Molly Weston Williamson, a senior fellow with the Center for American Progress, said the "Family and Medical Insurance Leave (FAMILY) Act" is designed to provide paid leave for all American workers, protect employment rights, extend coverage and set up a payroll tax-funded mechanism.
A Center for American Progress report titled “Getting To Know the New FAMILY Act" examined the proposal that reviews the lack of paid leave for U.S. workers against other nations. The act, proposed by Sen. Kirsten Gillibrand, D-N.Y., and U.S. Rep. Rosa DeLauro, D-Conn., and introduced in each Congress since 2013, would set up family and medical leave compensation for all American workers.
"The FAMILY Act would finally guarantee all American workers the paid leave they need, propelling this country toward a more just economy and workers toward a more secure future,” Williamson wrote in a July 12 news release introducing the report.
Just 43% of the private sector workforce nationwide has access to short-term disability coverage, which leaves low-income workers in a precarious situation, according to the report, and just 24% of private sector workers have access to paid leave to take care of a seriously ill family member or to take leave after the birth or adoption of a child.
Moreover, the FAMILY Act would broaden the terminology for covered family members to increase diversity and inclusivity and offer opportunities for caregiver leave, safe leave for victims of domestic violence of sexual abuse and deployment-related leave for military personnel, the report said. The act include all workers, public and private sector, would not be limited by the size of an employer and has provisions for self-employed workers, freelancers, gig workers and independent contractors.
The act would provide workers with up to 12 weeks of paid leave during a benefit year, calculated using a sliding scale linked to their average monthly earnings, with a cap at $4,000 monthly and a minimum benefit of $580, according to the report .It also features employment safeguards and allows workers to return to work after a leave and maintain health insurance coverage. It would also protect workers from retaliation from employers for taking leave.
If passed, the Social Security Administration would oversee the FAMILY Act, with workers going through the agency for benefits, the report said. It would be funded by a payroll tax with equal contributions from workers and their employers and self-employed individuals would also contribute.
The act would not replace any existing state or local leave laws, ensuring control remains with local entities, and states that currently have paid leave laws can seek legacy status to administer their programs and the federal program concurrently, according to the report.
“It is time to make this transformative bill into law and ensure that all of everyone — not merely a fortunate few — can get and give the care they deserve," Williamson said in the release.