More than 10,000 Vermonters are covered by the state’s voluntary paid family and medical leave program. Governor Phil Scott provided an update Wednesday.
In December 2022, the state of Vermont began offering paid family and medical leave insurance benefits to state employees. The program later expanded to allow private businesses and their employees to enroll. This year, self-employed individuals were included, as well.
Governor Scott, a Republican, said a crucial aspect of the program is that it is voluntary.
“The voluntary approach was important as a balanced way to provide paid leave for those who need it with taxpayer’s ability to pay for it,” Scott asserted. “And with the affordability crisis we continue to face a notched in approach allows flexibility for those who don’t need it or want the coverage while allowing those who do with options for employers and individuals.”
The state’s paid family and medical leave program provides partial income replacement for employees who need time away from work. It allows employers to design a plan that fits their workforce.
The program is administered by The Hartford insurance company. Absence Management Group Director Kim Rudeen said participation through the early stages of the program has been encouraging.
“The paid leave that is offered through this program helps reduce financial stress, allowing individuals to focus on recovery or caregiving,” Rudeen said. “For employers, offering paid leave can enhance engagement, increase retention and promote overall workforce well-being.”
During his weekly briefing Wednesday, Scott was asked why the voluntary plan is better than a universal family and medical leave proposal the legislature had considered.
“It gives us an opportunity to try this out and see where the needs are. We’re going to be struggling I think financially, budget, budgetary concerns throughout the next few years as some of the federal money dries up. So I think if we’d gone with the legislative plan it would put too much pressure on our already stressed budgets,” Scott said. “Again, I want to stress a voluntary plan I think will work for us to test drive it and in the future that may evolve into something else.”
