Massachusetts 2023-2024 Regular Session

Massachusetts Senate Bill S2605 Compare Versions

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11 SENATE . . . . . . . . . . . . . . No. 2605
22 The Commonwealth of Massachusetts
33 _______________
44 In the One Hundred and Ninety-Third General Court
55 (2023-2024)
66 _______________
77 SENATE, March 4, 2024.
88 The committee on Labor and Workforce Development, to whom was referred the
99 petitions (accompanied by bill, Senate, No. 1197) of Jason M. Lewis, Rebecca L. Rausch, Jack
1010 Patrick Lewis, Michael D. Brady and other members of the General Court for legislation to
1111 improve the Massachusetts paid family medical leave law; (accompanied by bill, Senate, No.
1212 1198) of Jason M. Lewis, Lydia Edwards, James B. Eldridge and Paul R. Feeney for legislation
1313 to amend the Massachusetts Paid Family Medical Leave law definitions of a covered business
1414 entity and a covered contract worker; (accompanied by bill, House, No. 1858) of Josh S. Cutler
1515 and others relative to the publication of hearing decisions by the Department of Family and
1616 Medical Leave; (accompanied by bill, House, No. 1859) of Josh S. Cutler and others relative to
1717 data reporting by the Department of Family and Medical Leave; (accompanied by bill, House,
1818 No. 1860) of Josh S. Cutler and others for legislation to include bone marrow and organ donation
1919 in the paid family and medical leave program; (accompanied by bill, House, No. 1888) of
2020 Kenneth I. Gordon and others relative to the Massachusetts Paid Family Medical Leave Law;
2121 (accompanied by bill, House, No. 1889) of Kenneth I. Gordon and others relative to the
2222 definitions of covered business entity and covered contract worker under the Massachusetts Paid
2323 Family Medical Leave Law; and (accompanied by bill, House, No. 1942) of Jeffrey N. Roy
2424 relative to unemployment benefits for replacement workers, report the accompanying bill
2525 (Senate, No. 2605).
2626 For the committee,
2727 Patricia D. Jehlen 1 of 11
2828 FILED ON: 2/6/2024
2929 SENATE . . . . . . . . . . . . . . No. 2605
3030 The Commonwealth of Massachusetts
3131 _______________
3232 In the One Hundred and Ninety-Third General Court
3333 (2023-2024)
3434 _______________
3535 An Act improving the Massachusetts paid family medical leave law.
3636 Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
3737 of the same, as follows:
3838 1 SECTION 1. The General Laws, as appearing in the 2022 edition are hereby amended by
3939 2adding, after Chapter 23M, the following new section:
4040 3 Chapter 23N.
4141 4 Section 1. (a) There is hereby established an advisory council on paid family and medical
4242 5leave in this chapter and in chapter one hundred and seventy-five M, called the advisory council,
4343 6with members to be appointed by the Governor. The voting membership of said council shall be
4444 7composed of nine members in total with four members representing employers and providers of
4545 8paid family and medical leave in the commonwealth, at least one of whom shall represent
4646 9manufacturing classifications, at least one of whom shall represent the retail industry, at least one
4747 10of whom shall represent contracting classifications, and one of whom shall represent the staffing
4848 11industry and four members representing employees, at least one of whom shall represent a
4949 12private sector union, one of whom shall represent a public sector union, one of whom shall
5050 13represent a community based organization, and one of whom shall have knowledge and 2 of 11
5151 14experience with the temporary disability insurance system”. The Governor shall also appoint one
5252 15member representing the public provided the public member has appropriate knowledge and
5353 16familiarity with paid family and medical leave law and practices in the workplace.
5454 17 The Governor shall also appoint one member representing the temporary disability
5555 18insurance industry, 2 attorneys specializing in employment and/or labor law, with one having a
5656 19practice representing employees and one having a practice representing employers, and one
5757 20member who is self-employed, none of whom shall be voting members.
5858 21 The secretary of labor and workforce development and the secretary of housing and
5959 22economic development shall be ex officio, nonvoting members. Any person appointed to fill a
6060 23vacancy occurring prior to the expiration of the term of his predecessor shall be appointed for the
6161 24unexpired portion of such term.
6262 25 (b) In appointing initial members to the Advisory Council, the Governor shall appoint
6363 26one employer and one employee member for a period of two years, one from each group for a
6464 27period of three years, one from each group for a period of four years and one for each group for a
6565 28period of five years. The two public members shall be appointed for a period of three years.
6666 29After the initial appointment, each appointee shall be eligible to be reappointed for one term of
6767 30five years. Members shall be eligible for no more than an initial appointment and one
6868 31reappointment. In appointing council members, the Governor must seek to appoint members
6969 32reflecting the widest representational diversity possible consistent with the demographics of the
7070 33commonwealth.
7171 34 Seven members shall constitute a quorum for purposes of holding a meeting and voting.
7272 35No formal action or position shall be taken by the council without the affirmative vote of at least 3 of 11
7373 36seven members. All members of the advisory council shall serve without compensation and at
7474 37the pleasure of the Governor. The advisory council shall meet no less than quarterly during each
7575 38calendar year.
7676 39 Meetings of the advisory council shall be called by the chair or upon written petition by a
7777 40majority of voting members. Such meetings shall be subject to section 11A1/2 of chapter 30A.
7878 41The secretary of labor and workforce development or designee, the chair of the commonwealth
7979 42employment relations board, and the director of the department shall serve as ex-officio non-
8080 43voting members of the advisory council.
8181 44 Extraordinary meetings of said advisory council may also be called by the chairman and
8282 45vice chairman, jointly or upon petition by a majority of voting members. Such meetings shall be
8383 46subject to the provisions of section 11 1/2 of chapter 30A. Said advisory council shall take no
8484 47action pursuant to its authority under this chapter or said chapter one hundred and seventy-five
8585 48unless a quorum of its voting members is present.
8686 49 Meetings may be held more frequently at the joint request of the chair and vice chair of
8787 50the council, provided they give all members at least 30 days notice of any extraordinary meeting
8888 51and its purpose or of their intention to regularly hold meetings more frequently.
8989 52 (c) The governor shall, from time to time, designate one of the council members as chair
9090 53of the advisory council. The chair shall serve for no more than 2 years, and the position shall
9191 54rotate among employee, employer, and public members. No member of the advisory council
9292 55shall be subject to chapter 31. Such appointees shall not succeed themselves as chairman or vice-
9393 56chairman. 4 of 11
9494 57 Members shall receive their traveling and other necessary expenses incurred in the
9595 58performance of their duties.
9696 59 Section 2. The advisory council shall appoint such personnel as are reasonable and
9797 60necessary for the proper discharge of its duties, subject to the approval of the secretary of labor
9898 61and workforce development. The staff of the advisory council shall be funded from
9999 62administrative cost monies collected for the Family and Employment Security Trust Fund in
100100 63accordance with the provisions of section 7 of said chapter one hundred and seventy-five M. The
101101 64advisory council may expend for personnel and office expenses funds appropriated to the
102102 65department for that purpose.
103103 66 The director shall provide for the advisory council suitable meeting space and such
104104 67clerical and other administrative assistance as the director and the council may deem necessary.
105105 68 Section 3. The advisory council shall monitor, recommend, give testimony, and report on
106106 69all aspects of the Paid Family and Medical Leave system, except for the adjudication of
107107 70particular claims or complaints. Its powers include the issuance of reports, recommendations for
108108 71legislation, policies and programs, the conducting of research, the collecting of data from public
109109 72and private sources, and powers granted under the provisions of chapter one hundred and
110110 73seventy-five M to oversee the operation and implementation of the law.
111111 74 The advisory council shall report at least annually in writing by no later than 90 days
112112 75following the last day of the fiscal year of the commonwealth to the secretary of labor and
113113 76workforce development on the state of the Paid Family and Medical Leave system, and shall
114114 77cause a copy of such report to be filed with the clerks of the house and senate of the general court
115115 78who shall send copies of such report to the joint committee on labor and workforce development 5 of 11
116116 79and the house and senate committees on ways and means. The report shall include an evaluation
117117 80of the operations of the department, and of the experience and financial condition of the Family
118118 81and Employment Security Trust Fund, along with recommendations for improving the paid
119119 82family and medical leave system.
120120 83 Said advisory council shall also review the annual operating budget of the department, as
121121 84prepared by the director and as submitted to the secretary of labor and workforce development.
122122 85Upon the affirmative vote of at least seven voting members, the advisory council may submit its
123123 86own recommendation for the total operating budget to the secretary of labor and workforce
124124 87development.
125125 88 The agency shall cooperate fully with all reasonable written requests for information and
126126 89documentation from the advisory council requested in pursuit of its established duties.
127127 90 No later than five years after the establishment of the advisory council, it shall make an
128128 91investigation and study as to the costs and benefits associated with the regulations implementing
129129 92the insurance options pursuant to Section 11, to ensure completeness of coverage and
130130 93competitiveness in pricing.
131131 94 The advisory council may expend, for the legal, actuarial, research, clerical, and other
132132 95expenses involved in the completion of such investigations and studies, such sums as may be
133133 96appropriated therefor subject to the administrative oversight of the Executive Office of Labor
134134 97and Workforce Development.
135135 98 Said council shall file the results of its investigations and studies, and its
136136 99recommendations, if any, together with any drafts of legislation necessary to carry its 6 of 11
137137 100recommendations into effect with the governor and with the clerks of the house and senate of the
138138 101general court at the end of each fiscal year.
139139 102 Section 4. Upon the creation of formal appeal and review process into an appeals board
140140 103for resolving claims by the Department of Family and Medical Leave, the advisory council shall
141141 104serve as the nominating panel for the appointment of any members to the appeals board. Before
142142 105any submission of nominations for appointment or reappointment to the board of review by the
143143 106Governor, the advisory council shall review applications for such nominations and consider the
144144 107following factors:
145145 108 (1) skills in fact-finding;
146146 109 (2) demonstrated basic understanding of family and medical leave law and/or temporary
147147 110disability law; and
148148 111 (3) a bachelor's degree, advanced degree or demonstrated writing ability as evidenced by
149149 112at least 4 years in positions in which writing skills are a major job responsibility.
150150 113 Each review of an applicant shall be made based on the application, experience,
151151 114education and training of the applicant, writing samples, in-person interviews, and any other
152152 115information the panel may require. When the application is for reappointment, the panel shall
153153 116review, in addition to any other information, the performance since the candidate's appointment
154154 117including, but not limited to:
155155 118 (1) three decisions written and selected by the applicant;
156156 119 (2) where applicable, the total number of cases decided by the applicant heard by an
157157 120appellate body, and the number of those cases which were remanded for further proceedings; 7 of 11
158158 121 (3) any decisions of an appellate body which specifically reference the candidate's
159159 122demeanor or temperament;
160160 123 (4) at the discretion of the director, written complaints from organizations that appear
161161 124before the appeals process, to the director regarding the candidate's demeanor or temperament;
162162 125and
163163 126 (5) evidence of any demonstrable bias against particular parties, organizations or
164164 127attorneys.
165165 128 The advisory council shall rate the candidate as highly qualified, qualified or unqualified.
166166 129 If appropriate or requested, any information regarding a candidate compiled by the state
167167 130advisory council or the director shall be forwarded to the governor prior to the Governor
168168 131selecting an applicant.
169169 132 SECTION 2. Section 1 of chapter 175M of the General Laws, as appearing in the 2020
170170 133Official Edition, is hereby further amended by striking out, in line 26, the words “1099-MISC”
171171 134and inserting in place thereof the following words:- 1099-NEC, or successor form,
172172 135 SECTION 3. Said section 1 of chapter 175M, as so appearing, is hereby further amended
173173 136by striking out, in line 30, the words “1099-MISC” and inserting in place thereof the following
174174 137words:- 1099-NEC, or successor form,
175175 138 SECTION 4. Subsection (a) of section 4 of chapter 175M, as so appearing, is hereby
176176 139amended by inserting after the second paragraph the following paragraph:-
177177 140 When an employee requests leave under this chapter, or when the employer acquires
178178 141knowledge that an employee's leave may be for a qualifying reason under this chapter, the 8 of 11
179179 142employer must notify the employee of the employee's eligibility to take paid leave under this
180180 143chapter within five business days, absent extenuating circumstances, by giving the employee the
181181 144appropriate leave certification form as designated by the department, in the primary language of
182182 145the employee.
183183 146 SECTION 5. Said subsection (a) of Section 4 of chapter 175M, as so appearing, is hereby
184184 147amended by inserting after the third paragraph the following paragraph:-
185185 148 When a covered contract worker requests leave under this chapter, or when the covered
186186 149business entity acquires knowledge that a covered contractor worker’s leave may be for a
187187 150qualifying reason under this chapter, the covered business entity must notify the worker of the
188188 151worker’s eligibility to take leave under this chapter within five business days, absent extenuating
189189 152circumstances, by giving the worker the appropriate leave certification form as designated by the
190190 153department, in their primary language.
191191 154 SECTION 6. Subsection (b) of section 7 of chapter 175M of the General Laws, as so
192192 155appearing, is hereby amended by striking out the first sentence and inserting in place thereof the
193193 156following sentence:-
194194 157 The costs of administering the department under this chapter shall be paid from the trust
195195 158fund and in each fiscal year shall not exceed 5 per cent of the amount remaining in the fund at
196196 159the end of the previous fiscal year; provided that, regardless of the trust fund balance at the end
197197 160of a fiscal year, in no fiscal year shall the amount available to the director for administering the
198198 161department decrease by more than 5 per cent from the previous year 9 of 11
199199 162 SECTION 7. Subsection (e) of section 7 of chapter 175M of the General Laws, as so
200200 163appearing, is hereby amended by striking clause (vii) from the first sentence in the second
201201 164paragraph in its entirety and inserting the following clause at the end of clause (vi), on line 92:-
202202 165 (vii) overall claimant demographics by age, gender, race and ethnicity, primary language
203203 166of applicant, geography, average weekly wage, occupation, employment type (full or part time or
204204 167self-employed), and the type of leave taken;
205205 168 And by striking the word “and” after the semicolon at the end of clause (xii), at line 100;
206206 169 And by striking clause (xiii) in its entirety and inserting at the end of clause (xii), at line
207207 170100, the following:-
208208 171 (xiii) the number of cases remaining open at the close of such year; (xiv) the number of
209209 172businesses and total workforce headcount enrolled, and the number of businesses and total
210210 173workforce headcount covered by private plans; and (xv) the length of time between a covered
211211 174individual’s first day of leave and their first payment of benefits. Data in (ii) through (vi), (xi),
212212 175and (xv) shall be disaggregated by age, gender, race and ethnicity, primary language of applicant,
213213 176geography, average weekly wage, occupation, employment type, and the type of leave taken.
214214 177Data in (iii) and (vi) shall be further disaggregated by the relationship between the claimant and
215215 178family member. Data in (vi) shall be further disaggregated by year of birth or placement.
216216 179 SECTION . Said subsection (e) of section 7 of chapter 175M, as so appearing, is hereby
217217 180further amended by inserting after the last sentence at the end of the second paragraph the
218218 181following sentence:- 10 of 11
219219 182 . The report shall also include details on the annual public education campaign conducted
220220 183pursuant to subsection (f) of section 8 of this chapter, including, but not limited to, employer
221221 184outreach efforts and materials, multilingual outreach materials and evidence of multimedia
222222 185distribution.
223223 186 SECTION 9. Said subsection (e) of section 7 of chapter 175M, as so appearing, is hereby
224224 187further amended by inserting after the end of the second paragraph the following paragraph:-
225225 188 The department shall establish a publicly accessible online dashboard using updated
226226 189reporting information on the program. The information in the dashboard shall include: (i) total
227227 190number of claims filed; (ii) total number of eligible claims; (iii) total number of claims denied;
228228 191(iv) claimant demographics by age, gender, average weekly wage, occupation and the type of
229229 192leave taken; and (v) average weekly benefit amount paid for all claims and by category of leave.
230230 193The dashboard shall be updated no less than quarterly.
231231 194 SECTION 10. Subsection (d) of section 8 of chapter 175M of the General Laws, as
232232 195appearing in the 2022 Official Edition, is hereby amended by inserting after the word
233233 196“defendant”, in line 50, the following sentence:-
234234 197 . The department shall cause to be published all hearing decisions on their website,
235235 198provided, however, that the department shall refrain from including, or partially redact where
236236 199inclusion is necessary, any personal data identifiers, including, but not limited to, names, date of
237237 200birth, names of minor children and any protected medical information
238238 201 SECTION 11. Subsection (f) of section 8 of chapter 175M, as so appearing, is hereby
239239 202amended by striking out, in line 60, the word “a” and inserting in place thereof the following
240240 203words:- an annual 11 of 11
241241 204 SECTION 12. Notwithstanding any special or general law to the contrary, if an
242242 205employee, hired as a result of a covered individual taking leave under the provisions of chapter
243243 206175M of the general laws, is subsequently separated from that employment when the covered
244244 207individual is restored to that position, and is eligible for unemployment insurance benefits under
245245 208the provisions of chapter 151A of the general laws, those benefit charges shall not accrue to the
246246 209employer’s experience rating but rather shall be charged to the solvency fund.
247247 210 SECTION 13. Not later than June 1, 2025, the department of family and medical leave
248248 211shall report on the long-term financial stability of the Family and Employment Security Trust
249249 212Fund, and review of existing policies under section 7 of chapter 175M, including the requirement
250250 213that the trust fund shall maintain an annualized amount of not less than 140 per cent of the
251251 214previous fiscal year's expenditures.