Socio-Economic Benefits of the FMLA
The Family and Medical Leave Act, passed by Congress and signed into law in 1993 by President Bill Clinton, provides unpaid leave from a job for family-related matters, such as a birth or an illness. Since the law's passage, studies have examined its socio-economic effects. One of the chief findings is that the law has increased access to maternity and family leave.
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Features
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The Family and Medical Leave Act (FMLA) provides workers with up to 12 weeks of unpaid leave for the birth or adoption of a child, the care of a sick relative, or the employee's own illness. The law exempts businesses with fewer than 50 employees. In addition, FMLA covers only workers with at least 12 months' employment with their present employers. Although the leave mandated by FMLA is unpaid, employers that provide health-insurance coverage must continue to do so while employees take leave.
Misconceptions
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Congressional opponents of FMLA contended that it would unfairly burden small businesses by imposing new regulations and reducing employee productivity. However, a 2007 survey by the Society for Human Resource Management reported that nine out of 10 human resource officers reported that FMLA and its regulations had no noticeable positive or negative effects on their organizations.
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Significance
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One of the FMLA's most significant effects appears to be the expansion of access to maternity and other family-related leave. The Urban Institute, in a 2004 study, found that a growing percentage of workers had access to some kind of maternity, paternity and medical leave. The institute noted, however, that FMLA mandates unpaid leave and that many workers cannot afford to take unpaid leave for a long period of time.
Considerations
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The Urban Institute found that many low-income workers, including single parents receiving public assistance, are less likely to have access to leave than better-paid workers. Many low-income workers may be employed by small firms that are exempt from FMLA provisions. The Urban Institute called the lack of access to leave for welfare recipients troubling, noting that the lack of such work support hampers their ability to move away from public assistance.
Prevention/Solution
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A handful of states, including California, New Jersey and Rhode Island, provide some level of paid maternity leave. The Urban Institute writes that greater access to paid leave or some type of payment during FMLA leave could better ensure that eligible working parents are able to take leave for childbirth or family illness.
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