California Paid Family Leave (PFL)

Paid Family Leave claims began to flow into the Employment Development Department in the middle of 2004 in expectation of the benefits which would be payable as of 7/1/04. The EDD geared up in the new Fresno office to process and pay the PFL claims. We have now seen six months of claims activity, and the state has just provided us with the following overview of activity:

• Approximately 90K claims have been received since 7/1. This averages out to an annual count of 180K vs the initial prediction of 300K.
• Approximately $144 million in PFL benefits were paid in the first six months. That calculates out to $280 million annually compared to the original estimate of $377 million.
• The average weekly benefit was $405 in 2004, up 13% from the previously predicted $358 per week.
• The average weekly claim duration is running at slightly above 5 weeks.
• Of the total claims filed, 90% were for baby bonding, and 10% were to care for an ill family member
• At the end of the first six months of the PFL program, 85% of the claims have been for females.

Matrix is in the process of compiling its’ first six months of data, across all Voluntary Plan clients. Watch this space in the next few weeks to see how our experience compares with the state.

Pamela D. Porter, CPDM

Deputy Director DMEC
Matrix Absence Management, Inc.- Account Manager/Technical Consultant

 

[For information on how Matrix can administer an Integrated Employee Benefits program for your company, contact Rick Bernstein.]