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 Maryland’s Paid Family and Medical Leave Insurance.

 

What is Maryland Paid Family and Medical Leave Insurance?

 

This program offers Paid Leave to certain employees who work in the state of Maryland. Employees will be eligible for up to 12 weeks of family and/or medical leave annually leave for the following purposes:

 

- Care for an employee’s own personal health condition;

 

- Care for a family member with a serious health condition;

 

- To care for a newborn child or a child that has just been placed in adoption/foster care;

 

- Prepare for a family member’s military deployment.

 

Who is Eligible for Leave Under the Maryland law?

 

Any individual who works at least 680 hours in the previous calendar quarter is eligible for Paid Family and Medical Leave.

 

All employers are required to provide Paid Family and Medical Leave to their employees.

 

Important Dates

 

Payroll Deductions Begin 7/1/2025

 

Contributions Due 10/31/2025. The contributions will be placed into a trust fund created and administered by the state of Maryland.

 

Benefits Begin 7/1/2026

 

Maryland has set strict requirements on when employees must be notified of their rights under the Maryland FAMLI law. The most important times are:

 

- At least 6 months before benefits begin (ex. 2/1/2026 for current employees for 7/1/2026 benefit initiation);

 

- When an employee is hired (e.g. to all employees from on or after 2/2/2026 at the time of hire);

 

- Annually to all employees;

 

- At the time of an employee request for FAMLI leave; or

 

- When an employee requests leave and the employers realizes that the leave may qualify for FAMLI (even if the employee does not specifically request FAMLI leave).

 

Conclusion

 

Although paid leave under Maryland Law is further off than some of the other new Paid Leave laws being implemented in 2025, employers should still prepare to take payroll deductions for Paid Family and Medical Leave as soon as possible. FNA Insurance Services, Inc. will continue to update this article as more information is released.