Texas 2025 - 89th Regular

Texas House Bill HB3059 Compare Versions

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11 89R5049 RDS-F
22 By: Morales Shaw H.B. No. 3059
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77 A BILL TO BE ENTITLED
88 AN ACT
99 relating to the establishment of a paid parental leave program
1010 administered by the Texas Workforce Commission; imposing an
1111 employer contribution.
1212 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1313 SECTION 1. Subtitle B, Title 4, Labor Code, is amended by
1414 adding Chapter 320 to read as follows:
1515 CHAPTER 320. PAID PARENTAL LEAVE FOR CERTAIN EMPLOYEES
1616 Sec. 320.001. DEFINITIONS. In this chapter:
1717 (1) "Employee" means an individual who performs
1818 services in this state for an employer for compensation under a
1919 contract for hire, whether express or implied. The term does not
2020 include an independent contractor or a state employee to which
2121 Section 661.9125, Government Code, applies.
2222 (2) "Employer" means a person that employs one or more
2323 employees.
2424 (3) "Program" means the Texas Family Fund Program
2525 established under Section 320.002.
2626 Sec. 320.002. ESTABLISHMENT OF PROGRAM; RULEMAKING. (a)
2727 The commission shall establish the Texas Family Fund Program to
2828 administer, distribute payments for, and assess contributions for
2929 paid parental leave under this chapter.
3030 (b) The commission shall adopt rules as necessary to
3131 implement this chapter.
3232 Sec. 320.003. PAID PARENTAL LEAVE FOR CERTAIN EMPLOYEES.
3333 (a) This section applies only to an employee who:
3434 (1) is employed by an employer that:
3535 (A) employs at least 50 employees; or
3636 (B) voluntarily makes a contribution on wages
3737 under Section 320.005; and
3838 (2) during the preceding 12 months, has worked for the
3939 employer:
4040 (A) not less than 1,540 hours and on a full-time
4141 basis; or
4242 (B) if the employee is not classified by the
4343 employer as a full-time employee, not less than 30 hours per week.
4444 (b) For purposes of Subsection (a), an hour for which an
4545 employee uses paid or unpaid leave not described by this section is
4646 considered an hour the employee worked for the employer.
4747 (c) Subject to Subsection (d), an employee to whom this
4848 section applies is entitled, on request, to:
4949 (1) 40 days of paid leave for the birth of a child by
5050 the employee; or
5151 (2) 20 days of paid leave for the:
5252 (A) birth of a child by the employee's spouse;
5353 (B) birth of a child by a gestational surrogate;
5454 (C) adoption of a child; or
5555 (D) provision of foster care or kinship care to a
5656 child younger than one year of age who is in the conservatorship of
5757 the Department of Family and Protective Services.
5858 (d) The amount of paid leave to which an employee is
5959 entitled under Subsection (c) for each week of leave taken under
6060 that subsection is an amount equal to the lesser of:
6161 (1) the employee's average weekly wage during the
6262 12-month period preceding the first day that the employee takes
6363 leave under that subsection; or
6464 (2) the state average weekly wage as determined under
6565 Section 408.047 during the most recent complete calendar quarter
6666 preceding the first day that the employee takes leave under that
6767 subsection.
6868 (e) This section does not entitle an employee to leave in
6969 addition to any leave the employee is entitled to under the federal
7070 Family and Medical Leave Act of 1993 (29 U.S.C. Section 2601 et
7171 seq.). An employee is not entitled to paid leave under this section
7272 for any period during which the employee is taking other paid leave.
7373 (f) An employee may not take leave under this section:
7474 (1) later than the first anniversary of the date of
7575 birth or adoption of a child or placement of a child in foster care
7676 or kinship care; or
7777 (2) more than one time during a 12-month period.
7878 (g) An employer may not take an adverse employment action
7979 against an employee because the employee has taken or plans to take
8080 paid leave under this section. For purposes of this subsection,
8181 "adverse employment action" includes termination or suspension of
8282 the employee's employment, an action that affects the employee's
8383 compensation, promotion, or performance evaluation, or any other
8484 employment action that would dissuade a reasonable employee from
8585 taking paid leave under this chapter.
8686 Sec. 320.004. EMPLOYER CONTRIBUTION. (a) Except as
8787 provided by Subsection (d), an employer shall pay a contribution on
8888 wages paid to an employee to whom Section 320.003 applies during a
8989 calendar quarter in an amount equal to 0.15 percent of the wages
9090 paid by the employer to the employee during the calendar quarter.
9191 (b) The contribution shall be paid to the commission in
9292 accordance with rules adopted by the commission.
9393 (c) An employer may deduct not more than 50 percent of the
9494 amount of a contribution under this section from the wages of the
9595 employee.
9696 (d) This section does not apply to:
9797 (1) an employer that maintains a self-funded policy
9898 that provides leave to employees who meet the requirements of
9999 Section 320.003; or
100100 (2) the amount of wages paid to an employee during a
101101 calendar year that is more than the maximum amount of wages for
102102 which an employee is subject to taxation for that year under the
103103 federal Social Security Act (42 U.S.C. Section 430), as calculated
104104 under Section 230 of that Act.
105105 Sec. 320.005. VOLUNTARY PARTICIPATION BY CERTAIN
106106 EMPLOYERS. Notwithstanding any other provision of this chapter, an
107107 employer that employs less than 50 employees may pay a contribution
108108 on wages in the amount and manner described by Section 320.004.
109109 Sec. 320.006. ADMINISTRATION OF CONTRIBUTIONS. (a) On
110110 receipt of contributions under Section 320.004 or 320.005, the
111111 commission shall forward the contributions to the comptroller.
112112 (b) The comptroller shall immediately deposit contributions
113113 under this chapter in the Texas Family Fund.
114114 Sec. 320.007. TEXAS FAMILY FUND. (a) The Texas Family Fund
115115 is a special fund.
116116 (b) The fund consists of:
117117 (1) contributions collected under this chapter;
118118 (2) interest earned on money in the fund; and
119119 (3) other money received for the fund from any other
120120 source.
121121 (c) Benefits are due and payable only to the extent money is
122122 available for that purpose in the fund. This state and the
123123 commission are not liable for any amount in excess of the amount in
124124 the fund.
125125 (d) The comptroller may use money in the fund to pay the
126126 necessary and reasonable expenses of administering the fund, not to
127127 exceed in any year four percent of the money received for the fund
128128 under Subsection (b) in that year.
129129 SECTION 2. Not later than January 1, 2026, the Texas
130130 Workforce Commission shall:
131131 (1) establish the Texas Family Fund Program in
132132 accordance with Section 320.002, Labor Code, as added by this Act;
133133 and
134134 (2) adopt rules necessary to implement Chapter 320,
135135 Labor Code, as added by this Act.
136136 SECTION 3. (a) An employee is not entitled to paid leave
137137 under Chapter 320, Labor Code, as added by this Act, before January
138138 1, 2027.
139139 (b) Section 320.003, Labor Code, as added by this Act,
140140 applies only to the birth or adoption of a child or placement of a
141141 child in foster care or kinship care that occurs on or after January
142142 1, 2027.
143143 (c) Section 320.004, Labor Code, as added by this Act,
144144 applies beginning January 1, 2026.
145145 SECTION 4. This Act takes effect September 1, 2025.