[Congressional Record (Bound Edition), Volume 154 (2008), Part 5]
[Extensions of Remarks]
[Page 6598]
[From the U.S. Government Publishing Office, www.gpo.gov]




         INTRODUCING THE ``FAMILY LEAVE INSURANCE ACT OF 2008''

                                 ______
                                 

                        HON. FORTNEY PETE STARK

                             of california

                    in the house of representatives

                        Tuesday, April 22, 2008

  Mr. STARK. Madam Speaker, I rise today with Representatives George 
Miller, Lynn Woolsey, and Carolyn Maloney to introduce a bill that will 
bring our Nation up to date with the rest of the world. One hundred and 
sixty-nine countries guarantee some form of paid family leave. The U.S. 
is part of an illustrious four-member club of nations--including 
Liberia, Papua New Guinea, and Swaziland--that fail to provide security 
for new parents or those caring for a loved one. The ``Family Leave 
Insurance Act'' will guarantee that workers will no longer have to 
choose between their jobs and their families.
  Since becoming law 15 years ago, the landmark Family and Medical 
Leave Act, FMLA, has provided job protection and guaranteed leave for 
millions of workers. Unfortunately, the FMLA is limited to workers 
employed by large employers--only 45 percent of the private sector 
workforce--and, because the leave is unpaid, lower income workers can 
seldom afford to take it. Recent studies have found that 78 percent of 
FMLA eligible workers who wanted to take leave did not do so because 
they could not afford it. At a time of recession and tightening family 
budgets, this predicament is only getting worse.
  A few years ago, my home State of California enacted the first paid 
family leave law in the country. The law has proven to be wildly 
popular. Despite the protests of business groups at the time the law 
was passed, most employers have come to embrace the law and realize 
that it facilitates continuity, productivity, and job satisfaction. 
Paid leave helps workers to strike a balance between work and family. 
Such a balance has real benefits for children. A Harvard School of 
Public Health study found that the education and health of children 
improves substantially when parents have work flexibility and paid 
leave. When parents are able to act as caregivers for a sick child, 
hospital stays are reduced by 31 percent. Parental involvement is also 
associated with higher achievement in language and math, improved 
behavior, and lower dropout rates.
  The ``Family Leave Insurance Act'' takes the next logical and 
necessary step by implementing a comprehensive paid leave program that 
will cover all workers. The middle class is getting squeezed: hours are 
longer, job security is lower, and families have less time together. A 
report by the President's Council of Economic Advisers found that 
between 1969 and 1999 children lost 22 hours per week with their 
parents. Workers and their families need greater flexibility and 
support. Yet, according to the Department of Labor, only 8 percent of 
private employers provide paid leave. Clearly, there is room for 
improvement. This bill will:
  Provide all workers with 12 weeks of paid leave over a 12-month 
period to care for a new child, provide for an ill family member, treat 
their own illness, or deal with an exigency caused by the deployment of 
a member of the military;
  Provide these benefits through a new trust fund that is financed 
equally by employers and employees, who will each contribute 0.2 
percent of the employee's pay;
  Progressively tier the benefits so that a low-wage worker (earning 
less than $30,000) will receive full or near full salary replacement, 
middle-income workers ($30,000-$60,000) receive 55 percent wage 
replacement, and higher earners (over $60,000) receive 40-45 percent, 
with the benefit capped at approximately $800 per week;
  Administer the program through the Department of Labor which will 
contract with states to administer the program (similar to how the 
Unemployment Insurance program is run);
  Allow states and businesses with materially equivalent or better 
benefits to opt-out of the program.
  The ``Family Leave Insurance Act'' is endorsed by the National 
Partnership for Women and Families, the AFL-CIO, the California Labor 
Federation, Voices for America's Children, First Focus, and the 
National Employment Law Project.
  Members of Congress are constantly talking about family values. Let's 
go beyond talk and take action that families will actually value. I 
urge my colleagues to cosponsor the ``Family Leave Insurance Act.'' We 
can strengthen families, make business more competitive, and create a 
better future for our country. The time to act is now.

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