribution rate at least thirty days prior to the rate change (i.e., December 2, 2022).
Beginning on January 1, 2023, the maximum amount of PFML benefits increases from $1,084.31 to $1,129.82 per week, and the employer contribution rate decreases from 0.68 percent to 0.63 percent of eligible wages. For employers with fewer than twenty-five covered employees, the contribution rate is 0.318 percent as they are not required to remit the employer portion of the premiums. There are two new rate sheets: one for employers with twenty-five or more employees in Massachusetts, and one for employers with fewer than twenty-five employees.
2023 Workforce Notification Forms
Massachusetts employers are required to provide all employees with a PFML notification form that provides information about employees’ rights, obligations, and eligibility under the PFML law. Employers are required to provide the notification form, in paper or electronically, to new employees within thirty days of hire and provide the new employee with an opportunity to accept or decline receipt. Similar to the rate sheets, there are separate notices for employees with twenty-five or more employees in Massachusetts and for those with fewer than twenty-five employees.
2023 Workplace Poster
The Massachusetts DFML further published an updated 2023 workplace poster that employers in the state are required to display in a location where it can be easily read by all employees. The poster must be displayed in English and any other language that is the primary language of five or more employees, if the translation is available. The DFML has published the poster in more than a dozen languages, including English and Spanish.
Key Takeaways
Massachusetts employers may want to distribute the required updated notices and display the updated poster as soon as possible in preparation for the 2023 PFML changes. The rate change forms were to be distributed by December 2, 2022. Employers may further want to confirm that their payroll systems are prepared to reflect the new contribution rates.
The Boston office of Ogletree Deakins will continue to monitor and report on guidance with respect to Massachusetts PFML and will post updates on the firm’s Employee Benefits and Executive Compensation, Leaves of Absence, and Massachusetts blogs as additional information becomes available. Important information for employers is also available via the firm’s webinar and podcast programs.