New York Paid Family Leave: Employer Guide
Essential information for employers on New York's Paid Family Leave program, including contribution rates, employee eligibility, and compliance obligations.
AEA Editorial Team
Understanding New York Paid Family Leave
New York's Paid Family Leave (PFL) law, enacted in 2016 and phased in starting 2018, provides eligible employees with job-protected, paid time off to bond with a new child, care for a family member with a serious health condition, or assist with obligations arising from a family member's military deployment.
The program is funded entirely through employee payroll deductions and administered through the employer's disability insurance carrier. Employers are responsible for proper payroll withholding, maintaining coverage, and processing employee claims.
Employee Eligibility Requirements
Employees are eligible for PFL benefits after meeting minimum employment thresholds. Full-time employees who work a regular schedule of 20 or more hours per week qualify after 26 consecutive weeks of employment. Part-time employees who work fewer than 20 hours per week become eligible after 175 days worked.
Employees who will not meet these thresholds may file a waiver of PFL coverage, exempting them from payroll deductions. If their schedule later changes to meet eligibility requirements, the waiver must be revoked.
Benefit Levels and Contribution Rates
As of 2025, eligible employees may receive up to 67 percent of their average weekly wage, capped at 67 percent of the statewide average weekly wage. Benefits are available for up to 12 weeks within a 52-week period.
The contribution rate is set annually by the New York Department of Financial Services. Employers must deduct the correct amount from employee wages and remit it to their PFL insurance carrier. Employers may not pay the employee share of PFL premiums.
Employer Obligations and Compliance
Employers must obtain PFL coverage through a disability insurance carrier or through a self-insured plan approved by the Workers' Compensation Board. Failure to maintain coverage can result in penalties of one-half of one percent of the employer's payroll for the period of non-compliance.
When an employee requests PFL, the employer must provide the employee with the Request for Paid Family Leave (Form PFL-1) within five business days. Employers may not retaliate against employees who request or use PFL benefits, and employees are entitled to be restored to their same or comparable position upon return.
Coordination With Other Leave Laws
PFL runs concurrently with leave under the federal Family and Medical Leave Act when the reason for leave qualifies under both laws. However, PFL does not cover an employee's own serious health condition, which would instead be covered under New York's statutory disability benefits.
Employers should develop clear policies that explain how PFL interacts with FMLA, disability benefits, and any employer-provided paid time off. Proper documentation and consistent administration help minimize legal exposure and ensure employees receive all benefits to which they are entitled.