Using the Time to Care Act for Maryland’s Fall Planning

Fall planning is upon us and we want to make sure in addition to your thoughts around annual business strategies you are including the Time to Care Act Maryland HR regulation that will be impacting most organization in October.

What Is It?
On June 1, 2022, Time to Care Act of 2022 (TTCA) for Maryland took effect. The law establishes an insurance program where Maryland employers and employees, as well as self-employed individuals, contribute to a fund with rates that are determined by the Maryland Department of Labor. The Act allows an employee to take 12 weeks of paid leave for any medical or family emergency. An employee may take an additional 12 weeks of paid leave in certain circumstances.

What Is The Implementation Timeline?
Starting as of Oct. 1, 2023, self-employed individuals, employers, and employees contribute to the Time to Care Act.

Maryland allows covered individuals to submit claims for these employee benefits beginning on Jan. 1, 2025.

How Does This Impact Me?
Employers should be mindful of the following:

• Employers with 15 or more employees will be required to contribute to the Time To Care Act Fund.
• Employees, employers, and self-employed individuals may begin contributing to the Fund as of July 1, 2025.
• Beginning on July 1, 2026, employees taking leave under the Time to Care Act Maryland will be paid a partial wage replacement based on a range of $50 to $1,000 per week. The pay scale will vary based on income with lower-income workers receiving the highest portion of their income, up to 90%.

Since the Time to Care Act for Maryland will be phased in incrementally over the next two years, employers should take time now to plan and prepare, become familiar with the TTCA’s benefits scheme, and project the potential additional costs that the TTCA will impose on them. Employers also may want to plan for the effect the TTCA may have on existing leave policies and bargaining agreements.

How Can KatzAbosch Help?
Our sister company, BlueStone Service’s outsourced HR team will be closely monitoring developments on this matter and are happy to discuss the program and process with you further. They are also ready to assist organizations with their development of existing leave policies and procedures from revising handbooks to providing HR compliance check-ups.

To learn more about their services, please click here.

Your KatzAbosch representative can introduce you to the BlueStone Services Outsource HR team leader, Karen Warthen for a deeper conversation on how they may help you. They can also support you with forecasting the potential additional costs that the TTCA may impose on your organization’s bottom line and help you prepare for them in advance. If you are not a current KatzAbosch client and would like to receive support on this matter for your organization, please call 410.828.2727 or contact us.

updated 10/23/2024