Tax credit sought for businesses offering family leave

Tax credit sought for businesses offering family leave

(Shutterstock)


Save Story
Leer en español

Estimated read time: 2-3 minutes

This archived news story is available only for your personal, non-commercial use. Information in the story may be outdated or superseded by additional information. Reading or replaying the story in its archived form does not constitute a republication of the story.

SALT LAKE CITY — Rep. Rebecca Edwards, R-North Salt Lake, seeks to pass House Bill 278, which would create a tax credit to businesses that offer paid family and medical leave to employees.

A 2017 Pew Research Center study found broad support for paid leave from Americans. Most Americans say they would take off time from work for family or medical leave, however not all can do so. Only about 13 percent of American workers, mostly high-income, had access to paid family leave. Consequently, many employees did not take time off. According to the study, 72 percent of those employees who did not take leave cited financial reasons behind their decision.

Expanding paid family and medical leave is "incredibly important," according to Edwards, the bill's sponsor. "For the past few years, I've served as the co-chair of the Women in the Economy Commission. We have studied the role of women in the economy and where the barriers are." One of those barriers is lack of support for childcare and family. "Paid family leave is one of those benefits that really makes a difference for families."

The bill would create a tax credit of 3 percent of the wages paid to the employee taking leave. The credit would be available to all qualifying businesses in Utah that provide at least two weeks paid family leave for full-time employees. This leave would include care for serious health concerns in the family, military family leave and time to bond with a new child through birth or adoption.

Nickie Nelson, with the League of Women Voters in Utah, expressed mixed feelings about HB278. "The League of Women's Voters does not support tax credits because they impede the basic purpose of a fair tax," she said. "But it's hard for the League because this tax credit supports our other positions." Supporters in the Pew Research study had concerns about funding as well. Most of those surveyed that expressed support of paid medical and family leave said that employers, rather than the government, should carry the cost.

Edwards said that this bill would help both families and employers. She said HB278 would "promote economic prosperity for Utah families by supporting continued employment and income for workers when they need to take limited time off. … This provides an opportunity for employers to support families while still growing the economy."

HB278 is currently in committee and can be followed on the Utah State Legislature's website.Carrie Rogers-Whitehead is the CEO of Digital Respons-Ability. In addition, she is a college instructor and co-owner of Wizarding Dayz. Carrie is an advocate of STEAM, education and equitable access. She can be reached at carrie@respons-ability.net

Most recent Utah stories

Related topics

UtahPolitics

STAY IN THE KNOW

Get informative articles and interesting stories delivered to your inbox weekly. Subscribe to the KSL.com Trending 5.
By subscribing, you acknowledge and agree to KSL.com's Terms of Use and Privacy Policy.

KSL Weather Forecast