Maryland Amends Parental Leave Law to Exempt FMLA Employers

If you’ve ever tried to figure out which leave law applies to your workplace, you already know the feeling: it’s like assembling IKEA furniture
with three missing screws and instructions written by a poet. Maryland just made one piece of that puzzle a lot clearer.

A 2025 amendment to Maryland’s unpaid parental leave law changes who qualifies as an “employer” under the Maryland Parental Leave Act (often shortened
to MPLA or simply Maryland’s Parental Leave Act). The headline: starting October 1, 2025, employers covered by the federal
Family and Medical Leave Act (FMLA) are exempt from Maryland’s separate unpaid parental leave requirements. In other words, if federal FMLA applies to you as an employer,
Maryland won’t make you run a second, overlapping unpaid parental leave program on top of it.

What Changed (Plain-English Version)

Maryland’s amendment updates the definition of “employer” under the Maryland Parental Leave Act to exclude employers who are covered by the federal FMLA
for the current calendar year. That matters because it removes a confusing overlap that could hit companies hovering near the 50-employee threshold.

Before this clarification, a business could have fewer than 50 employees today but still be treated as covered by FMLA (because coverage looks at employee
counts over a specific time period in the current or previous year). At the same time, that same business might still fall into Maryland’s 15–49 employee
range for the state law. Result: compliance headaches, dueling definitions, and HR teams living in spreadsheet purgatory.

A Quick Refresher: Maryland Parental Leave Act vs. Federal FMLA

Federal FMLA (Big Picture)

The federal Family and Medical Leave Act generally provides eligible employees up to 12 weeks of job-protected, unpaid leave for qualifying reasons,
including bonding with a new child (birth, adoption, or foster placement). It applies to covered employers and eligible employees who meet time-worked requirements.

• Employer coverage (common rule of thumb): typically 50 or more employees (based on the law’s thresholds and measurement rules).
• Employee eligibility (common framework): at least 12 months of employment and 1,250 hours worked in the prior 12 months.
• Core promise: job protection + continuation of group health benefits under certain conditions while on leave.

Maryland Parental Leave Act (Who It Was Designed For)

Maryland’s Parental Leave Act is a state law focused on unpaid parental leavespecifically to cover employees at
smaller employers who might not be covered by federal FMLA. The MPLA generally provides up to six workweeks of unpaid parental leave in a 12-month period
for the birth, adoption, or foster placement of a child.

• Employer coverage (Maryland): generally employers with 15 to 49 employees in Maryland for each working day during 20+ workweeks in the current or preceding year.
• Employee eligibility (Maryland): typically 12 months employed and 1,250 hours worked in the prior 12 months (with additional rules about worksite headcount within 75 miles).
• Leave length: up to 6 workweeks unpaid for bonding with a new child.

The amendment doesn’t “take away” federal leave rights. Instead, it draws a clearer line: if you’re already in the federal FMLA bucket as an employer,
you’re not also in Maryland’s unpaid parental leave bucket.

Why Maryland Made This Change

The goal is to reduce overlap and confusionespecially for employers whose headcount fluctuates around 50 employees. Both laws use time-based measurements
(looking at employee counts across workweeks in the current or prior year), and businesses can drift in and out of the “50+” zone. Maryland’s legislature
addressed the “double coverage” possibility by clarifying that FMLA-covered employers are exempt from the state’s separate unpaid parental leave requirement.

Translation: this update is less about changing leave philosophy and more about reducing administrative whiplash. The state wants smaller employers (15–49)
to offer job-protected unpaid parental leave, while employers covered by federal FMLA already have a framework to follow.

Who’s Impacted

Employers Most Likely to Feel the Difference

• Businesses near the 50-employee line that can be considered FMLA-covered due to measurement rules, even if today’s headcount is under 50.
• Multi-site employers where coverage depends on how employees are counted within a geographic radius of a worksite.
• Growing companies that hire rapidly, then stabilizeyour leave obligations should now be easier to categorize year to year.

Employees (What Changes for Workers)

For employees, the real question is: “Do I still have parental leave protections?” In most cases, yeseither under federal FMLA (for eligible employees at covered employers)
or under Maryland’s Parental Leave Act (for eligible employees at covered smaller employers). The key is which law applies, not whether leave exists at all.

If your employer is covered by FMLA, you’re generally relying on FMLA for unpaid job-protected bonding leave (assuming you personally meet eligibility requirements).
If your employer is not covered by FMLA but meets Maryland’s MPLA coverage rules, MPLA may provide up to six weeks of job-protected unpaid parental leave.

Practical Examples (Because Real Life Isn’t a Multiple-Choice Test)

Example 1: The “We Were 54 People Last Year” Employer

Imagine a Maryland employer had 54 employees during 20+ workweeks last year, then downsized to 45 employees this year. Under federal rules, the employer may still be treated as
covered by FMLA for the current year. Before Maryland’s amendment, that same employer might also have looked like a “15–49” employer under the state MPLA,
creating the possibility of overlapping obligations.

Starting October 1, 2025, the rule is clearer: if the employer is covered by federal FMLA for the current calendar year, the employer is exempt from the Maryland Parental Leave Act.

Example 2: The “Steady 30-Employee” Small Business

A company with 30 employees in Maryland that is not covered by federal FMLA remains squarely within Maryland’s Parental Leave Act framework.
Eligible employees may be entitled to up to six workweeks of unpaid parental leave for a new child (birth, adoption, or foster placement),
with job protection and certain benefit-continuation rules.

Example 3: The “Two Locations, Different Headcounts” Scenario

Some businesses have multiple worksites. Eligibility and coverage can hinge on how employees are counted within certain distances from the employee’s worksite.
For employers, this is where mistakes happen: an employee may be eligible at one location but not another, depending on the headcount rules.
The amendment doesn’t erase those nuancesbut it does reduce one kind of overlap (state MPLA stacking on top of federal FMLA).

What Employers Should Do Now (A Practical Compliance Checklist)

1) Re-check whether FMLA covers you for the calendar year

Don’t guess based on today’s headcount. Coverage can depend on employee counts across specific workweeks in the current or prior year.
If you hover around the threshold, build a consistent method to document how you determine coverage each year.

2) Update your leave policies and handbook language

If your policy currently references Maryland’s Parental Leave Act as applicable even when you’re FMLA-covered, revise it. The cleanest approach:
clearly separate (a) federal FMLA leave, (b) Maryland Parental Leave Act leave (only if applicable), and (c) employer-provided paid parental leave benefits (if offered).

3) Train HR and managers on “which law applies” triggers

Managers are often the first to hear about a pregnancy, adoption, or foster placement. Their job is not to play lawyer.
Their job is to route the employee to HR quickly and respond consistently. Provide a short script and a simple decision tree:
“Thanks for letting me knowHR will share leave options and next steps.”

4) Align paid leave benefits and substitution rules

Maryland’s Parental Leave Act allows substitution of paid leave in certain situations (for example, when an employer provides paid leave, the employer may require
or the employee may elect to substitute paid leave for part or all of the parental leave period). Make sure your PTO policy, paid parental leave program, and any short-term disability plan
are coordinated so employees are not ping-ponged between buckets like a caffeinated pinball.

5) Confirm benefit continuation and return-to-work procedures

Under Maryland’s MPLA, covered employers generally must maintain group health coverage during leave and employees generally have job restoration rights,
with limited exceptions tied to preventing substantial and grievous economic injury. Build a consistent process for documenting notices, benefit payments,
and return-to-work steps.

Important: This article provides general information, not legal advice. For specific situations, consult qualified counsel or a knowledgeable HR compliance professional.

What Employees Should Know (Without Needing a Law Degree)

Step 1: Ask “Is my employer covered by FMLA?”

If your employer is FMLA-covered, your job-protected unpaid bonding leave is typically handled through FMLA (if you’re personally eligible).
If your employer is not FMLA-covered and has 15–49 employees in Maryland (and meets the coverage definition), Maryland’s Parental Leave Act may be your route.

Step 2: Check your own eligibility

Both frameworks commonly use similar eligibility benchmarks (such as 12 months of employment and 1,250 hours worked in the prior 12 months), but details and worksite rules matter.
If you’re not sure, ask HR for a written determination.

Step 3: Plan for the “unpaid” reality

These laws generally protect your job, not your paycheck. Many employees bridge the gap using accrued PTO, employer-provided paid parental leave,
short-term disability (where applicable), or other benefits. If your employer offers paid leave, ask how it coordinates with unpaid job-protected leave.

Step 4: Give notice when possible

For foreseeable leave (like an expected due date), give notice as early as your employer’s procedures reasonably require. Early notice helps HR coordinate coverage
and reduces last-minute friction. For surprisespremature births or unexpected placementsdo what you can when you can.

How This Fits with Maryland’s Bigger Leave Landscape

Maryland employers and employees are navigating a growing patchwork: federal FMLA, Maryland’s unpaid parental leave law for smaller employers, and separate state initiatives related to paid family and medical leave programs.
The key takeaway is that Maryland’s 2025 amendment is about the unpaid parental leave law specificallystreamlining it so it doesn’t stack on top of federal FMLA coverage for employers.

If your workplace is also tracking Maryland’s paid family and medical leave insurance program (often discussed as FAMLI), treat it as a separate project with its own timelines and compliance requirements.
Don’t let “paid leave program planning” distract you from correctly administering the unpaid, job-protected leave you must handle today.

FAQ: Quick Answers to Common Questions

Does the amendment mean parental leave is gone in Maryland?

No. It means Maryland’s separate unpaid parental leave law won’t apply to employers already covered by federal FMLA. Eligible employees may still have job-protected bonding leave
under FMLA (if the employer and employee meet federal requirements), or under Maryland’s MPLA if they work for a covered smaller employer.

When does the change take effect?

The exemption for FMLA-covered employers takes effect October 1, 2025.

What if an employer has 15–49 employees but is still FMLA-covered?

That “weird middle zone” is exactly what Maryland clarified. If the employer is covered by FMLA for the current calendar year, the employer is exempt from Maryland’s Parental Leave Act.

Do employers need to give paid parental leave now?

This amendment is about unpaid, job-protected leave obligationsnot a new paid leave mandate. However, many employers voluntarily provide paid parental leave as a recruitment and retention strategy.

What should an employer communicate to employees?

Clear, plain-language messaging helps: what leave options exist, how to request them, how benefits continue, and who to contact. The goal is fewer surprises, fewer disputes, and fewer “Wait, who told you that?” moments.

Conclusion: A Small Legal Edit with Real Operational Payoff

Maryland’s amendment may look like a simple definitional tweak, but it solves a very real problem: overlapping parental leave obligations for employers that fluctuate near the FMLA threshold.
Starting October 1, 2025, FMLA-covered employers are exempt from the Maryland Parental Leave Act’s separate unpaid parental leave requirement. That clarity should make policies cleaner,
reduce compliance risk, and help HR teams spend less time decoding coverage rulesand more time helping employees actually navigate leave with confidence.

Experiences Related to the Change (Real-World Patterns Employers and Employees Recognize)

When people hear “a state amended the definition of employer,” eyes can glaze over faster than a donut at a staff meeting. But on the ground, this kind of change shows up in everyday experiences
the kind that determine whether leave feels supportive or stressful.

One common employer experienceespecially among growing businessesis the “headcount roller coaster.” A company hires aggressively, crosses 50 employees, then reorganizes, consolidates teams,
or loses a contract and drops below 50. HR is left answering questions like: “Are we still an FMLA employer?” and “Do we also owe Maryland’s six-week unpaid parental leave?” That uncertainty
can lead to over-compliance (offering leave under both programs just to be safe), or under-compliance (accidentally denying job-protected leave because the team assumed coverage disappeared with layoffs).
The Maryland amendment helps reduce that panic by making one part simple: if you’re covered by FMLA for the year, you’re not also administering Maryland’s separate unpaid parental leave law.

Another real-world pattern is the employee experience of “I just want to know what I’m allowed to do.” People planning a birth or adoption are already juggling doctor visits, home prep, childcare waitlists,
and the emotional whirlwind of becoming a parent. Adding legal uncertainty is like tossing a flaming baton into a juggling act. In practice, employees often don’t care whether their leave is labeled
“FMLA” or “MPLA”they care whether their job is protected, whether benefits continue, whether their manager will respect the time off, and whether they can afford it. Clearer employer rules tend to produce
clearer employee communication, which reduces stress at exactly the time families don’t need extra stress.

HR teams also report that the hardest conversations are rarely about the leave itselfthey’re about coordination. For instance: “Can I use PTO during parental leave?” “Will my health insurance stay active?”
“What happens if the baby comes early?” or “I’m adopting and the placement date moved upwhat do I do now?” A well-run leave program answers these quickly with written steps, not mystery.
The best experiences usually involve three ingredients: (1) a single point of contact (so employees aren’t bounced between payroll, benefits, and supervisors), (2) a checklist-style process with dates and forms,
and (3) manager training that emphasizes empathy and consistency. Even a great policy can fail if a manager casually says, “We don’t do that here,” when the law (or company policy) says otherwise.

There’s also a practical “coverage” experience employers talk about: smaller teams feel the absence more acutely. In a 25-person company, six weeks of leave can be a big operational hit.
Employers who handle this well tend to plan earlycross-training teammates, setting temporary coverage expectations, and documenting handoffs. Interestingly, many report a silver lining:
coverage planning often uncovers outdated workflows and single-person knowledge bottlenecks. In that sense, parental leave becomes a forcing function for better resilience, not just a legal obligation.

Finally, employees often describe the return-to-work experience as the make-or-break moment. Leave might be legally protected, but the culture around return matters:
Is the employee restored to an equivalent role? Are they punished informally with fewer opportunities? Are flexible arrangements discussed respectfully?
Employers who want the “we support families” message to be more than a poster on the wall tend to schedule a return-to-work check-in,
confirm job duties in writing, and ensure benefits/payroll transitions are correct on the first paycheck back (because nothing says “welcome back” like a payroll error… said no one ever).

In short, Maryland’s amendment is one of those policy shifts that can quietly improve the lived experience of leave administrationless overlap, fewer contradictory rules, and more room for organizations to focus on
what actually matters: helping employees take legitimate time to welcome a child without fearing they’ll lose their job or benefits in the process.