An Act To Establish the Maine Paid Family Leave Insurance Program
Maine Legislature, Session 127, LD 0717
Committee: Labor, Commerce, Research and Economic Development
Sponsors: DAUGHTRY

Legislative Document 
No. 717 
H.P. 493 
House of Representatives, March 5, 2015 
An Act To Establish the Maine Paid Family Leave Insurance 
Program 
Reference to the Committee on Labor, Commerce, Research and Economic Development 
suggested and ordered printed. 
ROBERT B. HUNT 
Clerk 
Presented by Representative DAUGHTRY of Brunswick. 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1.  26 MRSA c. 7, sub-c. 6-C is enacted to read: 
SUBCHAPTER 6-C 
MAINE PAID FAMILY LEAVE INSURANCE PROGRAM 
§850-A.  Maine Paid Family Leave Insurance Program 
1.  Definitions.  As used in this section, unless the context otherwise indicates, the 
following terms have the following meanings. 
A.  "Employer" has the same meaning as in section 843, subsection 3. 
B.  "Family medical leave" has the same meaning as in section 843, subsection 4. 
C.  "Program" means the Maine Paid Family Leave Insurance Program created in this 
subchapter. 
D.  "Serious health condition" has the same meaning as in section 843, subsection 6. 
2.  Program created.  The Maine Paid Family Leave Insurance Program is created 
within the Department of Labor.  The program provides wage-replacement benefits to 
eligible persons who are on family medical leave from employment. 
3.  Eligibility.  To be eligible for benefits, a person must be employed and must have 
had earnings from employment and made contributions to the program in at least 12 of 
the prior 52 weeks.  An employee shall file a written notice with the employee's employer 
at least 30 days prior to commencement of the family medical leave.  Failure by the 
employee to provide the written notice may result in delay or reduction in the benefits, 
except in the event the time of the leave is unforeseeable or the time of the leave changes 
due to unforeseeable circumstances. 
4.  Benefits provided.  An eligible employee under this subchapter receives a weekly 
benefit of 2/3 of that person's average weekly wage in the 2 quarters in the preceding 52 
weeks in which the person's wage was highest.  The maximum amount of the weekly 
benefit is 100% of the state average weekly wage.  Benefits are provided for up to 6 
weeks in any 12-month period.  Benefits must be reduced by workers' compensation and 
sick pay. Benefits may not be reduced by other disability benefits, pension payments or 
other earnings.  The waiting period before benefits begin is 7 days, except that a benefit 
payment for the first 7 days must be made retroactively if the family medical leave lasts 3 
weeks or more. 
5.  Fund created.  The Paid Family Leave Insurance Fund is created to collect 
contributions and fund benefits under this section.  The fund may be used to pay 
administrative costs of the program and to pay benefits.  The fund does not lapse but must 
be carried forward to implement this subchapter. 
6.  Contributions.  The department shall determine the actuarially appropriate total 
contribution needed each year to fund benefits under this section.  The department shall 
collect the entire required amount from employees.  The aggregate employee contribution 
must be collected from individual employees on a sliding scale based on wages, as 
determined by the department. 
7.  Restoration of employment.  An employee who exercises that employee's right 
to benefits under this subchapter is, upon the expiration of those benefits, entitled to be 
restored by the employer to the position held by the employee when the family medical 
leave commenced, or to a position with equivalent seniority, status, employment benefits, 
pay and other terms and conditions of employment including fringe benefits and service 
credits that the employee had been entitled to at the commencement of leave. 
8.  Maintenance of employee benefits.  During a family medical leave taken 
pursuant to this subchapter, the employer shall maintain any existing health benefits of 
the employee in effect for the duration of the leave as if the employee had continued 
employment from the date the employee commenced the leave until the date the leave 
terminates as long as the employee continues to pay any employee shares of the costs of 
health benefits as required prior to the commencement of the leave. 
9.  Concurrent leave.  Benefits provided under this subchapter must be provided in 
accordance with the federal Family and Medical Leave Act of 1993 and the requirements 
for family medical leave under state law in subchapter 6-A.  An employer may require an 
employee who is entitled to leave under federal or state law who takes family medical 
leave pursuant to this subchapter to take that leave concurrently with any leave taken 
pursuant to the federal Family and Medical Leave Act of 1993 or to subchapter 6-A. 
10.  Rules.  The department shall adopt rules necessary to administer the program 
and determine the method of collecting and depositing contributions in the fund created 
in subsection 5.  Rules adopted under this subsection are routine technical rules as 
defined in Title 5, chapter 375, subchapter 2-A. 
SUMMARY 
This bill creates the Maine Paid Family Leave Insurance Program to provide wage-
replacement benefits to persons who qualify for family medical leave.  The program is 
funded by employee contributions and provides 2/3 of the employee's average weekly 
wage for up to 6 weeks.  Employee contributions are collected on a sliding scale based on 
wages.