On Jan. 1, 2025, New York became the first state in the country to offer paid time off for prenatal care or any medical care related to pregnancy. In her efforts to make New York one of the most worker friendly states in the nation, Gov. Kathy Hochul stayed true to her commitment to make sure that all pregnant New Yorkers can receive the care that they need.
New York state Labor Law Section 196-b has now been amended to provide employees with 20 hours of paid leave time per year, in addition to any other available leave options, to be used for prenatal health care service appointments during their pregnancy or related to their pregnancy.
What is the paid prenatal leave benefit?
PPL covers health care services received by employees during their pregnancy or related to such pregnancy, including, but not limited to, physical examinations, medical procedures, monitoring, testing and discussions with a health care provider related to the pregnancy. PPL also applies to fertility treatment or care appointments, including IVF, and end-of-pregnancy care. PPL does not apply to post-natal or postpartum care.
While utilizing PPL, employees must be paid at the employee’s regular rate of pay, or the appropriate minimum wage appropriate for the applicable occupation as established by New York’s labor law, whichever is greater. If employees earn the tipped minimum wage, they must be paid the full minimum wage for their region for any PPL taken.
This benefit must be used in hourly increments. If employees stop working for their employers without using all their PPL, their employers are not required to pay the employees for any unused PPL hours.
PPL is a separate employee benefit from New York State Sick Leave (paid or unpaid). Prenatal health care appointments may be covered by the state’s sick leave, PPL, or an existing employer’s leave policy. An employer cannot require an employee to choose one leave type over another or require an employee to exhaust one type of leave before using PPL. PPL is a stand-alone benefit available to employees seeking prenatal health care services.
Who is eligible for PPL?
Eligible employees include all those full-time and part-time employees, including those who are overtime exempt, working for private-sector employers. Private-sector employers include persons, corporations, limited liability companies, or associations employing any individual in any occupation, industry, trade, business, or service, regardless of part-time status, and overtime exempt status. All private-sector employers are covered regardless of their size.
Federal, state, or local government employees are not covered by this law. Employees of nonprofit organizations are covered by this law.
PPL may only be used by the employee directly receiving prenatal health care services—spouses, partners or other support persons are not eligible for this leave.
How does an eligible employee receive PPL?
This benefit is automatic—meaning that an employee does not need to accrue PPL. There also is no minimum time worked requirement for employees. An employee must be allowed to use PPL when requested until all 20 hours of such leave have been used.
Employees do not need to—and employers cannot ask employees to—disclose confidential and personal information about their health condition(s) or the nature of their prenatal appointments when requesting to use PPL. Employees do not have to submit medical records to utilize this benefit. Retaliation and/or discrimination against any employee for using PPL is strictly prohibited under the law.
Impact on insurance agents
It is crucial that independent insurance agencies in New York state take measures to ensure compliance with this law. Initially, it is necessary that they comply with the law by offering the mandated benefits as of the effective date of the law to all pregnant employees. Additionally, they might need to update their internal policies and procedures surrounding employee benefits to include paid prenatal leave in addition to any other benefits the company provides.
Like sick leave, and other types of leave, business owners may want to start by discussing this new benefit with their payroll service providers. Should any questions remain about employer obligations and an employee’s rights, it is always best to seek counsel knowledgeable in this area.
Staying up to date on laws such as these is essential for independent insurance agents to ensure legal compliance, reduce the risk of lawsuits and maintain a positive work environment. By adhering to current regulations, agents can avoid costly fines and penalties, manage employee benefits effectively and foster a fair and inclusive workplace.
For more information on employer obligations in connection with New York’s paid prenatal leave program, see New York state’s PPL Information for Employers website.
Danielle Caswell, Esq.
Danielle Caswell joined PIA Northeast as associate counsel in the Government & Industry Affairs Department in 2023. She earned her bachelor’s degree from New York University and her law degree from Brooklyn Law School with a particular focus on intellectual property, information, and media law. Prior to joining PIA, Danielle was an associate at a law firm in New York City where she focused primarily on intellectual property and entertainment-related transactional and litigation matters.
