Massachusetts Updates PFML, UI and Workers’ Compensation for 2025

Massachusetts has announced several updates to its Paid Family and Medical Leave (PFML), Unemployment Insurance (UI), and Workers’ Compensation programs for 2025.

Paid Family and Medical Leave (PFML) Updates

  • Contribution Rates: For employers with 25 or more employees, the total contribution rate remains at 0.88% of eligible wages. This rate is divided between employee payroll withholdings and employer contributions. Employers with fewer than 25 employees must remit contributions at 0.46% of eligible wages.
  • Maximum Weekly Benefit: Effective January 1, 2025, the maximum weekly benefit amount increases from $1,149.90 to $1,170.64.

Unemployment Insurance (UI) Updates

  • System Modernization: The Department of Unemployment Assistance (DUA) is implementing a multi-phase Employment Modernization and Transformation (EMT) project to enhance the UI system. The first phase, launched on September 12, 2023, introduced improved functionalities for employers and third-party administrators. The second phase, focusing on claimant-facing services, is scheduled for 2025.
  • Employer Contributions: Projections indicate a gradual increase in unemployment taxes paid by employers to sustain the UI Trust Fund, with the unemployment rate expected to reach 3.7% in 2025.

Workers’ Compensation Updates

  • Rate Adjustments: The Workers’ Compensation Rating and Inspection Bureau of Massachusetts (WCRIBMA) submitted a rate filing on November 15, 2024, recommending a 7.1% increase in average rates for industrial classes and a 3.7% decrease for F-Classes. The proposed effective date for these changes is July 1, 2025.
  • Assessment Rates: The Executive Office of Health and Human Services (EOHHS) updates the assessment percentage annually by October 1. Employers should consult the latest EOHHS publications for current rates.

These updates reflect Massachusetts’ commitment to supporting workers and employers through evolving economic conditions. Employers are encouraged to review these changes in detail to ensure compliance and to manage their workforce policies effectively.

Our Boston workers’ compensation attorneys at Jeffrey Glassman Injury Lawyers stay ahead of the curve by actively monitoring changes in Massachusetts workers’ compensation laws and regulations. Our team regularly participates in legal seminars, engages with industry updates, and collaborates with professional organizations to ensure we are well-versed in the latest developments. This commitment to staying informed allows us to provide our clients with cutting-edge legal strategies and ensure compliance with all current requirements. By understanding the nuances of evolving workers’ compensation policies, we are better equipped to secure the maximum benefits our clients are entitled to, helping them recover from workplace injuries with confidence and peace of mind.

Sources:

https://www.mass.gov/

https://www.wcribma.org/

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