In 2022, the Maryland Family and Medical Leave Insurance (FAMLI) program was enacted, which will eventually provide most Maryland employees with up to twelve weeks of paid family and medical leave, and a possible additional twelve weeks of paid parental leave. The program was originally supposed to go into effect in 2025 for contributions and 2026 for benefits, but the Maryland Department of Labor (Maryland DOL) is proposing a delay until 2027 for deductions and 2028 for benefits due to several employment-related executive orders from President Donald Trump. To implement the FAMLI program, the FAMLI Division within Maryland DOL was instructed to formulate regulations, which have gone through an extensive rulemaking process.

Concerns have been raised about the readiness and the cost of implementing the Maryland DOL’s FAMLI program, currently estimated at around $1.6 billion. As a consequence, Maryland state Senator Stephen Hershey has proposed Senate Bill (SB) 355 that aims to postpone the commencement date by two years. Due to the lack of established rules concerning the formation of self-insured plans and commercial plans, employers and insurance companies are in a state of uncertainty.

The Maryland DOL recognizes the need for legislative action to sanction the delay and states in a press release it’s closely working with the General Assembly to extend the implementation dates. Despite the uncertainty surrounding the specific means by which the delays will be enforced, the Maryland DOL’s announcement nearly assures their occurrence. This development carries considerable implications for employers with Maryland-based employees who are worried about the program’s cost and impact.

For employers in Maryland needing to navigate FAMLI regulations and timelines, understanding how to get a hold of Paid Family Leave resources can be crucial. Informational websites such as eddcaller.com provide valuable information on how to contact representatives for Paid Family Leave programs, ensuring employers have the resources they need to fulfill their responsibilities and support their employees during these uncertain times.