Bill to Allow Early Application for Paid Family Leave and Disability Insurance Benefits on its Way to the Governor’s Desk
For immediate release:
September 6, 2024
Contact:
Katie Wutchiett, kwutchiett@legalaidatwork.org 415-593-0064
Katie Duberg, katie@workfamilyca.org, 443-844-8320
Bill to Allow Early Application for Paid Family Leave and Disability Insurance Benefits on its Way to the Governor’s Desk
Sacramento, California - SB 1090, authored by Senator María Elena Durazo (D-Los Angeles), is on its way to the Governor’s desk for his signature or veto this month. The bill would allow workers to apply for Paid Family Leave (PFL) and State Disability Insurance (SDI) benefits up to 30 days prior to the start of their leave so that families can receive benefits sooner and confirm their benefit rate and eligibility before going on leave from work.
California’s Paid Family Leave (PFL) and State Disability Insurance (SDI) programs provide critical support to working families by allowing workers to receive income when they cannot work because of their health, because they are bonding with a new child, or because they are caring for a seriously ill loved one or dealing with a military exigency. The programs directly address many social determinants of health. Paid leave is proven to improve long-term health outcomes for parents and children, decrease stress for caregivers and new parents, encourage equitable co-parenting[1], and reduce income volatility.[2] The programs are entirely employee-funded through a payroll contribution into the DI fund. Beginning in 2025, lower-to-middle income workers will receive up to 90% of their regular income from PFL and SDI, making it more affordable for workers to take the leave that they need, so this is a critical time to make the programs more accessible.
“My SB 1090 will make it easier for Californians to access these critical benefits at the times in their lives when they need the most support,” said Senator Durazo. “No one should have to wait to apply until their hands are full with a new baby or they are at the hospital recovering from major surgery,” she continued.
The current PFL and SDI application processes require Californians to take a leap of faith by going onto unpaid leave for several weeks or more without confirmation of whether they will be approved for PFL and SDI benefits and how much money they will receive. This is because workers cannot apply for PFL or SDI benefits until the first day of their qualifying leave, even though their employers may require them to provide 30 days notice of an anticipated leave. For workers with lower incomes – who disproportionately identify as women, are born outside of the United States, are Black or Latinx, and are increasingly older adults – missing several weeks of wages prior to confirmation of benefits is simply not an option.
“No one should have to choose between money for rent and groceries and spending those first weeks with their new baby, recovering from a surgery, or caring for their sick loved one.” said Katherine Wutchiett, Senior Staff Attorney at Legal Aid at Work. “While our state leads the way in providing paid family and medical leave in many respects, this is an area where the SDI and PFL programs have not been serving California families as well as they can be, with the most harm landing on folks who live paycheck to paycheck. With benefit rates increasing to 90% in 2025, this change is more important than ever.”
“SB 1090 is a small change that will have a huge impact for working Californians,” said Katie Duberg, Political Organizing Director at California Work & Family Coalition. “It is incredibly stressful for Californians to go out on leave without knowing when or if they will receive necessary income from Paid Family Leave and Disability Insurance benefits. When workers know in advance that they will need to be on leave from work to bond with a new baby, or for their own or a family member’s illness, they should be able to submit their application for Paid Family Leave or Disability Insurance in advance.”
[1] The Paid Family and Medical Leave Opportunity: What Research Tells Us About Designing a Paid Leave Program that Works for All, Georgetown Center on Poverty and Inequality (July 2019), https://www.georgetownpoverty.org/wp-content/uploads/2019/08/Georgetown_PLUS-PaidFamilyMedicalLeaveOpportunity-20190804.pdf
[2] Paid Medical Leave Research, What We Know and What We Need to Know to Improve Health and Economic Well-being in the United States, Washington Center for Equitable Growth, (April 30, 2020), https://equitablegrowth.org/research-paper/paid-medical-leave-research/?longform=true
