Substitute paid family and medical leave bill narrowly passes second House committee

Yahoo

20-02-2025

This marks the fifth time lawmakers have proposed a version of paid family and medical leave. Supporters pictured in 2024, when the bill died on the House floor. (Photo by Megan Taros for Source New Mexico)
A bill that would codify paid family and medical leave for almost all New Mexico employees passed its second committee Wednesday on a 6-5 vote after 40 tense minutes of public comment and a failed motion to table the bill.
A substitute version of House Bill 11 — whose sponsors include President Pro Tempore Mimi Stewart and House Speaker Javier Martínez, both Albuquerque Democrats — advanced through the House Commerce and Economic Development Committee on a mostly party-line vote, with just Rep. Marian Matthews (D-Albuquerque) voting against it
Sponsors put forward the substitute, now called the Welcome Child and Family Wellness Leave Act, after hearing concerns about the potential financial impact on employers and employees.
If passed, HB 11 would provide 12 weeks of paid leave for new parents and six weeks of paid leave for people with serious health conditions or those acting as family caregivers. The bill would also provide $3,000 per month for three months to one of the child's parents immediately after the child's birth or adoption.
This is the fifth time in five years that lawmakers have attempted to pass a version of the legislation.
The substitute bill would require employers and employees at businesses with more than five employees to pay a percentage of their wages into a fund for the family wellness leave component of the program. Employers and employees would pay a 0.15% and 0.2% premium, respectively. This would amount to about $1 per week for employees, sponsors Rep. Christine Chandler (D-Los Alamos) and Rep. Linda Serrato (D-Santa Fe) said during Wednesday's hearing.
The parental leave component, under the substitute bill, would be funded instead by the New Mexico Early Childhood Education and Care Department. This lowers the cost for employers and employees, Chandler said.
Rep. Derrick Lente (D-Sandia Pueblo) said the bill holds particular importance given the negative impact President Donald Trump's executive orders on immigration and federally funded agencies could have on New Mexico's labor force.
'I bring that up because, as it relates to this matter, statistics show that the lack of this type of benefit — the paid family medical leave type of benefit — impacts people of color, women and marginalized communities the most,' Lente said at the hearing.
House Minority Leader Gail Armstrong (R-Magdalena) said she had concerns that the bill would take away decision-making abilities from employers about their own paid-leave protocols. She also said she would push for the bill to go through the appropriations process.
Lobbyists and community members filled the committee room and some watched the hearing from their phones outside. Public comment — limited to 10 people from inside the room and four from the hallway per side — began with a flurry of people in opposition rushing to line up. Committee Chair Doreen Gallegos (D-Las Cruces) used her gavel to quiet the crowd.
Audience members in opposition of the bill, including some business owners and restaurant workers, cited concerns about financial implications and a lack of employees to fill in for others who are on leave.
Carla Sonntag, president and CEO of the New Mexico Business Coalition, said the organization had received 219,000 emails in opposition to the bill over the past three weeks.
'You talk about businesses not having to pay the employee when they're out, but they're gonna have high costs,' Sonntag said during the hearing. 'They've got to replace that labor.'
Debate later ensued about whether the proposed premiums for employers and employees are considered taxes.
Audience members in favor of the bill shared their personal struggles without having access to paid family and medical leave. Some business owners pushed back against the idea that the bill would negatively impact them.
District 1 Santa Fe City Councilor Alma Castro, who is also a small-business restaurant owner, said New Mexico small businesses would benefit from the passage of the bill.
'We have to choose between a paycheck and taking care of our loved ones,' Castro said during the hearing. 'Paid family leave isn't just about workers, but it is about small businesses like mine that can thrive.'
After the discussion, Armstrong moved to table the bill, which failed. And before the vote, Gallegos addressed the audience.
'I know that half the room is gonna be happy with the outcome and the other half is not,' Gallegos said. 'I'm gonna ask that we remember decorum and there will be no commotion.'
The bill now heads to the House floor, where a version of the bill died last year.