Rhode Island 2025 Regular Session

Rhode Island Senate Bill S0974 Compare Versions

Only one version of the bill is available at this time.

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5	5	2025 -- S 0974
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7	7	LC002731
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9	9	S T A T E O F R H O D E I S L A N D
10	10	IN GENERAL ASSEMBLY
11	11	JANUARY SESSION, A.D. 2025
12	12	____________
13	13
14	14	A N A C T
15	15	RELATING TO LABOR AND LABOR RELATIONS -- TEMPORARY DISABILITY
16	16	INSURANCE --CONTRIBUTIONS
17	17	Introduced By: Senators Lawson, Bissaillon, Tikoian, Lauria, DiMario, Euer, Urso,
18	18	Felag, Murray, and Gallo
19	19	Date Introduced: April 16, 2025
20	20	Referred To: Senate Finance
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23	23	It is enacted by the General Assembly as follows:
24	24	SECTION 1. Section 28-40-1 of the General Laws in Chapter 28-40 entitled "Temporary 1
25	25	Disability Insurance — Contributions" is hereby amended to read as follows: 2
26	26	28-40-1. Amount of employee contributions — Wages on which based. 3
27	27	(a) The taxable wage base under this chapter for each calendar year shall be equal to the 4
28	28	greater of thirty-eight thousand dollars ($38,000) one hundred thousand dollars ($100,000) or the 5
29	29	annual earnings needed by an individual to qualify for the maximum weekly benefit amount and 6
30	30	the maximum duration under chapters 39 — 41 of this title. That taxable wage base shall be 7
31	31	computed as follows: Every September 30, the maximum weekly benefit amount in effect as of that 8
32	32	date shall be multiplied by thirty (30) and the resultant product shall be divided by thirty-six 9
33	33	hundredths (.36). If the result thus obtained is not an even multiple of one hundred dollars ($100), 10
34	34	it shall be rounded upward to the next higher even multiple of one hundred dollars ($100). That 11
35	35	taxable wage base shall be effective for the calendar year beginning on the next January 1. 12
36	36	(b) Each employee shall contribute with respect to employment after the date upon which 13
37	37	the employer becomes subject to chapters 39 — 41 of this title, an amount equal to the fund cost 14
38	38	rate times the wages paid by the employer to the employee up to the taxable wage base as defined 15
39	39	and computed in subsection (a) of this section. The employee contribution rate for the following 16
40	40	calendar year shall be determined by computing the fund cost rate on or before November 15 of 17
41	41	each year as follows: 18
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45	45	(1) The total amount of disbursements made from the fund for the twelve-month (12) 1
46	46	period ending on the immediately preceding September 30 shall be divided by the total taxable 2
47	47	wages paid by employers during the twelve-month (12) period ending on the immediately 3
48	48	preceding June 30. The ratio thus obtained shall be multiplied by one hundred (100) and the 4
49	49	resultant product if not an exact multiple of one-tenth of one percent (0.1%) shall be rounded down 5
50	50	to the next lowest multiple of one-tenth of one percent (0.1%); 6
51	51	(2) If the fund balance as of the preceding September 30 is less than the total disbursements 7
52	52	from the fund for the six-month (6) period ending on that September 30, that difference shall be 8
53	53	added to the total disbursements for the twelve-month (12) period ending September 30 for the 9
54	54	purpose of computing the fund cost rate, and if the resulting fund cost rate is not an exact multiple 10
55	55	of one-tenth of one percent (0.1%) it shall be rounded to the nearest multiple of one-tenth of one 11
56	56	percent (0.1%). 12
57	57	SECTION 2. Sections 28-41-5 and 28-41-35 of the General Laws in Chapter 28-41 entitled 13
58	58	"Temporary Disability Insurance — Benefits" are hereby amended to read as follows: 14
59	59	28-41-5. Weekly benefit rate — Dependents’ allowances. [Effective January 1, 2025.] 15
60	60	(a) Benefit rate. 16
61	61	(1) The benefit rate payable under this chapter to any eligible individual with respect to 17
62	62	any week of the individual’s unemployment due to sickness, when that week occurs within a benefit 18
63	63	year, shall be, for benefit years beginning on or after October 7, 1990, and prior to January 1, 2026, 19
64	64	four and sixty-two hundredths percent (4.62%); for benefit years beginning on or after January 1, 20
65	65	2026, and prior to January 1, 2027, five and thirty-eight hundredths percent (5.38%); and for benefit 21
66	66	years beginning on or after January 1, 2027, five and seventy-seven hundredths percent (5.77%) of 22
67	67	the wages paid to the individual in that calendar quarter of the base period in which the individual’s 23
68	68	wages were highest; provided, however, that the benefit rate shall not exceed eighty-five percent 24
69	69	(85%) of the average weekly wage paid to individuals covered by chapters 42 — 44 of this title for 25
70	70	the preceding calendar year ending December 31. If the maximum weekly benefit rate is not an 26
71	71	exact multiple of one dollar ($1.00) then the rate shall be raised to the next higher multiple of one 27
72	72	dollar ($1.00). Those weekly benefit rates shall be effective throughout the benefit years beginning 28
73	73	on or after July 1 of the year prior to July of the succeeding calendar year. 29
74	74	(2) The benefit rate of any individual, if not an exact multiple of one dollar ($1.00), shall 30
75	75	be raised to the next higher multiple of one dollar ($1.00). 31
76	76	(b) Dependents’ allowances. An individual to whom benefits for unemployment due to 32
77	77	sickness are payable under this chapter with respect to any week, shall, in addition to those benefits, 33
78	78	be paid with respect to each week a dependent’s allowance of twenty dollars ($20.00) or seven 34
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82	82	percent (7%) of the individual’s benefit rate payable under subsection (a) of this section, whichever 1
83	83	is greater, for each of that individual’s children, including adopted and stepchildren or that 2
84	84	individual’s court-appointed wards who, at the beginning of the individual’s benefit year, is under 3
85	85	eighteen (18) years of age and who is at that time in fact dependent on that individual. A 4
86	86	dependent’s allowance shall also be paid to that individual for any child, including an adopted child 5
87	87	or a stepchild or that individual’s court appointed ward, eighteen (18) years of age or over, 6
88	88	incapable of earning any wages because of mental or physical incapacity, and who is dependent on 7
89	89	that individual in fact at the beginning of the individual’s benefit year, including individuals who 8
90	90	have been appointed the legal guardian of that child by the appropriate court. However, in no 9
91	91	instance shall the number of dependents for which an individual may receive dependents’ 10
92	92	allowances exceed five (5) in total. The weekly total of dependents’ allowances payable to any 11
93	93	individual, if not an exact multiple of one dollar ($1.00), shall be rounded to the next lower multiple 12
94	94	of one dollar ($1.00). The number of an individual’s dependents, and the fact of their dependency, 13
95	95	shall be determined as of the beginning of that individual’s benefit year; provided, that only one 14
96	96	individual shall be entitled to a dependent’s allowance for the same dependent with respect to any 15
97	97	week. Each individual who claims a dependent’s allowance shall establish their claim to it to the 16
98	98	satisfaction of the director under procedures established by the director. 17
99	99	(c) Any individual’s benefit rate and/or dependents’ allowance in effect for a benefit year 18
100	100	shall continue in effect until the end of that benefit year. 19
101	101	(d) Partial unemployment due to sickness. For weeks beginning on or after January 1, 20
102	102	2006, an individual partially unemployed due to sickness and otherwise eligible in any week shall 21
103	103	be paid sufficient benefits with respect to that week, so that their wages, rounded to the next higher 22
104	104	multiple of one dollar ($1.00), and their benefits combined will equal in amount the weekly benefit 23
105	105	rate to which the individual would be entitled if totally unemployed due to sickness in that week; 24
106	106	provided that an individual must have been totally unemployed due to sickness for at least seven 25
107	107	(7) consecutive days prior to claiming partial benefits under this provision; provided, that this 26
108	108	provision shall not apply if the individual is entitled to lag day benefits pursuant to § 28-41-9; 27
109	109	provided, further, that nothing contained herein shall permit any individual to whom remuneration 28
110	110	is payable for any work performed in any week in an amount equal to or greater than his or her 29
111	111	weekly benefit rate to receive benefits or waiting period credit for that week. 30
112	112	28-41-35. Benefits. [Effective January 1, 2025.] 31
113	113	(a) Subject to the conditions set forth in this chapter, an employee shall be eligible for 32
114	114	temporary caregiver benefits for any week in which the employee is unable to perform their regular 33
115	115	and customary work because the employee is: 34
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119	119	(1) Bonding with a newborn child or a child newly placed for adoption or foster care with 1
120	120	the employee or domestic partner in accordance with the provisions of § 28-41-36(c); or 2
121	121	(2) Caring for a child, parent, parent-in-law, grandparent, spouse, or domestic partner, who 3
122	122	has a serious health condition, subject to a waiting period in accordance with the provisions of § 4
123	123	28-41-12 [repealed]. Employees may use accrued sick time during the eligibility waiting period in 5
124	124	accordance with the policy of the individual’s employer. 6
125	125	(b) Temporary caregiver benefits shall be available only to the employee exercising his or 7
126	126	her right to leave while covered by the temporary caregiver insurance program. An employee shall 8
127	127	file a written intent with their employer, in accordance with rules and regulations promulgated by 9
128	128	the department, with a minimum of thirty (30) days’ notice prior to commencement of the family 10
129	129	leave. Failure by the employee to provide the written intent may result in delay or reduction in the 11
130	130	claimant’s benefits, except in the event the time of the leave is unforeseeable or the time of the 12
131	131	leave changes for unforeseeable circumstances. 13
132	132	(c) Employees cannot file for both temporary caregiver benefits and temporary disability 14
133	133	benefits for the same purpose, concurrently, in accordance with all provisions of this act and 15
134	134	chapters 39 — 41 of this title. 16
135	135	(d) Temporary caregiver benefits may be available to any individual exercising their right 17
136	136	to leave while covered by the temporary caregiver insurance program, commencing on or after 18
137	137	January 1, 2014, which shall not exceed the individual’s maximum benefits in accordance with 19
138	138	chapters 39 — 41 of this title. The benefits for the temporary caregiver program shall be payable 20
139	139	with respect to the first day of leave taken after the waiting period and each subsequent day of leave 21
140	140	during that period of family temporary disability leave. Benefits shall be in accordance with the 22
141	141	following: 23
142	142	(1) Beginning January 1, 2014, temporary caregiver benefits shall be limited to a maximum 24
143	143	of four (4) weeks in a benefit year; 25
144	144	(2) Beginning January 1, 2022, temporary caregiver benefits shall be limited to a maximum 26
145	145	of five (5) weeks in a benefit year; 27
146	146	(3) Beginning January 1, 2023, temporary caregiver benefits shall be limited to a maximum 28
147	147	of six (6) weeks in a benefit year; 29
148	148	(4) Beginning January 1, 2025, temporary caregiver benefits shall be limited to a maximum 30
149	149	of seven (7) weeks in a benefit year; and 31
150	150	(5) Beginning January 1, 2026, temporary caregiver benefits shall be limited to a maximum 32
151	151	of eight (8) weeks in a benefit year.; 33
152	152	(6) Beginning January 1, 2027, temporary caregiver benefits shall be limited to a maximum 34
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156	156	of ten (10) weeks in a benefit year; and 1
157	157	(7) Beginning January 1, 2028, temporary caregiver benefits shall be limited to a maximum 2
158	158	of twelve (12) weeks in a benefit year. 3
159	159	(e) In addition, no individual shall be paid temporary caregiver benefits and temporary 4
160	160	disability benefits that together exceed thirty (30) times the individual’s weekly benefit rate in any 5
161	161	benefit year. 6
162	162	(f) Any employee who exercises their right to leave covered by temporary caregiver 7
163	163	insurance under this chapter shall, upon the expiration of that leave, be entitled to be restored by 8
164	164	the employer to the position held by the employee when the leave commenced, or to a position with 9
165	165	equivalent seniority, status, employment benefits, pay, and other terms and conditions of 10
166	166	employment including fringe benefits and service credits that the employee had been entitled to at 11
167	167	the commencement of leave. 12
168	168	(g) During any caregiver leave taken pursuant to this chapter, the employer shall maintain 13
169	169	any existing health benefits of the employee in force for the duration of the leave as if the employee 14
170	170	had continued in employment continuously from the date the employee commenced the leave until 15
171	171	the date the caregiver benefits terminate; provided, however, that the employee shall continue to 16
172	172	pay any employee shares of the cost of health benefits as required prior to the commencement of 17
173	173	the caregiver benefits. 18
174	174	(h) No individual shall be entitled to waiting period credit or temporary caregiver benefits 19
175	175	under this section for any week beginning prior to January 1, 2014. An employer may require an 20
176	176	employee who is entitled to leave under the federal Family and Medical Leave Act, Pub. L. No. 21
177	177	103-3 and/or the Rhode Island parental and family medical leave act, § 28-48-1 et seq., who 22
178	178	exercises their right to benefits under the temporary caregiver insurance program under this chapter, 23
179	179	to take any temporary caregiver benefits received, concurrently, with any leave taken pursuant to 24
180	180	the federal Family and Medical Leave Act and/or the Rhode Island parental and family medical 25
181	181	leave act. 26
182	182	(i) Temporary caregiver benefits shall be in accordance with the federal Family and 27
183	183	Medical Leave Act (FMLA), Pub. L. No. 103-3 and the Rhode Island parental and family medical 28
184	184	leave act in accordance with § 28-48-1 et seq. An employer may require an employee who is entitled 29
185	185	to leave under the federal Family and Medical Leave Act, Pub. L. No. 103-3 and/or the Rhode 30
186	186	Island parental and family medical leave act, § 28-48-1 et seq., who exercises their right to benefits 31
187	187	under the temporary caregiver insurance program under this chapter, to take any temporary 32
188	188	caregiver benefits received, concurrently, with any leave taken pursuant to the federal Family and 33
189	189	Medical Leave Act and/or the Rhode Island parental and family medical leave act. 34
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193	193	SECTION 3. This act shall take effect January 1, 2026. 1
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200	200	EXPLANATION
201	201	BY THE LEGISLATIVE COUNCIL
202	202	OF
203	203	A N A C T
204	204	RELATING TO LABOR AND LABOR RELATIONS -- TEMPORARY DISABILITY
205	205	INSURANCE --CONTRIBUTIONS
206	206	***
207	207	This act would increase the taxable wage base for temporary disability insurance claims 1
208	208	from thirty-eight thousand dollars ($38,000) to one hundred thousand dollars ($100,000) or the 2
209	209	annual earnings needed by an individual to qualify for the maximum weekly benefit amount and 3
210	210	the maximum duration under chapters 39 through 41 of this title. This act would also increase the 4
211	211	percent of wages used in the base period to determine an individual's weekly benefit amount and 5
212	212	would amend the duration period of caregiver benefits for the years 2027, 2028 and beyond. 6
213	213	This act would take effect January 1, 2026. 7
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