Beginning on January 1, 2025, employers in four states will be required to implement their state’s new Paid Leave programs. This represents a fundamental shift in employee leave considerations for the future. We will look into each paid leave program in turn. This week, we will focus on Maine’s Paid Family and Medical Leave Program.

 

What is the New Maine Paid Leave Program?

This is a program that offers Paid Leave to certain employees working in the state of Maine. Employees will be eligible for up to 12 weeks of job-protected family and/or medical leave for the following purposes:

 

- To bond with the covered individual’s child during the first 12 months after the child’s birth or the first 12 months after the placement of the child for adoption or foster care with the covered individual;

 

- To care for a family member with a serious health condition;

 

- To attend to a qualifying exigency;

 

- To care for a family member of the covered individual who is a covered service member;

 

- To take safe leave;

 

- Any other reason articulated by the Maine state legislature (exact language can be found HERE);

 

- To deal with a serious health condition that makes the covered individual unable to work.

 

 

Who is Eligible for Leave Under the Maine Program?

Employees who earn six times the state average weekly wage subject to payroll deduction in the prior year will be eligible for Paid Leave under the Maine program (this means being paid the average weekly wage at least six times in a year rather than making at least six times average in the state annually).

 

All employers must provide leave under the Maine program to eligible employees.

 

Several Important Dates to Remember:

 

Payroll Deductions to Begin 1/1/2025- Employers must deduct 50% of the premium from the employee’s wages (up to 1.0% of employee wages). However, employers with 15+ employees must remit 100% of the premium amount (employee plus employer contribution) while employers with less than 15 employees need only remit the 50% of the premium from the employee.

 

Contributions by employers (where applicable) will begin 4/30/2025.

 

Benefits Begin 5/1/2026.

 

Private Program Option

Maine allows employers to create and use their own paid leave program in lieu of the state’s program. However, any private program must be “substantially equivalent” to the state program. This includes:

 

- Allowing the private program to be used for the same purposes as the state program;

 

- Allowing the private program to be used for the same length as the state program;

 

- Providing the same amount of wage reimbursement through the private plan as they would receive through the state program;

 

- Allowing intermittent leave under the private program equivalent to what the employee would receive under the state program;

 

- Preventing the private plan from charging more to employees than the state program.

 

Employers in Maine should begin preparing their payroll department to deduct premiums from employee salaries in accordance with the state law. You can read the entire leave law HERE.