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W W W. M A I N E B I Z . B I Z 15 N OV E M B E R 1 7 , 2 0 2 5 L AW / P O L I C Y "Employees should have contributed their share," Woodcock says. "e last thing you want to have is this program putting pressure on an already tenuous fiscal outlook for the state. For a few states, like Washington, this has become an anchor for their state finances." Administration of benefits is past June the state contracted with the insurer Aflac to administer benefits. e program has approved 12 insurance policies that can be used by employers in applying for private plans, should they elect not to go with the state benefits plan. Bracy says the Nonantum hasn't yet made a firm decision on a provider. "But I think we are leaning toward going onto the state's plan since our business and our employees have spent an entire year contributing to this system, and as far as I am aware will not receive reimbursement for that if we opt to use a private plan," Bracy says. How one major employer is approaching the new law Bath Iron Works is one of the state's largest employ- ers with more than 6,900 employees and a complex existing benefits plan. "We have a great deal of experi- ence in this area but still need to work out many details. For a small employer the conflict with federal law and overlapping programs could be very challenging," says David Hench, communications principal for the ship- builder. "ere are still major issues the legislature has chosen to deflect despite Maine businesses having communicated legitimate concerns." How businesses are coping In response to the new law, Alvarez sees many com- panies becoming more lean. "ey're attempting to cut costs both from a payroll perspective as well as from an operational perspective in order to counter-balance the rise in costs in other operational areas," she says. Alvarez says many businesses have been focus- ing on other operational concerns — rising costs of supplies and raw goods, tariffs, workforce devel- opment, employee benefits and health care costs — and have not been able to give the new plan sufficient time and attention. "Unfortunately," she adds, "I believe that this will result in further operational challenges once the law actually takes effect." "In becoming 'leaner' I'm seeing changes in operational hours and/or in service industries, the services that are provided." T i n a F i s c h e r , M a i n e b i z s t a f f w r i t e r , c a n b e r e a c h e d a t t f i s c h e r @ m a i n e b i z . b i z Paid family leave is an important benefit, but Maine's new program presents some real challenges for employers like us. — Colby Marvin Bracy Nonantum Resort F O C U S

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