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Paid Family Leave Laws Expanding in 2026 and Beyond: How Employers Can Prepare

Across the country, more states are expanding or preparing to launch paid family and medical leave (PFML) programs. While current benefits vary by location, major changes are scheduled in multiple states between 2026 and 2028, including new benefit launches, longer leave durations, expanded definitions of family, and increased wage replacement rates.

With paid family leave laws evolving in 2026, it's crucial to conduct a comprehensive labor law compliance audit to ensure your business aligns with the lates requirements. Explore how in our Labor Law Compliance Audit Guide.

In this post, we outline the motivation behind these changes, what’s coming next in states that have already passed paid leave laws, as well as voluntary programs, alternative proposals being considered in other parts of the country and key features employees need to keep an eye on. 

Why the Push for More Paid Family Leave?

Though there’s no federal mandate for paid family leave, many states are acting independently to fill that gap. According to the Center for American Progress, 13 states (plus D.C.) already have PFML laws in effect, with more states joining in coming years. In four of these states, benefits are not yet active but will be available by 2028.

Factors driving this expansion:

  • Growing public demand for paid leave benefits
  • State-level ballot measures and legislation
  • The competitive need for employers to offer family-friendly benefits

States with Paid Leave Programs Rolling Out by 2028

Maryland

  • Benefits begin: January 2028
  • Premium contributions begin: January 2027
  • This follows multiple legislative delays since the program was first enacted.

Colorado

  • Beginning January 2026, families with babies in the Neonatal Intensive Care Unit (NICU) will be eligible for up to 24 weeks of paid leave, double the standard duration.

Rhode Island: Multiple Changes Coming by 2028

Rhode Island has enacted a series of improvements set to roll out over the next three years:

  • 2026: The definition of “family member” will expand to include siblings for caregiving purposes.
  • 2027: Wage replacement will increase to approximately 70% of a worker’s average wages.
  • 2028: Wage replacement will further increase to approximately 75%.
  • The contribution wage base will rise from $89,200 to $100,000.

These changes are designed to make the program more generous and inclusive.

Washington State: Expanded Job Protection Coming in 2026

A new law in Washington State expands job protection for workers using paid leave:

  • Effective January 2026
  • Workers will be eligible for job-protected leave after just 180 days with their current employer.
  • This replaces the stricter prior requirement: 12 months of employment, 1,250 hours worked, and a minimum company size of 50 employees.

This shift significantly increases the number of workers who will qualify for job protection while using paid leave.

Illinois: New Leave and Break Time Requirements

  • Paid Breaks for Nursing Mothers (Effective January 1, 2026):
    Employers must compensate nursing mothers at their regular rate of pay for break time used to express breast milk. Employers may not require the use of other paid leave for this time.

  • Family Neonatal Intensive Care Leave (Effective June 1, 2026):
    Employers with 16 or more employees must provide unpaid leave for parents with a child in neonatal intensive care:

    • Up to 10 days for employers with 16–50 employees

    • Up to 20 days for employers with 51+ employees

    • Health benefits must be maintained during the leave, and employees must be reinstated to their position or an equivalent role upon return.

Delaware: Potential Policy Change Under Review

Delaware is currently conducting an actuarial study to assess changing its unique policy structure:

  • Delaware currently allows workers to take up to 12 weeks of paid leave within a 24-month period (unlike most states, which use a 12-month window).
  • The state is evaluating the impact of shifting to a 12-month benefit window, which may better align with national norms and increase program accessibility.
  • A final decision is expected after the study concludes, potentially leading to program updates beyond 2026.

Voluntary Paid Leave Programs: New Hampshire & Vermont

New Hampshire and Vermont offer voluntary paid family and medical leave programs- unlike other states, these programs are not mandatory and do not guarantee coverage for all workers.

  • New Hampshire:
    • State employees are automatically covered.
    • Private employers and workers can opt in by purchasing paid leave insurance.
  • Vermont:
    • Offers a similar voluntary insurance model.
    • No statewide paid leave guarantee for workers.

These programs may evolve, but as of now, neither state has implemented a mandatory, statewide paid leave law.

Upcoming State Paid Family and Medical Leave Changes (2026–2028)

State

Change

Effective Date

Colorado

NICU families can receive up to 24 weeks of paid leave

January 2026

Rhode Island

Definition of “family member” expands to include siblings; Contribution wage base increases from $89,200 -$100,000

2026

Washington

Job protection eligibility expands to employees with 180+ days tenure

January 2026

Delaware

Actuarial study on reducing benefit window from 24-12 months

Ongoing (decision TBD)

Maryland

Premium collection begins/ 

Paid leave benefits begin statewide

January 2027 January 2028

Illinois

Paid Breaks for Nursing Mother

January 2026

New Hampshire

Voluntary program with guaranteed state employee coverage

Ongoing

Vermont

Voluntary Insurance Model: opt-in leave program for private sector

Ongoing

Hawaii

Working group formed to develop paid leave recommendations

Study underway

New Mexico

Proposed: $3,000/month “Welcome Child Benefit” & Family Wellness Leave

Not passed (may return)

Kentucky

Proposed: Employers (50+) required to offer 12 weeks paid leave

Not passed

Nevada

Passed legislature; vetoed by Governor

Not enacted

 

States Considering Future Paid Leave Programs

While no additional states have passed new programs as of 2025, some are actively studying or proposing future options:

Hawaii

  • Legislators enacted a bill to form a working group to develop recommendations for implementing a statewide paid leave program.
  • Future legislation may emerge based on the group’s findings.

New Mexico

  • Proposed a two-part benefit system:
    • “Family Wellness Leave” (up to 6 weeks): Covers caregiving, bereavement, foster care transitions, and more.
    • “Welcome Child Benefit”: Would provide $3,000/month for 3 months after a child’s birth or adoption.
  • Although this bill did not pass, elements could reappear in future sessions.

The Future of Paid Family and Medical Leave: A Shifting Landscape

While a comprehensive nationwide paid family and medical leave program has yet to be realized, many states are taking significant steps to close the gap. Across the country, legislation and program enhancements are shaping a more supportive environment for workers and families.

Key trends include:

  • Enhancing benefit duration and increasing wage replacement rates, making paid leave more financially accessible for low- and middle-income workers

  • Expanding eligibility and job protections to cover more employees, including part-time workers, newer hires, and those in smaller organizations

  • Preparing for program launches and major updates through 2028, with several states rolling out benefits or expanding existing programs in the coming years

These developments reflect a growing commitment to building a more inclusive, equitable, and robust paid leave system that better meets the needs of today’s workforce. Employers, policymakers, and HR leaders should closely monitor these changes to ensure compliance and remain competitive in a benefits-driven labor market.

Paid family leave expansions highlight the need to navigate complex federal and state labor law differences; discover what you need to know in our comprehensive federal vs state comparison.

Key provisions employers should watch

When reviewing paid family leave laws for 2026, employers need to understand the following elements:

 Contribution / Funding Mechanisms: Who pays (employer, employee, or split) and when withholding begins

•  Eligibility Criteria: Service duration, earnings threshold, and state-specific rules

•  Benefit Amounts & Caps: Wage replacement percentage, maximum payouts

•  Job Protection & Return Rights: Guarantee of reinstatement or comparable position

•  Coordination with FMLA / Other Leave: How state leave works with federal FMLA, local sick leave, etc.

 Recordkeeping & Reporting: Documentation, audit requirements, and reporting to state agencies 

Prepare Now for the Future of Paid Family and Medical Leave

As more states expand their paid family and medical leave programs- and others move closer to implementation-employers must stay ahead of the curve. With new benefit rollouts, eligibility expansions, and wage replacement changes on the horizon through 2028, now is the time to review your policies, update payroll systems, and educate HR teams on upcoming requirements.

Don’t wait until deadlines arrive-start preparing today to ensure compliance, support your workforce, and stay competitive in attracting and retaining talent.

Need help getting ready? Stay informed and consider consulting legal or HR professionals to build a compliant leave strategy that works for your business. While paid family leave continues to grow across the country, it’s part of a wider wave of employment law reforms that impact nearly every industry. To better understand how these changes connect and what steps you should take now be sure to explore our main guide to Navigating Labor Law Changes: Key Updates.


How to Conduct a 2026 Labor Law Compliance Audit: Step-by-Step Guide