Employees can also substitute accrued paid leave for unpaid FMLA leave.
Despite this, proponents have repeatedly lobbied for legislation to convert FMLA leave from unpaid to paid leave. They argue that leave is underused because new parents cannot afford the loss of wages. The President's proposal represents a step in this direction. Individual states can determine some program elements such as tax structure and benefit levels, but state laws must conform to broad federal requirements. Employers in states meeting federal guidelines are eligible for a credit against their federal tax obligations.