Parental and Family Leave Act
Origin: Rhode Island State Legislature
Bill Name/Number: Temporary Caregiver Insurance Bill (HB 5889)
Link: Click here
Summary: Passed in 2013, Rhode Island became the third state in the country to offer paid and protected family
leave for all workers. The law went into effect last year.
Talking Points & Important Information:
• Otherwise known as the Temporary Caregiver Insurance (TCI) bill, this law was the first law of its kind in the U.S.
to protect the job security of all employees needing to take leave to care for a new child, a seriously ill family
member, or personal illness. It ensures that workers can take up to four weeks of protected family leave paid
through by a wage replacement fund paid into by state taxes.
• Family Values Work, a driving force behind Rhode Island’s initiative, found that more than 70 percent of children
in Rhode Island live in families with all parents working, so loss of income for a primary breadwinner and
caregiver has significant economic consequences for the whole family. Many families cannot afford to have one
parent miss work to care for a family member, and studies show that many bankruptcies happen after a worker
misses two of more weeks of work due to illness.
• Similar paid family leave insurance programs in California and New Jersey have proven popular among business
owners. A 2011 study of California’s family leave insurance (FMLI) program estimated savings for employers
at $89 million a year. The program has been easy to implement and most California employers coordinate their
own benefits with the state’s FMLI program. A recent Rutgers study shows that New Jersey’s FMLI program has
reduced costs by decreasing turnover and improving productivity. By offering workers job protection, Rhode
Island’s TCI bill helps increase employee retention and keep working people in their jobs.
• Though innovative, Rhode Island’s family leave is the most modest in terms of benefit amount. For a recent
comparison of the three states, check out this article from the Washington Post.
2015 POLICY BOOK
STATE
INTRO
LEVEL
PAGE 63