How Biden’s Proposed Paid Leave Works

If Congress approves the plan proposed by President Biden, more Americans will take more than three months of paid leave from work during a pandemic, due to illness, or to care for children and family. You may be able to take.

Last spring, the first coronavirus relief package included paid leave. However, a limited group of workers was eligible and expired in December. Currently, as part of a broader plan to respond to the pandemic, the next administration is proposing to revive and significantly expand the pandemic.

Mr. Biden proposed to provide paid vacation to the following people:

  • Illness with symptoms of Covid-19

  • Quarantine due to Covid-19 exposure

  • Need vacation to get vaccinated

  • Caring for a family suffering from Covid-19 symptoms

  • Caring for children whose schools and day care centers are closed due to a pandemic

  • Caring for older relatives and adult dependents whose long-term care facilities are closed due to a pandemic

Almost all American workers, both part-time and full-time. Analysts said the plan would cover 106 million more workers than last year’s paid leave plan, excluding workers in companies with more than 500 employees. Many companies have less than 50 employees. And some health care and civil servants. These groups are covered. So will self-employed and gig economy workers — they will probably get a tax credit based on their typical wages.

Paid leave has expired, just as the pandemic of American workers has become more severe. A record number of people are becoming infected with Covid-19, and many schools and day care centers remain closed.

If the Biden plan is passed, it will replace the wages of workers up to $ 1,400 a week, or $ 280 per day. This means that people who earn up to $ 73,000 a year (three-quarters of American workers) will get a full refund during their vacation. (Last year’s relief package paid an additional charge of up to $ 511 per day for sick leave, but was limited to two weeks. We paid $ 200 per day for family care leave. T.)

Biden suggested giving people more than 14 weeks of paid leave, depending on the situation.

Employers with less than 500 workers will be reimbursed for the full vacation in the form of a salary tax credit. It will be refunded as last year. That is, if the employer pays more than the tax paid, the government will send a check for the difference. It works the same for self-employed people.

Large companies that didn’t have to give paid leave last year will have to do so and pay for it themselves. According to the Bureau of Labor Statistics, currently only a quarter of companies with more than 500 employees offer some kind of family leave, which does not necessarily apply to the current situation where schools and nursing homes are closed. Not limited. Nine out of ten offer paid sick leave, but rarely for a few weeks.

Google, for example, is one of the rare companies that already offers the type of vacation that Biden proposes. Prior to the pandemic, it provided 6 weeks of paid leave for long-term care reasons that occurred. This is a rare benefit for American companies and has been extended to 14 weeks during the pandemic.

Mr Biden’s plan presented Thursday was part of an extensive $ 1.9 trillion bailout package that Congress needed to approve. Paid leave may be supported. Democrats ruled parliament, and they largely supported a broader paid vacation plan than originally passed, but lawmakers will need to agree on the details.

Since the expiration of paid leave last year, it now relies on what the worker’s employer or state offers. Residents of 15 states and 8 out of 10 employees pay sick leave. However, vacations often last for days instead of weeks, and low-income black and Latin workers are less likely to have one.

Also, under the 1993 law, workers are eligible for 12 weeks. unpaid There are family and medical leave, but about half of the workers are not eligible (for example, if they have worked for less than a year as an employer, or if the company has less than 50 employees).

Under the Biden plan, the new paid leave will expire at the end of September. However, policy advocates say the pandemic has shown the need for paid vacation even in peacetime. The more workers get used to it and the more companies think it’s feasible, the more likely they are to have widespread support for perpetuating it, they say. The Democratic Party has already introduced legislation to do so, and Mr Biden said he supported the idea.

Washington Democratic Senator Patty Murray said Thursday: “This policy is a large part of what workers need in these tough months and serves as a strong foundation for ultimately establishing a permanent policy on paid sick leave and paid family and medical leave. To do. .”

How Biden’s Proposed Paid Leave Works

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