MONTPELIER, Vt. (AP) - Lawmakers in Vermont are considering a family leave law that could become one of the most generous policies of its kind in the country, allowing workers up to 12 weeks paid leave to care for a sick family member or new child.
The policy would provide at least four more weeks of leave than other states and give workers 100 percent of their salary up to $52,000, which is higher than other states, according to a report released last week from the state’s fiscal analysis office.
The proposal has gained traction in Vermont’s House, where it was voted out of its original committee last week. But House Speaker Mitzi Johnson said it’s not a priority this year.
The bill will likely come up again next year, said Johnson. She said her goal is to get the bill out of the House this year so the Senate can consider it next year.
The governor’s office has indicated it will be vetoed.
The expanded family leave would be paid for by a 0.93 percent payroll tax, which would be collected by the Vermont Department of Labor and then be disbursed to workers. Employees would only be eligible if they’ve worked in the state for at least half of the previous year.
Implementing the law would also cost the state about $2.5 million to pay for new technology to implement the program, and make up for employees taking more time off.
Many pro-family groups such as AARP have supported the bill. Some businesses have as well, but business organizations like the Lake Champlain Regional Chamber of Commerce have opposed it.
“We are concerned just generally about Vermonters being able to afford living here,” said Catherine Davis, vice president of the Chamber.
Part of the proposed law gives businesses the choice to pay for some or all of the tax that would support the leave program. That caveat may seem harmless, Davis said, but it could end up favoring large employers that can pay for the tax in order to attract talent.
Smaller employers that don’t have as much money would have to ask their employees to pay the tax, which could drive away good workers, Davis said.
“It’s just tough for smaller employers to be able to compete,” Davis said.
Republican Gov. Phil Scott has said he will veto the bill. Scott Spokeswoman Rebecca Kelley said new taxes are untenable for Vermont workers.
“The bottom line is working Vermonters cannot afford for state government to take more of what they earn,” Kelley said in a statement.
The bill is now in the House Ways and Means committee, which will take accept testimony on it as early as next week.
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