Maryland’s New Employment Laws: What They Mean for You
Timelines, Exemptions, and Responsibilities Explained
By Wesley Leatherman, Senior Business Development Specialist
Paid Family and Medical Leave Program Delayed Again
What changed: Contributions now begin January 1, 2027 (instead of July 2025), and benefits will be available between January 1, 2027, and January 3, 2028.
Impact on employers:
More time to prepare payroll systems and decide whether to use private insurance plans.
Must monitor annual contribution rate changes (starting at 0.9% of covered wages in 2026).
Impact on employees:
Delay in access to up to 12 weeks of paid leave for qualifying reasons.
Maximum weekly benefit remains $1,000 until end of 2028.
New terms like “anchor date” and “application year” clarify eligibility and wage calculations.
Unpaid Parental Leave Clarification
What changed: Employers covered by the federal Family and Medical Leave Act (FMLA) are now exempt from Maryland’s Parental Leave Act (MPLA).
Impact on employers:
Reduces confusion and dual compliance burdens for those with 50+ employees.
Must carefully track headcount across years to determine coverage.
Impact on employees:
Ensure consistent leave entitlements without overlap.
Employees at smaller firms (15–49 workers) still eligible for 6 weeks unpaid parental leave under MPLA.
Expanded Protections for Service Members
What changed: Maryland broadened its Employment and Insurance Equality for Service Members Act to include all uniformed services and added new leave entitlements.
Impact on employers:
Must offer leave for employees whose immediate family members deploy or return from overseas duty.
Required to provide hiring preferences to eligible veterans and their spouses.
Impact on employees:
Greater job protection and recognition for military families.
Eligible employees can take leave for deployment-related family events if they’ve worked 1 year and 1,250 hours in the prior 12 months.
Next Steps for Employers:
Review and update leave policies to reflect new exemptions and timelines.
Communicate changes clearly to employees, especially around eligibility and benefits.
Track employee counts and service member status to ensure compliance.