Beginning January 1, 2025, all employers with 10 or more employees were required to enroll in the Delaware Paid Leave plan unless an approved private benefit plan was in place. Employers with 10 or more employees that do not provide the mandated benefits either through the Delaware Paid Leave plan or an approved private plan will face fines. Covered employers must register for LaborFirst, the state’s system for managing Delaware Paid Leave. Employers who want a private plan exemption can do so through the LaborFirst portal.
Additionally, contributions to the Delaware Paid Leave plan were required to be assessed beginning January 1, 2025. Employers who share the cost of the plan with their employees were required to begin collecting employee contributions from their employees’ paychecks starting January 1. Employers’ quarterly contributions are collected retroactively, 30 days after each quarter ends (on the same schedule as unemployment insurance).
For 2025 and 2026, the contribution rates are 0.4% of wages for medical leave benefits, 0.08% of wages for family caregiving benefits, and 0.32% of wages for parental leave benefits.
Also starting January 1, 2025, employers were required to prominently display a workplace poster in a visible area of their business. This poster must be available in English, Spanish, and any other language spoken as a first language by at least 5% of the workforce.
All employers subject to Delaware Paid Leave should carefully review the related FAQs and ensure they are meeting the contribution and poster requirements.