How the New Massachusetts Paid Family & Medical Leave Law Affects Startups

September 17, 2019

Earlier this year, the Commonwealth signed into law a statute that provides paid family and medical leave (PFML) benefits to all Massachusetts workers. The tax will be withheld from employee paychecks beginning Oct. 1, 2019. This new law establishes a system for paid family leave of up to 12 weeks to care for a family member and up to 20 weeks for illness for all employees, and it will have a massive impact on startups and contractor-based companies.

Let us preface this by saying that we personally believe this law is, at its core, altruistic and written with employees in mind. However, it will ultimately fall on virtually all Massachusetts employers to ensure they are meeting the law’s requirements, so educating business owners is essential in these weeks leading up to Oct. 1.

Here’s what startups need to know:

MGL c.175M establishes a system for paid family leave of up to 12 weeks to care for a family member and up to 20 weeks for your own illness. This new law applies to all business and employers that employ 1 or more Massachusetts workers, with limited exception.

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