By PAULA TRACY, InDepthNH.org
CONCORD – Gov. Chris Sununu and a representative of MetLife provided an update on New Hampshire’s Paid Family Medical Leave Plan Wednesday at a news conference, including upcoming enrollment information.
The plan will allow 60 percent coverage of wages for up to six weeks a year for participating employers for reasons ranging from care for a newborn or an elderly parent or medical issue for the worker or family member, among other benefits, and is seen by the governor as a way to attract more workers to the state without an income tax.
It follows HB2 legislation passed in 2022 to create such a program.
Requests for proposals went out in March and MetLife was chosen as the private insurance carrier.
Speaking at the state office of Business and Economic Affairs, Daniel Iskra, VPA of MetLife group disability and absence prevention development, said “this innovative program offers affordable, voluntary paid leave coverage that is available to all New Hampshire-based employees.”
The state’s more than 10,000 employees will be enrolled as part of their benefits package, Sununu said, and there will be an opportunity to learn about the open enrollment period at a series of educational webinars and through questions being answered on the phone at 1-866-595-PFNL and online at https://www.paidfamilymedicalleave.nh.gov/
The leave can be used for health issues unrelated to a work accident – which is covered under Workers Comp – caregiver leave for children and family, military service, and care related to military service.
Sununu said the program can be used by employers to attract new workers to the state and give them another tool to compete with other states.
“This does not rely on an income tax,” Sununu stressed, “it is a completely voluntary program” and is the first of its kind that employers and employees can opt into.
“We are doing that public-private partnership to both get the best costs, the most competition,” Sununu said.
Enrollment will begin Dec. 1 and start Jan. 1, 2023, and will be customized with MetLife providing details on premiums and rates as part of the application process.
As an incentive, Sununu said businesses that choose to participate will be provided a business enterprise tax credit of up to 50 percent of the premium they pay for the program.
“We want that participation rate to be high, as high as it possibly can,” Sununu said, but he gave no specific goal or target other than to say he hoped it would be very popular.
For those whose businesses do not offer this or an equivalent paid leave plan, workers will be able to purchase the product themselves starting on Jan. 1.
There will be an open enrollment period through March 2, 2023.
“We really brought businesses in…because they had such a say in how this would be rolled out,” Sununu said.
“In doing so, we really designed a model for 49 other states,” Sununu said noting he has been asked about it by other governors.
Michael Skelton, president, and chief executive officer for the state’s Business and Industry Association, said attracting workers is the number one issue for its member businesses.
“So having a tool like this that provides a benefit that they previously may not have been able to offer is really vital,” Skelton said, particularly middle-size to small employers.
Many larger employers may have a program of some type but for others, “this is a great way to add benefit” and is a “turnkey solution.”
The BIA, which Skelton called the “state’s chamber of commerce” will be working to get the word out to its members, and said local and regional chambers are eager to work with this.
The legislation provides that the chosen carrier provide coverage to three participant groups: the state as an employer, private and other public employers of any size, and the individual group.
The contract term will extend through December 31, 2027, a period of approximately five years, and may be extended for up to two additional years