NC S564

Establishes a paid family leave insurance program in North Carolina effective January 1, 2022, with benefits beginning January 1, 2023, funded through employer payroll contributions to a new Paid Family and Medical Leave Fund.

Provides up to 18 weeks of paid leave for serious health conditions, 12 weeks for newborn/adoption/foster care or caring for family members with serious health conditions, and 26 weeks for military family care, with benefits replacing 90% of wages up to the state average weekly wage and 50% of wages above that threshold.

Covers employees meeting monetary eligibility criteria, self-employed individuals who elect coverage, and requires employers to notify employees of their rights; prohibits retaliation for exercising leave rights and requires job restoration upon return from leave.

Employer contributions begin January 1, 2022, with rates set by the Assistant Secretary of the Division of Employment Security based on sound actuarial principles; employees can be charged no more than 50% of contributions.

Allows intermittent or reduced leave schedules, requires the Division to establish claims procedures and maintain confidentiality, and mandates annual reporting to the General Assembly on program participation, premium rates, and fund balances beginning January 1, 2024.