Jun 23, 2017

Employee benefits and insurance information bills see action in the Assembly

A bill that would revise the state’s paid family leave law (A-4927) was passed by the Assembly this week. Additionally, a bill, S-2459, which would require health insurance consultants and carriers to provide certain health insurance information to local municipalities and counties passed the Assembly on June 22.

To keep updated on the most recent legislative actions, see PIANJ’s "Priority bills statuses, recent actions."

Paid family leave

A-4927 passed the Assembly by a vote of 49-23-3 on June 22. It would revise the law concerning family leave, family temporary disability leave and domestic or sexual violence safety leave.

Sponsored by Assemblyman Vincent Prieto, D-32, the bill would expand the family members for whom individuals covered under the family temporary disability law may receive paid benefits during periods of leave from employment to care for to include siblings, grandparents, grandchildren and parents-in-law. The bill also would expand the "Family Leave Act" and the "NJ SAFE Act" to include siblings, grandparents, grandchildren and parents-in-law. Additionally, it would provide that family temporary disability leave may be taken by a covered individual from work with an employer to participate in the providing of care for a family member of the individual who has been a victim of an incident of domestic violence or a sexually violent offense.

The bill would increase the maximum number of weeks of family temporary disability leave benefits for a period of family temporary disability leave, or for any given 12-month period, to 12 weeks from the current six weeks. And, it would expand the amount that covered individuals would collect in benefits. Under the bill, an individual’s weekly benefit rate, subject to a maximum of 78 percent of the statewide average weekly remuneration paid to workers by employers would be:

1. for an individual with a household income at or below 200 percent of the federal poverty level for a family of four, 90 percent of the individual’s average weekly wage; or

2. for an individual with a household income above 200 percent of the federal poverty level for a family of four, 80 percent of the individual’s average weekly wage.

There is no employer contribution. Instead, this time off would be funded by employee contributions to the state disability benefits fund. The bill also would provide that an employer may not discharge, harass, threaten or otherwise discriminate or retaliate against an employee with respect to the compensation, terms, conditions or privileges of employment on the basis that the employee took or requested any family temporary disability leave to which the employee was entitled.

The bill also would amend the Family Leave Act to make its provision of unpaid leave apply to employers with 20 or more employees, instead of the current threshold of 50 or more employees. The bill now will go to the Senate for its consideration.

For more on paid family leave in the state, see the related article in the July-August issue of PIA magazine.

Health insurance information and consultants

The Assembly passed a bill, S-2459, which would require health insurance consultants and carriers to provide certain health insurance information to local municipalities and counties on June 22. The vote count was 75-0-0.

Sponsored by Assemblywoman Blonnie R. Watson, D-29, it would require a health insurance consultant who contracts with a municipality or county to annually disclose the amount of compensation received in the prior year from a carrier for any insurance consultant services provided in connection with a contract awarded to the carrier by the municipality or county. The bill would make the compensation disclosure requirement part of the contract between the municipality or county and the health insurance consultant. If a health insurance consultant fails to make a required annual disclosure, the local unit would be permitted to terminate any contract with the consultant.

This bill passed the Senate (36-0) in November. It now will go to Gov. Chris Christie for his consideration.