The New Jersey DOL has yet to issue regulations implementing the new Paid Family Leave Law, but the DOL has posted some additional information on its website for employers. The DOL advises employers that:

  • Beginning January 1, 2009 you will be required to withhold 0.09% (0.0009) of your employees’ taxable wages as defined in the Unemployment Compensation Law.
  • The taxable wage figure for 2008 is $27,700; the actual 2009 figure will be available after September 1, 2008.
  • The withholding rate increases to 0.12% (0.0012) beginning in 2010.
  • You will report the wages and deductions and submit payment with Form NJ-927, Employer’s Quarterly Report.
  • In lieu of the state plan, you may choose to provide self-coverage or arrange to have your employees covered by a private insurance carrier. Both of these alternatives require prior approval by the Division of Temporary Disability Insurance.
  • Governmental employers are advised that even if you have chosen not to elect coverage for benefits during your employees’ own disability under the New Jersey Temporary Disability Benefits Law, there is no such exemption for Paid Family Leave.

To view the DOL guidance, click here.

To view a detailed fact sheet on the Paid Leave Law prepared by Ogletree Deakins, click here.