EBS ART ILS93-1 3/93 PARENTAL LEAVE BEN PROVIDED EMPLOYER TIME-OFF Parental Leave Benefits Provided by Employers Issues in Labor Statistics Summary 93-1 March 1993 On February 5, 1993, President Clinton signed into law the Family and Medical Leave Act of 1993. This law requires many employers to provide workers with up to 12 weeks of unpaid leave for the birth or adoption of a child; illness of a spouse, child, or parent; or employee illness. (See box for more details of the law.) The Bureau of Labor Statistics has collected data for the last several years on the extent and details of employer-provided parental leave benefits. What is parental leave? BLS data on parental leave includes time off from work, either paid or unpaid, for an employee to care for and nurture a newborn or newly adopted child. In general, the employee is guaranteed the same or a comparable job upon return to work. Employer-provided benefits, such as health care, may be continued during the leave period, although the employee may be required to pay the full premium for such coverage. Disabilities related to pregnancy and childbirth, however, are not included in the BLS definition of parental leave. The Federal Pregnancy Discrimination Act requires pregnancy disabilities to be treated the same as any other disability. A female employee can use short-term disability benefits, such as sick leave and sickness and accident insurance, to provide income protection while unable to work during pregnancy and after childbirth. Extent and duration of parental leave Unpaid maternity leave is available to about one-third of full- and part-time employees in private industry and State and local governments. Full-time State and local government employees are the most likely to have such coverage; part-time workers in small private establishments are the least likely. Paid parental leave is rarely available to any workers. Among full-time employees covered by unpaid parental leave, the average duration of benefits varies widely. State and local government employees, on average, are eligible for 1 year of parental leave. Among private sector employees, those in larger establishments are eligible for about 6 months of leave; those in smaller establishments average about 3 months. What the future will bring The Bureau of Labor Statistics is expanding its definition of parental leave to include time-off to care for sick relatives. BLS data will continue to provide a comprehensive look at the exent and details of parental and family leave benefits in the United States. The Family and Medical Leave Act of 1993 entitles eligible employees to 12 unpaid workweeks of leave during any 12-month period for three reasons: Birth or placement for adoption or foster care of a child; serious health condition of a spouse, child, or parent; and serious health condition of an employee. Leave may be taken on an intermittent or reduced basis for the birth or adoption of a child, if the arrangement is agreed to by the employer. Leave for employee or family illness may be taken on an intermittent or reduced basis, if medically necessary, without the employer's approval. Employees are eligible if they have worked at least 12 months for a given employer and have worked at least 1,250 hours during the 12 months prior to requesting leave. Excluded are employees who work for an employer who employs fewer than 50 people within a 75-mile radius of the employee's worksite. Coverage applies to private establishments, Federal, State, and local governments, and Congress. There is no requirement for paid leave under the law. However, an employee who completes a period of leave must be returned to the same position held before the leave, or to a position equivalent in pay, benefits, and other terms and conditions of employment. Employees in the highest paid 10 percent of the employer's workforce may be denied restoration of the same or equivalent position if such restoration would cause "substantial and grievous economic injury" to the employer's business. Health benefits must continue during the leave period "under the same conditions coverage would have been provided if the employee had continued in employment continuously during the duration of such leave." The law takes effect 6 months from February 5, 1993. For employees covered by a collective bargaining agreement, the law takes effect upon the termination of the agreement, but no later than 12 months after February 5. 1993.