Are you complying with PMLA (Michigan Paid Medical Leave Act)?

This act, effective March 29, 2019, requires Michigan employers with 50 or more employees to provide certain employees with paid medical leave for personal or family health needs. Employers that offer at least 40 hours of paid leave time per year are presumed to already be in compliance with this Act, provided the guidelines specified below are followed.

Employees that are not required to accrue paid medical leave include: employees exempt from overtime under the Fair Labor Standards Act; part time employees (those who worked 25 hours or less per week on average in the preceding calendar year); an individual employed by an employer for 25 weeks or less in a calendar year for a job scheduled for 25 weeks or less; and employees who primarily work outside of the State of Michigan. All other employees must accrue paid medical leave according to one of the following options:

Option 1: Employees must accrue paid medical leave at a rate of one hour of paid leave per 35 hours worked, up to 40 hours per year. An employee’s hours worked does not include hours taken off from work for paid leave (including vacation, personal leave, and paid time off) unless otherwise indicated by the employer. Paid medical leave must begin to accrue on the effective date of this law or upon the eligible employee’s start of employment, whichever is later. Employers are not required to allow an eligible employee to accrue more than one hour of paid medical leave in a calendar week. Employers are not required to allow employees to carry-over more than 40 hours of unused accrued paid medical leave from one benefit year to another benefit year.

Option 2: Employers may provide at least 40 hours of paid medical leave to an eligible employee at the beginning of a benefit year. For eligible employees hired during a benefit year, employers may prorate paid medical leave. Employers are not required to allow employees to carry-over any of that paid medical leave to another benefit year.

Employees must be paid for the medical leave at their regular hourly wage and employers are not required to include overtime, holiday, bonuses, commissions, supplemental pay, piece-rate pay, or gratuities in that calculation.

Employers must allow eligible employees to use paid medical leave for:

• an employee or family member’s mental or physical illness, injury, or health condition
• reasons relating to domestic violence and sexual assault
• reasons relating to public health emergencies

The Act defines family member as a spouse, child, parent, sibling, grandparent, or grandchild.  Call UAP if you need more information.