Massachusetts Changes Guidance on Use of Paid Time Off Accruals During Paid Family & Medical Leave

By: HUB's Absence Management Team

UPDATE: Massachusetts has made changes to its most recent guidance on the use of paid time off accruals to top off Paid Family and Medical Leave (PFML) benefits.

Overview

Prior to November 1, 2023, the Massachusetts PFML law did not allow employees to use any accrued paid time off benefits (PTO) to supplement their MA PFML benefits while out on leave. In October of 2023, Massachusetts passed legislation to change this effective November 1, 2023. At that time, the MA Department of Family and Medical Leave (DFML) issued guidance about the new rules. The Massachusetts DFML has now issued new guidance, some of which is in direct contrast to the previous guidance. An overview of the changes to this guidance is provided below.

Updated Guidance

The guidance issued in October gave employees the sole discretion as to whether or not they would use their PTO benefits to supplement their MA PFML benefits up to their Individual Average Weekly Wage (IAWW). Examples of such policies, include, but are not limited to: vacation time, paid sick leave, combined PTO, unlimited PTO, and holiday pay.

The new guidance states that the employer’s PTO policies determine whether or not an employee can use those benefits to supplement their MA PFML, provided that the policies do not discriminate against an employee for exercising a right to which such employee is entitled to under the PFML program.

This new guidance is provided in the MA PFML FAQs for Employees about Topping off PFML Benefits.

Next Steps

Employers should review their policies for PTO, vacation, sick time, and other accrued time off benefits to determine whether or not employees can use this time to supplement their MA PFML benefits. If employers have concerns about whether or not their current or future policies discriminate against employees for exercising a right to which they are entitled to under the PFML program, they should consult with legal counsel.

NOTICE OF DISCLAIMER
Neither Hub International Limited nor any of its affiliated companies is a law or accounting firm, and therefore they cannot provide legal or tax advice. The information herein is provided for general information only and is not intended to constitute legal or tax advice as to an organization’s specific circumstances. You should consult an attorney, accountant, or other legal or tax professional regarding the application of the general information provided here to your organization’s specific situation in light of your organization’s particular needs.