The federal Family Medical Leave Act (FMLA) is by far the most asked about topic on MRA’s HR Hotline with so many nuances, rules, and regulations. Some states also have their own leaves and eligibility requirements to consider, however, this answer addresses the eligibility of employers as it relates to the federal FMLA.
Q. When does an employer become a covered employer under FMLA?
A. An employer needs to employ 50 or more employees for a minimum of 20 workweeks in the current or previous calendar year. The day a company hires its 50th employee does not mean it needs to start complying with FMLA. A business needs to comply with FMLA when it employs 50 employees for at least 20 weeks in a year. These 20 weeks do not need to be consecutive, just in the same year. Keep in mind that public agencies and public and private elementary and secondary school employees are covered regardless of the number of employees.
Q. Okay, now how about who is considered an employee for the purposes of determining an organization’s FMLA eligibility?
A. The following employees should be considered.
- Any employee whose name appears on the employer’s payroll—full-time or part-time.
- Employees on paid or unpaid leave (including FMLA, leaves of absence, and suspension) are employees.
- Temporary workers who were employed through an outside agency are counted during any work week in which the temporary worker worked a full week.
Employees who are on a layoff are not counted as employees, regardless of whether the layoff is temporary or permanent.
Q. Once we meet the threshold for 50 employees in 20 workweeks, if the number of employees goes below 50, are we no longer a covered employer under the FMLA?
A. This is a common follow up question often heard on the Hotline. No, it doesn’t work like that. Here’s an example:
Bob’s Boxes Inc. hits the threshold of 50 employees on staff for 20 workweeks in July 2020. Bob’s Boxes then drops to 44 employees in September 2020 and continues to be below 50 employees the rest of the year. The company is still a covered employer throughout calendar year 2021 because they met the 20-workweek threshold in the preceding calendar year (2020).
Q. What does an employer covered under FMLA need to do?
A. There are some actions employers should take once they become a covered employer.
- First, FMLA posters need to be placed in a common area of the company.
- Also, an FMLA policy should be in place.
- Lastly, the employer needs to start administering FMLA for their employees who are eligible.
FMLA is being used more and more by employees. If your organization’s numbers are lingering around the 50-employee mark, it is recommended to watch your headcount closely and to be prepared for becoming a covered employer.
Need more information? MRA’s website has toolkits, articles, forms, checklists, sample letters, and guides covering the ins and outs of FMLA. Or you can always call an HR pro on the Hotline at 800.488.4845, or email [email protected].
Read the full issue.
