Mainebiz

W W W. M A I N E B I Z . B I Z 17 N OV E M B E R 1 3 , 2 0 2 3 L AW / P O L I C Y says he struggles to find replacements when someone is out sick or retires. "If we don't produce, we don't get paid," he laments, "and how can you pro- duce with no help? We need people now." Similarly at DiMillo's, where the restaurant staff has shrunk to 112 from 200 before the pandemic, Steve DiMillo worries about the possibility of staff tak- ing time off for "questionable" reasons under the new law, and the cost that he'll have to bear for a "very expensive program with rich benefits," as he told lawmakers in May. "My wife and I are generous people," helping an elderly neighbor for years, DiMillo says now. "We didn't take any time off. We just figured it out." e reform, and heightened concerns about what it may mean for staffing, comes as Maine unemployment contin- ues to hover near record lows. e jobless rate, at 2.7% in September, has been below 4% for 22 consecutive months, the third- longest timeframe of such low rates. Balance and inclusiveness Among the law's supporters, Kate Beever of Maine Music & Health says the law is "incredibly important for families who are struggling to balance their lives as caretakers." To employers still railing against the changes, she says, "As business owners, we need to balance our concerns about the bottom line with concerns about the future of the state." Gia Drew, executive director of Portland-based nonprofit EqualityMaine, also champions the new program, deeming the provisions to be of critical importance for lesbian, gay, bisexual, transgender and queer (LGBTQ+) individuals, who are heavily reliant on their chosen families and face unique challenges because of their sexual orientation from health disparities to employment insecurity. "e broad family definition will benefit all workers, given the diversity of family structures here in Maine," Drew said in her testimony. "e evidence is clear: paid family and medical plans like this one work. ey will improve the health of Mainers across genera- tions, add stability to our workforce, and reduce the stress on families." What the experts say Regardless of where employers stand on the new law, it's on the books and change is coming. "As with any new program, there are learning curves and unknowns that go along with ensuring compliance," says Amy Harkins, of Falmouth-based KMA Human Resources Consulting. Her firm has fielded client concerns over the time it may take to adminis- ter and manage, and around the risk of employees manipulating or taking advantage of the program. "Our recommendation, as with any new program, is to establish easy-to- understand guidelines and ensure every- one involved is thoroughly educated on the process, the potential pitfalls and the areas where the confusion may be great- est," she says. Maria Fox, a partner with Portland law firm Murray, Plumb & Murray, says, "We are advising employers to begin reviewing their policies now in anticipa- tion of the new law, so there is time to consider and prepare for the impact and be ready to answer employees' questions." Verrill's Alvarez suggests that employers calculate their 2025 payroll now and add 1% to the total, as well as update leave policies to comply with the new law. "ey [employers] should also be considering operationally the effect that absences of certain team members for 12 weeks could have on the operations and how they will supplement the workforce if necessary," Alvarez says. at's easier said than done for small businesses already starved for workers. Renee Cordes, Mainebiz senior writer, can be reached at rcordes @ mainebiz.biz Many employers look at it as a tax that employees and employers are forced to bear even though not all employees will take advantage of the benefit. — Tawny Alvarez Verrill F O C U S Tawny Alvarez, a partner at Portland- based law firm Verrill, urges Maine employers to calculate their 2025 payroll cost now and add 1% to the total in preparation for the tax set to take effect at the start of that year. P H O T O / T I M G R E E N WAY

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