S 2823119th CongressIn Committee

FAMILY Act

Introduced: Sep 16, 2025

Sponsor: Sen. Gillibrand, Kirsten E. [D-NY] (D-New York)

Labor & Employment

Standard Summary

Comprehensive overview in 1-2 paragraphs

The FAMILY Act would create a federal paid family and medical leave insurance program administered by a new Office of Paid Family and Medical Leave within the Social Security Administration. The program would provide monthly benefits to eligible individuals who take qualified caregiving leave for family or medical reasons, or who have a serious health condition themselves. Benefits are calculated using a formula tied to the individual's earnings and the share of their month spent on caregiving, with a 12-month benefit period that can begin when the individual becomes eligible. The bill defines a broad set of qualifying caregiving reasons (including care for a family member with a serious health condition, one's own serious health condition, and several forms of violence or victimization) and sets rules to coordinate with state leave laws, protect workers from retaliation, and ensure program integrity. An SSA-administered office would handle eligibility, benefit calculations and payments, data sharing, and annual reporting on utilization and demographics. Key economic features include an initial monthly maximums and minimums, wage-indexed growth over time, and an earnings-based formula that turns caregiving hours into a percentage of earnings to determine monthly benefits. The act also includes protections for employment and health benefits during leave, along with enforcement mechanisms for violations. A central goal is to provide paid leave with a funding and administration structure that is federalized but coordinated with existing state programs and employer practices.

Key Points

1Establishes the Office of Paid Family and Medical Leave within the Social Security Administration, headed by a Deputy Commissioner, to administer eligibility, benefit levels, payments, data sharing, and oversight, including annual reports on utilization by gender, race, ethnicity, and income.
2Defines “caregiving hour” and sets a monthly limit on caregiving hours (not to exceed 12 times the individual’s regular weekly work hours) and establishes how an individual’s regular workweek is determined (based on hours worked for all employers or self-employment in the prior month).
3Expands qualifying reasons for caregiving to include:
4- Care for a family member with a serious health condition, or the individual’s own serious health condition.
5- Leave related to domestic violence, dating violence, family violence, sexual assault, or other acts of violence, including related activities such as counseling, relocation, legal proceedings, medical attention, and related supports.
6- A broad list of “qualified family members” and family relationships, plus individuals related by blood or affinity in certain circumstances.
7Provides a detailed benefit framework, including:
8- A monthly benefit rate with a tiered structure (percentages of average monthly earnings) and wage-indexed caps.
9- The amount of the benefit per month (the maximum and minimum benefits) and an indexing method to adjust future-year amounts.
10- A method to compute benefits based on caregiving hours in a month relative to the person’s work hours and the number of weeks in the month.
11Sets a 12-month benefit period (with a retroactive-start option if caregiving began within 90 days before application), and requires specific documentation and certifications for various qualifying reasons.
12Establishes ineligibility and disqualification rules (e.g., pre-existing disability benefits and fraud-related disqualifications) and outlines a process for eligibility determinations and monthly payment reviews, including appeal rights.
13Protects employment and benefits: makes it unlawful to interfere with or retaliate against individuals taking leave, require restoration to a prior position or equivalent employment benefits, and maintain health coverage during leave; includes a framework for civil actions and damages for violations.
14Coordinates with state law: does not preempt state or local paid leave laws and allows employers to provide greater benefits; emphasizes deference to existing employment contracts and benefits where applicable.
15Promotes data sharing and transparency: requires data-sharing arrangements, annual reporting to Congress on databases and feasibility of faster application reviews, and regular public reporting on program usage and demographics.

Impact Areas

Primary group/area affected:- Workers who need paid family or medical leave to care for themselves or family members, including survivors of violence and people with serious health conditions.- Employers and HR systems that would need to administer or adapt to the new federal benefit in coordination with existing state benefits and private plans.Secondary group/area affected:- State and local governments with their own paid leave laws, as the act preserves and coordinates with state programs rather than preempting them.- Health-care providers and victim-services organizations, due to documentation and certification requirements and the broadened list of qualifying reasons related to violence.Additional impacts:- Administration and enforcement: creation of an SSA-based mechanism for eligibility determination, payments, fraud prevention, and appeals, plus annual utilization and demographic reporting.- Economic and labor market effects: introduction of a wage-indexed, caregiving-hour-based benefit could influence labor force participation, caregiving decisions, and gender equity in the workforce; potential cost impacts on payroll systems, employer benefits, and unemployment/workers’ compensation overlapping programs.- Long-term sustainability: benefits and indexing rely on national wage indices and annual updates; the text outlines data needs and feasibility studies to inform ongoing administration and payment timing.

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