An Act to Make Changes to the Paid Family and Medical Leave
Maine Legislature, Session 132, LD 1333
Committee: Labor
Sponsors: POIRIER, HAGGAN
Amends: 26 MRSA §850-A, 26 MRSA §850-B, 26 MRSA §850-D, 26 MRSA §850-F, 26 MRSA §850-G, 26 MRSA §850-H, 26 MRSA §850-J, 26 MRSA §850-Q, 26 MRSA §850-R

Legislative Document
No. 1333
H.P. 868
House of Representatives, March 27, 2025
An Act to Make Changes to the Paid Family and Medical Leave 
Benefits Program
Reference to the Committee on Labor suggested and ordered printed.
ROBERT B. HUNT
Clerk
Presented by Representative POIRIER of Skowhegan.
Cosponsored by Senator HAGGAN of Penobscot and
Representatives: ARDELL of Monticello, DUCHARME of Madison, FAULKINGHAM of 
Winter Harbor, FOLEY of Wells, FREDETTE of Newport, HAGGAN of Hampden, MORRIS 
of Turner, RUDNICKI of Fairfield.
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  26 MRSA §850-A, sub-§9, ¶A, as enacted by PL 2023, c. 412, Pt. AAA, 
§7, is amended to read:
A.  Earned at least 6 times the state average weekly wage in wages subject to premiums 
under this subchapter during the individual's base period or elects coverage and meets 
the requirements of section 850‑G; and
Sec. 2.  26 MRSA §850-A, sub-§9, ¶B, as enacted by PL 2023, c. 412, Pt. AAA, 
§7, is amended to read:
B.  Meets the administrative requirements outlined in this subchapter and any rules 
adopted pursuant to this subchapter and files an application for family leave benefits 
or medical leave benefits.; and
Sec. 3.  26 MRSA §850-A, sub-§9, ¶C is enacted to read:
C.  Has been employed for at least 120 days by the employer from whom the employee 
is taking leave.
Sec. 4.  26 MRSA §850-A, sub-§27, as enacted by PL 2023, c. 412, Pt. AAA, §7, 
is amended to read:
27.  Self-employed individual.  "Self-employed individual" means an independent 
contractor as described in section 1043, subsection 11, paragraph E, a sole proprietor, or a 
member of a limited liability company or limited liability partnership, if the contractor, 
proprietor, limited liability company or limited liability partnership has fewer than 15 
employees, or an individual whose net profit or loss from a business must be reported to 
the Department of Administrative and Financial Services, Bureau of Revenue Services and 
who resides in the State.
Sec. 5.  26 MRSA §850-B, sub-§5, as amended by PL 2023, c. 643, Pt. ZZZ, §4, is 
further amended to read:
5.  Intermittent leave requirements.  Leave permitted by this section may be taken 
by an employee intermittently in increments equaling not less than one day, or on a reduced 
leave schedule otherwise agreed to by the employee and the employer, except that the 
employee and employer may not agree for leave to be taken in increments of less than one 
hour. The taking of leave intermittently or on a reduced leave schedule pursuant to this 
subsection may not result in a reduction in the total amount of leave to which the covered 
individual is entitled under this subchapter.  The administrator shall review requests by an 
employer to review the intermittent leave schedules used by employees. An employer may 
make no more than 2 requests per year.
Sec. 6.  26 MRSA §850-B, sub-§10, ¶D, as enacted by PL 2023, c. 412, Pt. AAA, 
§7, is amended to read:
D.  Require a public employer, as defined in section 962, subsection 7, or employee of 
a public an employer that is a party to a collective bargaining agreement in existence 
on the effective date of this subchapter October 25, 2023 to apply any of the rights and 
responsibilities under this subchapter until the existing collective bargaining agreement 
expires.
Sec. 7.  26 MRSA §850-B, sub-§11, as enacted by PL 2023, c. 412, Pt. AAA, §7, 
is amended to read:
11.  Concurrent with leave under state and federal law.  Leave taken under this 
subchapter runs concurrently with leave taken under the federal Family and Medical Leave 
Act of 1993, 29 United States Code, Section 2611, et seq., and under subchapter 6‑A. 
Employees may take leave under this subchapter while ineligible for leave under the federal 
Family and Medical Leave Act of 1993 in the same benefit year.  An employee may not 
take leave under this subchapter unless leave available to the employee under the federal 
Family and Medical Leave Act of 1993 is taken concurrently.
Sec. 8.  26 MRSA §850-D, sub-§2, as enacted by PL 2023, c. 412, Pt. AAA, §7, is 
amended to read:
2.  Filing of application.  An individual may file an application for family leave 
benefits or medical leave benefits no more than 60 days before the anticipated start date of 
family leave and medical leave and no more than 90 30 days after the start date of family 
leave and medical leave. The administrator shall waive the 90-day 30-day filing deadline 
for good cause. The administrator shall institute forms and procedures that are not unduly 
burdensome to an individual claiming benefits.
Sec. 9.  26 MRSA §850-D, sub-§3, as enacted by PL 2023, c. 412, Pt. AAA, §7, is 
amended to read:
3.  Notification of employer.  The administrator shall notify the relevant employer 
within 5 business days of a claim being filed pursuant to this subchapter.  The administrator 
shall also notify the relevant employer within 5 business days of a claim being approved.
Sec. 10.  26 MRSA §850-F, sub-§2, as enacted by PL 2023, c. 412, Pt. AAA, §7, 
is amended to read:
2.  Employer to remit employer contribution reports and premiums.  Beginning 
January 1, 2025, for each employee, an employer shall remit employer contribution reports 
and premiums in the form and manner determined by the administrator. Employer 
contribution reports and premiums must be remitted quarterly. The department shall post 
on its publicly accessible website no later than February 1st of each year the dates by which 
contribution reports and premiums must be remitted.
Sec. 11.  26 MRSA §850-F, sub-§5, as enacted by PL 2023, c. 412, Pt. AAA, §7, 
is amended to read:
5.  Employers.  The following provisions govern employers.
A.  An employer with 15 or more employees may deduct up to 50% of the premium 
required for an employee by subsection 3 from that employee's wages and shall remit 
100% of the combined premium contribution required by subsection 3 to the fund.  An 
employer subject to a collective bargaining agreement is not required to bargain the 
decision to deduct up to 50% of the premium required from an employee's wage.
B.  An employer with fewer than 15 employees may deduct up to 50% of the premium 
required for an employee by subsection 3 from that employee's wages and shall remit 
50% of the premium required by subsection 3 to the fund.
An employer that deducts a portion of the premium from employee wages may collect any 
missed or incorrect deductions in any of the succeeding 8 payment periods as long as the 
collection occurs within 3 months of the missed or incorrect deduction. For the purposes 
of determining liability for premiums, an employer with 15 or more employees on the 
employer's established payroll in 52 calendar workweeks in the 12-month period preceding 
September 30th of each year is considered an employer of 15 or more employees for the 
calendar year thereafter. For the purpose of calculating the number of employees, the 
method used defaults to the mechanism established for determining unemployment 
insurance liability as described in chapter 13.
Sec. 12.  26 MRSA §850-F, sub-§9, as enacted by PL 2023, c. 412, Pt. AAA, §7, 
is amended to read:
9.  Failure or refusal to make premium contributions.  An employer that fails or 
refuses to make premium contributions as required in this section must may be assessed 
1.0% of its total annual payroll for each year it so failed to comply in addition to any 
amounts previously owed, or fraction thereof, in addition to the total amount of family 
leave benefits and medical leave benefits paid to covered individuals for whom it failed to 
make premium contributions. The rate of assessment imposed by this subsection must be 
adjusted annually consistent with subsection 3, paragraph B.  The department shall exercise 
discretion to waive, in whole or in part, the amount of any such payments if the recovery 
would be against equity and good conscience.
Sec. 13.  26 MRSA §850-G, sub-§1, as enacted by PL 2023, c. 412, Pt. AAA, §7, 
is amended to read:
1.  Self-employed individual.  A self-employed individual, including an independent 
contractor, sole proprietor or partner, may elect coverage under this subchapter for an initial 
period of not less than 3 years. The self-employed individual shall file a notice of election 
in writing with the commissioner, as required by the department. The election becomes 
effective on the date of filing the notice. As a condition of election, the self-employed 
individual must agree to supply any information concerning wages that the department 
considers necessary.  Notwithstanding section 850-F, subsection 4, a self-employed 
individual electing coverage for the first time must pay 1/4 of one year's worth of premiums 
as a condition of enrollment.
Sec. 14.  26 MRSA §850-H, sub-§7, as enacted by PL 2023, c. 412, Pt. AAA, §7, 
is amended to read:
7.  Cost of administration.  The department shall annually determine the total amount 
expended by the department for costs arising out of the administration of private plans. An 
employer offering a private plan pursuant to this section shall reimburse the department for 
the costs arising out of the private plan in the amount, form and manner determined by the 
department by rule. The department may recover reasonable expenses incurred by the 
department for the oversight of private plans by assessing a renewal fee on each employer 
offering a private plan. The renewal fee may not exceed $250 for an employer with fewer 
than 50 employees and $500 for an employer with 50 or more employees. The department 
shall transfer payments received pursuant to this subsection to the fund.  The department 
shall report to the authority annually the amount of money collected pursuant to this 
subsection in the preceding year.
Sec. 15.  26 MRSA §850-H, sub-§9 is enacted to read:
9.  Department to post documents required from employers.  The department shall 
post on its publicly accessible website the appropriate tax forms, based on guidance from 
the United States Internal Revenue Service and the Department of Administrative and 
Financial Services, Maine Revenue Services, that employers with approved private plans 
must provide to employees taking leave.
Sec. 16.  26 MRSA §850-J, sub-§1, as enacted by PL 2023, c. 412, Pt. AAA, §7, 
is amended to read:
1.  Restoration to position upon return to work.  Except for an employee who has 
not been employed for at least 120 days, an An employee who exercises the right to family 
leave or medical leave under this subchapter is entitled, upon return from that leave, to be 
restored by the employer to the position held by the employee when the leave commenced 
or to be restored to an equivalent position with equivalent employment benefits, pay and 
other terms and conditions of employment.  This subsection does not apply to an employee 
who is absent from work for more than 5 days without providing notice to the employer.
Sec. 17.  26 MRSA §850-Q, as enacted by PL 2023, c. 412, Pt. AAA, §7, is amended 
to read:
§850-Q.  Rulemaking
The department shall adopt rules as necessary to implement this subchapter. Initial 
rules necessary for implementation of this subchapter must be adopted by the department 
by January 1, 2025. Rules adopted pursuant to this subchapter are routine technical major 
substantive rules as defined in Title 5, chapter 375, subchapter 2‑A.
Sec. 18.  26 MRSA §850-R, as enacted by PL 2023, c. 412, Pt. AAA, §7, is repealed 
and the following enacted in its place:
§850-R.  Effect of existing employer benefits for family and medical leave
This subchapter may not be construed to prohibit:
1. Receipt of benefits pursuant to agreement or policy.  An employee entitled to 
receive benefits for family leave or medical leave under a collective bargaining agreement 
or employer policy from also receiving benefits under this subchapter as long as the 
employee is otherwise eligible for benefits under this subchapter; or
2. Reduction of benefits to not exceed weekly wage.   An employer under a collective 
bargaining agreement from reducing total benefits, including benefits under this 
subchapter, so that benefits do not exceed 100% of the employee's average weekly wage.
SUMMARY
This bill makes the following changes to the paid family and medical leave benefits 
program.
1. It requires an employee to be employed with an employer for 120 days before being 
eligible to take leave.
2. It clarifies that the definition of "self-employed individual" applies only to employers 
with less than 15 employees.
3. It allows employers to have intermittent leave schedules reviewed by the program 
administrator.
4. It applies the same delay of implementation to private employers with collective 
bargaining agreements as currently applies to public employers.
5. It prohibits the taking of paid leave unless the employee simultaneously takes any 
available unpaid leave.
6. It reduces the retroactive application deadline from 90 days to 30 days.
7. It requires the paid family and medical leave benefits program administrator to give 
employers 5 days' notice of leave being approved for an employee.
8. It requires the Department of Labor to post on its publicly accessible website no later 
than February 1st of each year the dates by which contribution reports and premiums must 
be remitted.
9. It relieves employers with collective bargaining agreements of the obligation to 
bargain over the employee's share of the premium.
10. It allows employers to correct mistakes in the employee share of taxes for up to 3 
months.
11. It establishes a 52-week formula for calculating the 15-employee threshold.
12. It changes the applications of penalties against employers from mandatory to 
discretionary.
13. It requires self-employed individuals who elect coverage to pay 1/4 of a year's 
worth of premiums upon first applying for coverage.
14. It places limits on the fees charged for private plan substitutions.
15. It requires the Department of Labor to post on its publicly accessible website the 
appropriate tax forms, based on guidance from the United States Internal Revenue Service 
and the Department of Administrative and Financial Services, Maine Revenue Services, 
that employers with approved private plans must provide to employees taking leave.
16. It clarifies that the provision that provides that an employee who takes leave is 
entitled to be restored to the employee's former position does not apply to an employee who 
is taking retroactive paid leave and who did not notify the employer for more than 5 days 
of the employee's absence.
17. It changes rules from routine technical to major substantive.
18. It clarifies that at no time may an employee receive benefits of over 100% of the 
employee's wages.
19. It establishes that employee count is determined using an existing method to 
calculate unemployment insurance liability.