HB 695 - Paid Family and Medical Leave Insurance Program

• Establishes a family and medical leave insurance program administered by the Department of Labor and Industrial Relations, with payroll contributions beginning January 1, 2027 and benefits beginning January 1, 2028.

• Provides eligible employees up to 12 weeks of family leave per application year for birth, adoption, foster care placement, caring for family members with serious health conditions, military caregiver leave, domestic abuse, or qualifying military exigencies.

• Provides eligible employees up to 26 weeks of medical leave per application year for their own serious health condition, with weekly benefits calculated as a percentage of average weekly wage (capped at state average weekly wage).

• Requires employers with 5+ employees to contribute 100% of payroll contributions determined by the department; employers with fewer than 5 employees contribute 50%; employees may be required to contribute up to 50%.

• Includes protections against retaliation, requires job restoration and health benefits continuation upon return from leave, and establishes a family and medical leave trust fund for program administration.