Vermont

Vermont Voluntary Paid Family and Medical Leave (VT FMLI)

Vermont Voluntary Paid Family and Medical Leave (VT FMLI)

The State of Vermont is sponsoring a Paid Family Leave Plan (VT FMLI) which began for their state employees only on July 1, 2023.

Vermont’s plan is voluntary and will roll out in phases expanding to private employers and other government workers starting July 1, 2024. VT FMLI allows employers to choose to offer coverage providing paid family and medical leave benefits to their workers.  Individuals who do not have access through their employer’s program can also purchase coverage for both paid family leave and paid medical leave with benefits starting July 1, 2025.

Coverage Options:

  • Fully Insured plans and self-funded plan administration will be available for Vermont employers.
  • Individual FMLI coverage will be specific to the insurance carrier.

Job Protection: The VT FMLI coverage does not include job protection. Under federal and state family and medical leave laws, an eligible employee has a right to job-protected leave and the employer can decide by policy whether to pay the employee during that leave. When applicable, a worker should request leave under Vermont’s unpaid Parental and Family Leave and the federal Family and Medical Leave Act (FMLA).

Benefits: 
Group Insurance:

  • Duration: at least 6 weeks paid leave plus a 7-calendar day unpaid elimination period per benefit year
  • 60% wage replacement up to the applicable Social Security taxable wage maximum
  • Flexibility within parameters set by the Vermont Insurance Department

Absence Reasons:
PFL:

  • Child bonding within the first year of birth or placement if adopted or through foster placement
  • Care for a family member with a serious health condition
  • Military exigency or to care for a service member with a serious injury or illness
  • Military caregiver leave to support the eligible employee when the service-member’s spouse, son, daughter, parent or next of kin has a serious injury or illness due to their military service

PML:

  • Workers own serious health condition

Cost/Premiums:

  • Employers will be individually underwritten based on their Vermont covered workers. Covered payroll will be capped at the federal Social Security Administration wage base, which may change annually.
  • Individual FMLI coverage will be specific to the insurance carrier. 

Key Dates:
July 1, 2024 – Private businesses and other government employers may purchase coverage
July 1, 2025 – Family & Medial Leave Insurance for individual participants (State’s program provider only)

As of April 8, 2024

What is Paid Family & Medical Leave?

Materials

Vermont PFML Statutory Leave Benefit Guide View