Maryland Department of Labor Proposes Extending Implementation Timeline for Family and Medical Leave Insurance Following Federal Actions Impacting Workers, Employers

BALTIMORE, MD (February 14, 2025) - The Maryland Department of Labor (MD Labor) proposes delaying implementation of the forthcoming Family and Medical Leave Insurance (FAMLI) program in order to provide employers and workers additional time before launch. Under the new recommended plan, payroll deductions would begin January 1, 2027 and benefits would become available on January 1, 2028.

Recent sweeping, unprecedented changes at the federal level have given rise to a high degree of instability and uncertainty for Maryland employers and workers. Hundreds of thousands of Marylanders are employed in civilian positions with the federal government and are facing threats of severe workforce reductions. Additionally, in 2023, approximately 225,000 jobs in Maryland were directly supported by federal contract dollars. These jobs, and others in the private sector, are also directly impacted by federal actions, from tariffs to funding freezes.

“State agencies like MD Labor are laser-focused on supporting Marylanders as we all respond in real-time to the cascading impacts of federal decisions,” said Maryland Department of Labor Secretary Portia Wu. “This focus includes our efforts to provide critical support for employees of federal agencies, organizations that rely on federal funding, and impacted employers and employees in the private sector.”

The Moore-Miller Administration is committed to building a strong paid family and medical leave program that is good for Maryland's economy, supports workers, and keeps our state competitive. MD Labor will continue to diligently make progress by building a digital platform that prioritizes accessibility, efficiency, and accuracy; establishing healthy, secure, and strong financial systems; and increasing awareness among employers and workers across the state.

MD Labor is working closely with legislative leadership to extend the implementation dates. When benefits become available, FAMLI will ensure Maryland workers will be paid when they need time to care for a family member or address their own serious health condition. The law guarantees workers time away from work, job protection, and the ability to earn up to $1,000 a week for up to 12 weeks.

For more information about FAMLI, visit paidleave.maryland.gov.

The Maryland Department of Labor strives to create an equitable and inclusive Maryland where all residents have the opportunities and resources to attain financial stability, reach their career potential, and contribute to their communities; where businesses have access to capital and the skilled workforce they need to succeed; where workplaces are safe and well-regulated; and where the economy is resilient and growing. For updates and information, follow Labor on LinkedIn, Instagram, Twitter, Facebook, and visit our website.

MEDIA CONTACT:
Dinah Winnick