Whether a parent needs to care for a newborn, assist an elderly relative, or recover from an injury, there may be times when a worker needs extra time off. We all provide care and receive care from others as part of our daily lives. Policies like paid family leave allow people to give and receive this support without worrying about a significant loss of income.
Our post-pandemic landscape has put an added spotlight on paid family leave as well. With only 1 in 4 employees being able to access this benefit through their employer, workers are looking for better options. More states are starting to shift their policies, but many employers are concerned about the potential impact on employee morale, productivity, and profitability.
Regardless, offering time for employees to care for themselves and their family members is an excellent way to attract talent. What’s the consensus? Here’s where things currently stand in the world of paid family leave.
How Are Companies Currently Navigating Paid Family Leave?
Only 11 states (plus the District of Columbia) currently offer paid family leave programs. In fact, the U.S. is the only developed country that has no nationwide standard of paid family or medical leave. Businesses are also hesitant to offer workers more time off. However, companies that have implemented paid family leave have seen positive results. According to a survey of over 200 employers in California, using the state’s leave program has had “no noticeable effect” or a “positive effect” on productivity, profitability turnover, and morale.
Giving employees time off to handle a serious medical condition is also associated with improved health outcomes, including a lower risk of mortality. Giving employees access to benefits like paid family leave allows them to be healthier and happier at work. Over time, we expect more businesses to come to the conclusion that paid family leave is a major asset. Policies such as these will only become more important in the future as the workforce continues to change.
Best Practices for Paid Family Leave
There are three main practices that employers should follow regarding paid family leave. These include:
- How can employees earn paid family leave? Do they have to be employed with your organization for a certain amount of time first? What can be paid leave be used for? Get specific and be sure your workers fully understand the policy.
- Can employees roll their paid family leave over into the following year? Employers need to have a firm decision in mind and act in accordance with state and local laws.
- Do state laws require you to offer specific types of leave? If so, compliance should be your #1 priority. However, going above and beyond will make your business more attractive to prospective employees.
The “Benefits” of Offering Great Benefits
By offering paid family leave, businesses reap the rewards of an engaged workforce, low turnover rates, and increased interest from job seekers. Employees will need to care for their families and for themselves while they work at your organization. When you offer paid family leave, you also show your employees that you value them as individuals and care about their well-being. Therefore, there are truly no limits to the “benefits” of providing great benefits.
Collaborate with TriBridge Partners for Your Health Plan
Searching for healthcare coverage for your team that includes paid family leave? TriBridge Partners is ready to help! To discover how our experts can assist your organization or business, please call our office today at 240-422-8799, email Jessica Storck at Jessica.storck@tribridgepartners.com, or find us on LinkedIn.
