Governor and top Dems commit to delay paid leave tax
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Massachusetts Gov. Charlie Baker
The top two Democrats on Beacon Hill and Gov. Charlie Baker said early Tuesday evening that they had agreed to seek a three-month delay to the start of a payroll tax to fund paid family and medical leave benefits for all Massachusetts workers, and would look to "clarify" the program's details.
A joint statement issued by the three leaders committing to the delay came from the governor's office, and was meant to give employers as measure of certainty about what will be expected of them at the end of the month.
A payroll tax of .63 percent is set to take effect on July 1, and a three-month delay must still pass both branches of the Legislature. But without a bill ready to be voted on, the legislative leaders tried with their statement to bring some predictability to the process, even if a successful vote can never be guaranteed.
"To ensure businesses have adequate time to implement the state’s Paid Family and Medical Leave program, the House, Senate, and Administration have agreed to adopt a three month delay to the start of required contributions to the program," read the statement from Speaker Robert DeLeo, Senate President Karen Spilka and Baker.
"We will also adopt technical changes to clarify program design. We look forward to the successful implementation of this program this fall," the statement concluded.
The News Service first reported last week that the statement was under consideration after Baker gave legislative leaders a deadline of Friday to pass a delay so that employers cold be notified, and DeLeo indicated that wasn't enough time.
The Senate president's office said it planned to have the Senate vote on the delay Wednesday, with the language inserted into a supplemental budget bill. The speaker's office did not immediately respond when asked for a timeline on a vote in that branch.
Associated Industries of Massachusetts and labor groups wrote to Beacon Hill leaders on May 20 requesting the delay, as well as fixes to better align the law with the federal Family and Medical Leave Act and $3.5 million for the new state Department of Family and Medical Leave to do public information outreach.
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