HB 2767 Summary

• Establishes a family and medical leave insurance program in Arizona beginning January 1, 2025, funded through equal employer-employee payroll contributions determined by the Industrial Commission of Arizona.

• Provides eligible covered individuals up to 26 weeks of paid leave for serious health conditions and up to 24 weeks for birth/adoption, caring for family members, military qualifying exigencies, or safe leave due to domestic violence, sexual violence, abuse, or stalking.

• Weekly benefits calculated as 90% of average weekly wage for lower earners, with a tiered formula for higher earners, capped at $1,000 per week initially (adjusted annually to 90% of state average weekly wage) and minimum of $100 per week.

• Prohibits employer retaliation against employees exercising leave rights, maintains health insurance coverage during leave, and guarantees job restoration to equivalent position upon return; violations subject to civil lawsuits with damages up to treble the actual economic damages plus attorney fees.

• Requires employers to provide written notice to employees at hire and annually regarding leave rights and benefits; allows self-employed individuals to elect optional coverage for minimum three-year periods.