Coverage and Funding Details of the Healthy Delaware Families Act

On May 10, 2022, Governor John Carney signed the Healthy Delaware Families Act (the “Act”) into law.[i]  The Act provides a 12‑week paid family and medical leave program, financed by the State’s paid leave trust fund to: (1) cover qualifying events such as workers’ serious health conditions; (2) allow workers to provide care for a family member with a serious health condition; (3) permit workers to bond with and care for a new child; or (4) allow workers to address the effect of a family member’s military deployment.[ii]

Senator Sarah McBride, D‑Wilmington, the bill’s primary sponsor stated:

“My heart is full of gratitude for the many advocates and leaders who supported taking real action for the new moms forced to go back to work days after giving birth, for the parents fundraising online to make up for wages they lost while caring for a sick child, and for the patients who had to forego treatment to pay their rent or keep food on the table, she said.  Through collaboration and compassion, we have shown that small states can do big things for the people we represent.” [iii]

The Act also provides for up to six (6) weeks of paid medical leave, paid family caregiver’s leave, and paid military leave every two years for qualified employees.  The Act’s program will pay Delaware workers up to 80% of their average weekly wages from the state insurance program created under the Act.  The insurance program will be funded by a new payroll tax, calculated as less than 1% of total wages, which amount will be split between the employer and the employee.[iv]

Senate President Pro Tempore David Sokola, D-Newark, stated:

“If you care about families, if you care about others, there’s no reason why every other capitalist democracy in the world can do this and we can’t.  We are not number 1 in this, we’ll be the number 10 state along with the District of Columbia, and I would urge my colleagues to support this.” [v]

Senator Darius Brown, D‑Wilmington, emphasized,

“Every developed nation in the world already has some form of paid leave.  Mexico offers 12 weeks; France offers mothers 6 weeks of paid leave.  The United Kingdom offers 20 weeks of paid maternity leave.  Countries like Pakistan, South Africa and Venezuela all at least offer 12 weeks of paid leave . . .  How is it that we can deny this to Delawareans?” [vi]

Under the Act, the Family and Medical Leave Trust Fund will be administered by the States, Department of Labor beginning in 2025.[vii]  Governor Carney has indicated his support for the measure and stated,

“We should do everything we can to support businesses and the employees who work there.  Younger workers aren’t just looking for a job; they’re looking for a way of life.  This legislation builds on the work we’ve done for state employees and extends paid leave into the private sector.  It’s the right thing to do, and it will help attract a talented workforce to live, work, and raise their families in Delaware.” [viii]

The Act’s program will require an initial expenditure of $17,000,000, the expense for which is expected to be added to the state budget for fiscal year 2023.[ix]  Upon enactment, the State’s Labor Department will immediately begin the process of planning for the program and developing the necessary technology, while improving staff during the next three (3) years.[x]

A copy of the recently passed Act is available here.

[i] “Delaware Paid Family and Medical Leave Law Signed”, SHRM, HR Daily Newsletter, K. McGinley, May 17, 2022.

[ii] “Delaware Paid Family and Medical Leave Law Signed”, SHRM, HR Daily Newsletter, K. McGinley, May 17, 2022.

[iii] “Governor Carney Signs Paid Family Leave Legislation”, Delaware News, May 11, 2022.

[iv] “State Senate Passes Healthy Delaware Families Act”, Delaware State News, L. Anderson, March 8, 2022.

[v] “State Senate Passes Healthy Delaware Families Act”, Delaware State News, L. Anderson, March 8, 2022.

[vi] “State Senate Passes Healthy Delaware Families Act”, Delaware State News, L. Anderson, March 8, 2022.

[vii] “State Senate Passes Healthy Delaware Families Act”, Delaware State News, L. Anderson, March 8, 2022.

[viii] “State Senate Passes Healthy Delaware Families Act”, Delaware State News, L. Anderson, March 8, 2022.

[ix] “State Senate Passes Healthy Delaware Families Act”, Delaware State News, L. Anderson, March 8, 2022.

[x] “State Senate Passes Healthy Delaware Families Act”, Delaware State News, L. Anderson, March 8, 2022.