Maryland has joined 10 other states and the District of Columbia in passing a paid family leave law. Under the new Time to Care Act of 2022 (TCA), eligible employees may apply to a state-administered fund that will be used to provide up to 12 weeks of paid family and medical leave, with the possibility of another 12 weeks for parental leave. The benefits will be funded by employee and employer contributions at a rate to be set by Maryland’s Department of Labor.
Effective October 1, 2023, employers with 15 or more employees must participate in the program, which is funded by contributions to be paid by employers and employees up to the Social Security wage base. On June 1, 2023, the Maryland Department of Labor will determined, through studies, the proportion of tax to be paid by employers and employees ranging from 25% to 75% of the tax for either party.
Alternatively, employers can provide paid family and medical leave benefits equal to or greater than the state fund to employees through a private employer plan consisting of employer-provided benefits, insurance, or combination of both.
Effective January 1, 2025, covered employees can receive up to 24 weeks if medical leave is needed for pregnancy and prenatal leave after childbirth or 12 weeks per year for the following:
To care for a child following his/her birth or adoption
To care for a family member with a serious health condition
To recover from the employee's own serious health condition
To care for a service member who is the covered individual's next of kin
To address the deployment of a service member who is a family member of the employee