Starting July 1, 2026, the Maryland Family and Medical Leave Insurance (FAMLI) system will allow full time, seasonal or part time employee (excluding independent contractors) to take time away from work to care for themselves or a family member for up to 12 weeks and still be paid up to $1,000 a week for up to 12 weeks. Employers may require workers to provide 30 days’ notice for foreseeable leave. For leave that is unexpected, employers may require workers to give notice as soon as is practicable. An employer must hold a worker’s position while they are on FAMLI leave and the worker should return to the same or an equivalent position.
Regulations applicable to FAMLI are subject to change. The FAMLI Division will post updates to https://paidleave.maryland.gov/Pages/default.aspx and has provided FAQ’s:
- All Frequently Asked Questions from Employers
- Frequently Asked Questions from Employers about Contributions
- Frequently Asked Questions from Employers about Claims
- Frequently Asked Questions from Employers about Private Plans
Covered employers are employers who pay a salary or wage to at least one person who works in Maryland. There are no exemptions and workers cannot opt out of participating. Employer may select a commercial private plan or participate in the State program. Employers in the State Plan will not be charged more depending on worker usage.
For employers with 15 or more workers opting for the State plan, the rate will be 0.90% of covered wages up to the Social Security cap. Employers may pay for the entire cost — though there may be tax implications for doing so — or collect up to half of the contribution rate from workers. For employers with 15 or less workers the rate is 0.45% of covered wages. Private plans may be structured differently, set the own rates, and set their own deductions. Workers cannot be charged more in a private plan than they would be through the State Plan.
An employee will be eligible for benefits after working at least 680 hours in positions based in Maryland in the 4 calendar quarters reported before they need to take leave. FAMIL can be used:
- To welcome a child into their home, including through adoption and foster care
- To care for themselves, if they have a serious health condition
- To care for a family member’s serious health condition
- To make arrangements for a family member’s military deployment
C2 will complete all compliance requirements:
- Spring 2025: select a private plan or participation in the State plan
- Spring 2025: sign up to receive emails from the FAMLI Division at paidleave.maryland.gov
- Spring 2025: complete web-based registration with State for all qualified employers (portal address pending)
- After registration all employers will automatically be enrolled in the State Plan
- Employers can alternatively explore private plans
- May 01, 2025 (if using private plan): portal opens to submit application to the State of intent to use private plan (portal closes May 31, 2025)
- July 1, 2025 (if using State plan): commence employee/employer payroll deductions and
then quarterly remittance to the State through a dedicated web application (currently under construction which will accommodate third-party administrators).
- October 1, 2025 (if using State plan): commence payments & reporting to the state program
- January 1, 2026: Notify workers of the benefit through required labor posters and updated handbook content (drafts to be provided by the State)
- July 1, 2026 (if using a private plan): commence employee/employer payroll deductions
- July 1, 2026 onward: provide notice and applicable State website to file claims to affected employees experiencing a qualifying event (samples notices will be provided the FAMLI Division)
- July/Aug 2026 (if using a private plan): first payment is due with the July invoice
The FAMLI Division will electronically notify employers when a worker files a claim. The employer will have 5 business days to respond. The employer can tell the Division to proceed with processing the claim or provide additional information about the claim.
Interaction With Maryland’s Required Paid Sick Leave
Per the Division’s FAQ, Maryland paid sick leave under the Maryland Healthy Working Families Act, for which employees earn 1 hour for every 30 hours worked up to a maximum of 40 hours in a year, is for “everyday colds” and routine illness. FAMLI is for battling a serious illness.