Tag Archives: parental leave

Biden Administration, Economic Development, Economic Policies, Education, News & Photo Features

White House: American Families Plan Advances Equity and Racial Justice

President Joe Biden’s American Families Plan will support children, teachers and working families and advance equity and racial justice © Karen Rubin/news-photos-features.com

The White House issued a fact sheet explaining how President Joe Biden’s American Families Plan will support children, teachers and working families and advances equity and racial justice:

On his first day in office, President Biden signed an Executive Order directing the whole of the federal government to advance equity and racial justice. Today, the President announced a historic new set of investments to deliver on his vision of a more equitable America through the American Families Plan. The American Families Plan will help restore the promise of America for communities who have been left behind and locked out of opportunity—investing in teachers and students, empowering workers and their families, and reimagining a tax code that rewards work over wealth. By extending and building upon the provisions of the American Rescue Plan, the American Families Plan would lift more than 10 million people out of poverty in 2022. This means a 29 percent reduction in Black poverty, a 31 percent reduction in Latino poverty, and a 15 percent reduction in Asian American, Native Hawaiian, and Pacific Islander poverty, relative to the projected poverty rate for 2022. Among children, it would reduce poverty by more than 47 percent.
 
President Biden’s American Families Plan will deliver a fairer and more equitable America by:

  • Closing opportunity gaps for low-income children and children of color by providing universal access to preschool, and making quality, affordable child care more accessible across the nation.
  • Investing in educational opportunity for underserved communities by providing two years of free community college for Americans, including DREAMers; making Historically Black Colleges and Universities (HBCUs), Tribal Colleges and Universities (TCUs), and institutions such as Hispanic-serving institutions (HSIs), Asian American and Native American Pacific Islander-serving institutions (AANAPISIs), and other Minority-serving Institutions (MSIs) more affordable; increasing the value of Pell Grants to help more low-income students attend college; and ensuring more students are supported through completion.
  • Empowering teachers by investing in the training and support they need and ensuring more teachers of color can reach the classroom.
  • Creating a right to paid family and medical leave to ensure working parents and caregivers, including workers of color and low-wage workers, can equitably access the time off they need to support their families.
  • Closing gaps in our social safety net to ensure that kids have the nutritious food they need to be healthy and succeed in school.
  • Extending the American Rescue Plan’s historic expansions of the Child Tax Credit, the Earned Income Tax Credit, and the Child and Dependent Care Tax Credit to provide income support and cut poverty among families and workers.

Together, these investments will give millions of children across the country a fair shot at the American dream.

UNIVERSAL PRE-SCHOOL FOR ALL 3- AND 4-YEAR-OLDS
 
Preschool is critical to ensuring that children start kindergarten with the skills and supports that set them up for success in school. In fact, research shows that kids who attend universal Pre-K are more likely to take honors classes and less likely to repeat a grade, and another study finds low-income children who attend universal programs do better in math and reading as late as eighth grade. Unfortunately, most children, and especially children of color and low-income children, do not have access to the full range of high-quality pre-school programs available to their peers. In addition, children with disabilities benefit from inclusive, accessible pre-school programs with their peers, and all children benefit when we create socio-economically diverse Pre-K classrooms where all students thrive. 
 
President Biden’s American Families Plan will:

  • Close opportunity gaps by providing universal pre-school to all 3- and 4-year-olds. President Biden is calling for a national partnership with states to offer free, high-quality, accessible, and inclusive preschool to all 3-and 4-year-olds—benefitting 5 million children. This historic investment in America’s future will first prioritize high-need areas and enable communities and families to choose the setting that works best for them, whether that’s a preschool classroom in a public school, a center, or a Head Start program. The President’s plan will also ensure that all publicly-funded preschool is high-quality with low student-to-teacher ratios, a high-quality and developmentally appropriate curriculum, and supportive classroom environments that are inclusive for all students. The President’s plan will leverage investments in tuition-free community college and teacher scholarships to support those who wish to earn a bachelor’s degree or other credential that supports their work as an educator or their work to become an early childhood educator. And, educators will receive job-embedded coaching, professional development, and wages that reflect the importance of their work. All employees in participating Pre-K programs and Head Start will earn at least $15 per hour, and those with comparable qualifications will receive compensation commensurate with that of kindergarten teachers. These investments will give American children a head start and pave the way for the best-educated generation in U.S. history

 
FREE COMMUNITY COLLEGE AND OTHER POSTSECONDARY INVESTMENTS
 
For much of the 20th century, graduating from high school was a gateway to a stable job and a living wage. But over the last 40 years, we have seen the most growth in jobs requiring higher levels of job preparation, including education and training. Today, 70 percent of jobs are held by people with more than a high school degree. American workers, and especially workers of color, need support to build their skills, increase their earnings, remain competitive, and share in the benefits of the new economy. President Biden’s American Families Plan will:

  • Offer two years of free community college to all Americans, including DREAMers. Community colleges provide educational opportunities for students who are often underserved by four-year universities, including first-generation students, students of color, low-income students, and adult learners. President Biden’s proposal creates a federal-state, -territory, and -tribal partnership that allows first-time college students and workers wanting to reskill to enroll in a community college to earn a degree or credential for free. Students can use the benefit for up to three years and, if circumstances warrant, up to four years, recognizing that many students’ lives and other responsibilities can make full-time enrollment difficult. If all states, territories, and tribes participate, about 5.5 million students would pay $0 in tuition and fees.
  • Provide up to approximately $1,400 in additional assistance to low-income students by increasing the Pell Grant award. Nearly 60 percent of Black, almost half of Latino, half of American Indian or Alaska Native, and more than one-third of Native Hawaiian or Pacific Islander students depend on Pell Grants to help pay for college. But the grant has not kept up with the rising cost of postsecondary education; over the last 50 years, the maximum Pell Grant value has plummeted from nearly 80 percent of the cost of a four-year college degree to just 30 percent — leading millions of low-income students to take out debt to finance their education. The American Families Plan would increase the maximum Pell Grant award by approximately $1,400 and allow DREAMers to access the funding.
  • Increase college retention and completion rates. Just 40 percent and 54 percent of first-time Black and Latino students at four-year colleges and universities, respectively, go on to earn their degree, compared to 64 percent of white students. And overall, just 40 percent of community college students, who are disproportionately low-income and people of color, graduate within 6 years. The President is proposing a $62 billion formula grant program that will provide funding to states, territories, and Tribes to support retention and completion activities at colleges and universities that serve high numbers of low-income students, including wraparound services ranging from child care and mental health services to faculty and peer mentoring; emergency basic needs grants; practices that recruit and retain faculty; transfer agreements between colleges; and evidence-based remediation programs.
  • Provide two years of subsidized tuition and expand programs in high-demand fields at HBCUs, TCUs, and MSIs. Research has found that HBCUs, TCUs, and MSIs are vital to helping underrepresented students move to the top of the income ladder. But despite their record of success, these institutions have significantly fewer resources than other top colleges and universities, undermining their ability to grow and support more students. The President is calling for $39 billion to provide tuition subsidies to low- and middle-income students attending HBCUs, TCUs, and MSIs. The President is also calling for $5 billion to expand existing institutional aid grants to HBCUs, TCUs, and MSIs, which can be used by these institutions to strengthen their academic, administrative, and fiscal capabilities, including by creating or expanding educational programs in high-demand fields (e.g., STEM, computer sciences, nursing, and allied health), with an additional $2 billion funding directed towards building a pipeline of skilled health care workers with graduate degrees. These proposed investments, combined with the $45 billion proposed in the American Jobs Plan targeted to these institutions, will enable America’s HBCUs, TCUs, and MSIs to help advance underrepresented students and make the U.S. more competitive on the global stage.

 
EDUCATION AND PREPARATION FOR TEACHERS
 
Few people have a bigger impact on a child’s life than a great teacher. Unfortunately, the U.S. faces a large and growing teacher shortage. Before the pandemic, schools across the nation needed an estimated additional 100,000 certified teachers, resulting in key positions going unfilled, granting of emergency certifications, or teachers teaching out of their certification area. Shortages of certified teachers disproportionately impact schools with higher percentages of students of color, which  have a higher proportion of teachers that are uncertified and higher shares of inexperienced teachers, exacerbating educational disparities. President Biden is calling for investments to improve the impact of new teachers entering the profession, increase retention rates, and increase the number of teachers of color, all of which will improve student outcomes.
 
President Biden’s American Families Plan will:

  • Address teacher shortages, improve teacher preparation, and strengthen pipelines for underrepresented teachers, including teachers of color. Our country faces a serious teacher shortage problem, which disproportionately impacts students of color. The percentage of teachers in their first or second year of teaching in schools with the highest percentage of students of color is 7 percentage points higher than schools with the lowest percentage of students of color (17 percent vs. 10 percent). The percentage of teachers who are uncertified is more than three times as large (4.8 percent  vs. 1.3 percent). At the same time, while teachers of color can have a particularly strong impact on students of color, around one in five teachers are people of color, compared to more than half of K-12 public school students. These disparities help drive gaps in student outcomes. Strengthening the teacher pipeline and improving teacher preparation, supporting teachers so they stay in the classroom, and investing in the recruitment and preparation of underrepresented teachers will help narrow persistent educational disparities.   President Biden is calling on Congress to invest in America’s teachers, including by doubling scholarships for future teachers from $4,000 to $8,000 per year, which would help underrepresented teachers, including teachers of color, access high-quality teacher preparation programs that best prepare them for the work ahead. The plan also will invest $2.8 billion in Grow Your Own programs and year-long, paid teacher residency programs, which have a greater impact on student outcomes, teacher retention, and are more likely to enroll underrepresented teacher candidates, including candidates of color; and invest $400 million in teacher preparation programs at HBCUs, TCUs, and MSIs.
  • Support the development of special education teachers. There has been a 17 percent  decline in the number of special educators over the last decade. Additionally, while only about half of the students receiving special education services are white, approximately 82 percent of special education teachers are white. The American Families Plan will invest $900 million in personnel preparation funds under the Individuals with Disabilities Education Act (IDEA), funding pathways to additional certifications, and strengthening existing teacher preparation programs for special educators.
  • Help current teachers earn in-demand credentials. Many teachers are eager to answer the call to get certified in areas their schools need, like bilingual education, but are deterred due to the high cost of getting an additional certification. President Biden is calling on Congress to create a new fund to provide more than 100,000 educators with the opportunity to obtain additional certifications in high-demand areas like special education, bilingual education, and certifications that improve teacher performance. This will particularly benefit students with disabilities and English learners.
  • Invest in educator leadership. Millions of teachers – and the students they educate – would stand to benefit from greater mentorship and leadership opportunities. President Biden is calling on Congress to invest $2 billion to support programs that leverage teachers as leaders, such as high-quality mentorship programs for new teachers and underrepresented teachers, including teachers of color.

 
CHILD CARE
 
High-quality early care and education helps ensure that children can take full advantage of education and training opportunities later in life, especially for children from low-income families, who face learning disparities before they even can go to preschool. One study by Nobel Laureate James Heckman found that every dollar invested in a high-quality, comprehensive birth to five program for the most economically disadvantaged children resulted in $7.30 in benefits as children grew up healthier, were more likely to graduate high school and college, and earned more as adults. But we have grave disparities when it comes to child care in our country. One analysis finds that more than half of Latino and Native American families live in child care deserts. Difficulty finding high-quality, affordable child care leads some parents, especially mothers, to drop out of the labor force entirely, some to reduce their work hours, and others to turn down a promotion – leading to lifetime consequences in terms of earnings, savings, and retirement. Lack of affordable child care can be especially challenging for the families of the nearly 7 in 10 Black women who are their families’ primary or sole breadwinners.
 
President Biden’s American Families Plan will:

  • Ensure low- and middle-income families can access affordable child care for children under the age of five. Under the President’s plan, families will pay only a portion of their income based on a sliding scale. For the most hard-pressed working families, child care costs for their young children would be fully covered and families earning 1.5 times their state median income will spend no more than 7 percent of their income on child care for their young children. The plan will also provide families with a range of inclusive and accessible options to choose from for their child, from child care centers to family child care providers to Early Head Start programs.
  • Invest in high-quality care. The last time the U.S. prioritized major, long-term investments in child care was when President Roosevelt signed the Lanham Act to provide free, high-quality child care in an effort to support women going to work during World War II. Not only did it enable women to work, but children who participated experienced long-lasting economic benefits, proving most beneficial for the most disadvantaged children.  Under the President’s plan, child care providers will receive funding to support the true cost of quality early childhood education–including a developmentally appropriate curriculum, small class sizes, and culturally and linguistically responsive environments that are accessible and inclusive of children with disabilities. These investments support positive interactions between educators and children that promote children’s social-emotional and cognitive development.
  • Invest in the care workforce, including the women of color who make up a substantial percentage of the field. More investment is needed to support early childhood providers and educators, more than nine in ten of whom are women and more than four and ten of whom are women of color. They are among the most underpaid workers in the country. The typical child care worker earned $12.24 per hour in 2020, and one report found nearly half rely on public income support programs. The American Families Plan includes a $15 minimum wage for early childhood educators and ensures that those with similar qualifications as kindergarten teachers receive comparable compensation and benefits.

When fully implemented, the President’s plan will provide 3 million children from low- and middle-income families with high quality care, saving the average family $14,800 a year on child care expenses.
 
PAID LEAVE
 
Paid family and medical leave supports workers and families and is a critical investment in the strength and equity of our economy. Paid leave has been found to reduce racial disparities in wage loss between workers of color and white workers, improve child health and well-being, support employers by improving employee retention and reducing turnover costs, and increase women’s labor force participation. However, currently, 95 percent of the lowest wage workers, mostly women and workers of color, lack access to any paid family leave. Sixty-two percent of Black adults and 73 percent of Latino adults are either ineligible for or cannot afford to take unpaid leave, compared to 60 percent of white adults. Additionally, Black and Latina mothers are more likely than white women to report being let go by an employer or quitting their jobs after giving birth in order to have some leave. 
 
President Biden’s American Families Plan will:

  • Create a national comprehensive paid family and medical leave program. Paid family and medical leave can help reduce racial disparities in wage loss between workers of color and white workers. People with disabilities may also have less access to paid leave due to higher rates of part time and low wage employment. The program will ensure workers receive partial wage replacement to take time to bond with a new child, care for a seriously ill loved one, deal with a loved one’s military deployment, find safety from sexual assault, stalking, or domestic violence, heal from their own serious illness, or take time to deal with the death of a loved one. It will guarantee twelve weeks of paid parental, family, and personal illness/safe leave by year 10 of the program, and also ensure workers get three days of bereavement leave per year starting in year one. The program will provide workers up to $4,000 a month, with a minimum of two-thirds of average weekly wages replaced, rising to 80 percent for the lowest wage workers. The plan has an inclusive definition of family, ensuring workers can care for and be cared by a loved one who is not related by blood, which will greatly impact LGBTQ individuals and people with disabilities. We estimate this program will cost $225 billion over a decade.

NUTRITION
 
The pandemic has added urgency to the moral travesty of nutrition insecurity among children, which disproportionately affects low-income families and children of color. No one should have to worry about whether they can provide nutritious food for themselves or their children. A poor diet jeopardizes a child’s ability to learn and succeed in school. Nutrition insecurity can also have long-lasting negative impact on overall health and put children at higher risk for diseases such as diabetes, heart disease, and high blood pressure.
 
President Biden’s American Families Plan will:

  • Expand summer EBT to all eligible children nationwide. The Summer EBT Demonstrations help low-income families with children eligible for free- and reduced-price meals during the school year purchase food during the summer. The American Families Plan builds on the American Rescue Plan’s support for Summer Pandemic-EBT by making the successful program permanent and available to all 29 million children receiving free- and reduced-price meals. Research shows that this program decreases food insecurity among children and led to positive changes in nutritional outcomes.
  • Expand school meal programs. Currently, just 70 percent of eligible schools have adopted Community Eligibility Provision (CEP), which allows high-poverty schools to provide meals free of charge to all of their students—breaking down barriers for students who may be eligible for school meals but may not apply for them due to stigma or not fully understanding the application process. The President’s plan will allow more schools in high poverty districts to offer meals free of charge to all of their students by reimbursing a higher percentage of meals at the free reimbursement rate through CEP. Additionally, the plan will target elementary schools by reimbursing an even higher percentage of meals at the free reimbursement through CEP and lowering the threshold for CEP eligibility for elementary schools. The plan will also expand direct certification to automatically enroll more students for school meals based on Medicaid and Supplemental Security Income data.
  • Facilitate re-entry for formerly incarcerated individuals through SNAP eligibility. Individuals convicted of a drug-related felony are currently ineligible to receive SNAP benefits unless a state has taken the option to eliminate or modify this restriction. Denying these individuals—many of whom are parents of young children—SNAP benefits jeopardizes nutrition security and poses a barrier to re-entry into the community in a population that already faces significant hurdles to obtaining employment and stability. SNAP is a critical safety net for many individuals as they search for employment to support themselves and their families. This restriction disproportionately impacts African Americans, who are convicted of drug offenses at much higher rates than white Americans. 

TAX CUTS FOR AMERICAN FAMILIES AND WORKERS
 
While the American Rescue Plan provided meaningful relief for hundreds of millions of Americans, that is just a first step. Now is the time to build back better, to help families and workers who for too long have felt the squeeze of stagnating wages and an ever-increasing cost-of-living.  Direct assistance to families in the form of tax credits paid on a regular basis lifts children and families out of poverty, makes it easier for families to make ends meet, and boosts the academic and economic performance of children over time.
 
President Biden’s American Families Plan will:

  • Extend expanded ACA premiums tax credits in the American Rescue Plan. Health care should be a right, not a privilege, and Americans facing illness should never have to worry about how they are going to pay for their treatment. No one should face a choice between buying life-saving medications or putting food on the table.  President Biden has a plan to build on the Affordable Care Act and lower prescription drug costs for everyone by letting Medicare negotiate prices, reducing health insurance premiums and deductibles for those who buy coverage on their own, creating a public option and the option for people to enroll in Medicare at age 60, and closing the Medicaid coverage gap to help millions of Americans gain health insurance. The American Families Plan will build on the American Rescue Plan and continue our work to make health care more affordable.  The biggest improvement in health care affordability since the Affordable Care Act, the American Rescue Plan provided two years of lower health insurance premiums for those who buy coverage on their own. With these changes, about three in four uninsured Black adults and nearly four in five uninsured Hispanic or Latino adults are now eligible for low-cost health care. The American Families Plan will make those premium reductions permanent, a $200 billion investment.  As a result, nine million people will save hundreds of dollars per year on their premiums, and four million uninsured people will gain coverage.  The Families Plan will also invest in maternal health and support the families of veterans receiving health care services.
  • Extend the Child Tax Credit (CTC) increases in the American Rescue Plan through 2025 and make the CTC permanently fully refundable. The President is calling for the Child Tax Credit expansion, first enacted in the American Rescue Plan, to be extended.  This legislation expands the Child Tax Credit from $2,000 per child to $3,000 per child six-years old and above, and $3,600 per child for children under six. It also makes 17-year-olds eligible for the first time and makes the credit fully refundable on a permanent basis, so that low-income families—the families that need the credit the most—can benefit from the full tax credit. The expanded Child Tax Credit in the American Rescue Plan will benefit nearly 66 million children, and is the single largest contributor to the plan’s historic reductions in child poverty, including by 52 percent for Black children, 45 percent for Latino children, 37 percent for Asian American, Native Hawaiian, and Pacific Islander children, and 61 percent for Native American children.
  • Permanently increase tax credits to support families with child care needs. To help even more low- and middle-income families, President Biden is calling on Congress to make permanent the temporary Child and Dependent Care Tax Credit (CDCTC) expansion enacted in the American Rescue Plan. Families will get back as a tax credit as much as half of their spending on child care for children under age 13, so that they can receive a total of up to $4,000 for one child or $8,000 for two or more children. The CDCTC will be fully refundable, making the credit more equitable by allowing low-income working families to receive the full value of the credit towards their eligible child care expenses regardless of how much they owe in taxes. This is a dramatic expansion of support to low- and middle-income families. In 2019, a family claiming a CDCTC for the previous year got less than $600 on average towards the cost of care, and many low-income families got nothing.
  • Make the Earned Income Tax Credit expansion for childless workers permanent. President Biden believes our tax code should reward work and not wealth. And that means rewarding workers who work hard every day at modest wages to provide their communities with essential services. Before this year, the federal tax code taxed low-wage childless workers into poverty or deeper into poverty — the only group of workers it treated this way. The American Rescue Plan addressed this problem by roughly tripling the EITC for childless workers, benefitting 17 million low-wage workers, many of whom are essential workers including cashiers, cooks, delivery drivers, food preparation workers, and childcare providers. For example, a childless worker who works 30 hours per week at $9 per hour earns income that, after taxes, leaves them below the federal poverty line. By increasing her EITC to more than $1,100, this EITC expansion helps pull such workers out of poverty. The President is calling on Congress to make this expansion permanent. Extending these changes will give a critical boost in earnings of an estimated 2.8 billion Black, 2.8 million Latino, and 678,000 Asian American workers.


To view this fact sheet in your browser, click here. 

Gender Equity, News & Photo Features, Women's Rights,

International Women’s Day: For Better Gender-Balanced World, Workplaces Need to Offer Maternity Leave, Flexible Work

To achieve true gender parity in the economy and society, employers need to provide paid parental leave and flexible work solutions © Karen Rubin/news-photos-features.com

With studies concluding almost as many women with children (74.1%) participated in the labor force as women without, in 2014, women who are juggling careers and motherhood benefit from flexibility at work the most.  


With women accounting for 40% or more of the total labor force in several countries, flexible working hours, extended maternal leave, breastfeeding rooms, free education and free healthcare are just a few of the ways that countries have adopted to build the best working environments for mothers.

To celebrate International Women’s Day, calling for a better gender-balanced world in the workplace, Instant Offices, a workspace innovation company, looked countries with the most progressive approaches into maternity, and general parental leave around the world, including additional benefits encouraging mothers to be comfortable and engaged at work before, during and after pregnancy. The results: European countries are some of the most progressive for maternity leave and benefits for working mothers.

Countries with the Most Maternity Leave

COUNTRY DAYS WAGES PAID
SWEDEN 480 80%
NORWAY 400+ 80-100%
CROATIA 365+ 100%
UK 365 90%
SERBIA 365 100%

Sweden – Provides 480 days of maternity leave

Sweden offers one of the most progressive working environments for parents, which exceeds international standards. Parents are entitled to up to 80% of their regular pay for 390 of the 480 days of maternity leave provided, while mothers in jobs that require heavy lifting, or more risky work are also entitled to take time off earlier during their pregnancy.

Each parent

  • Receives 240 of 480 days of paid parental leave
  • Is entitled to 90 days exclusively for him or her
  • Has the right to shorten their work hours by up to 25% until the child turns eight (although only being paid for the time worked)

Norway – Offers 49 weeks with 100% pay or 59 weeks with 80% pay

Mastering the art of the work-life balance, the Norwegian Parliament decided to increase the quota of paternity and maternity leave for new parents in 2018. Parents now reive 49 weeks of leave at 100% pay or 59 weeks at 80%

Croatia – Offers a year of paid maternity leave with 100% pay

In addition to a year of being able to bond with your new-born, full paid parental leave is available for 120 days in Croatia.

The country’s protective attitude towards mother’s at work has ensured there are laws in place to ensure:

  • Workers who are expecting are provided with free ante and post-natal medical care
  • Mothers have breastfeeding breaks of over an hour until the child is a year old
  • Workers are protected from dismissals during pregnancy and maternity leave

The UK – Required to offer one year of leave to new mothers

Receiving 90% of their original pay new mothers are legally allowed up to 52 weeks of maternity leave:

  • Ordinary Maternity Leave – first 26 weeks
  • Additional Maternity Leave – last 26 weeks
  • You may be entitled to take some of your leave as shared parental leave, although this must be taken within the first year after your child is born

Serbia

Mothers in Serbia are entitled to 20 weeks of leave at full pay after giving birth, with an additional year after that, however lowering over time:

  • For the first 26 weeks – 100% pay
  • Weeks 27 – 39 – 60% pay
  • Weeks 40 – 52 – 30% pay

On the other end of the scale, some of the countries with the shortest maternity leave/least benefits include:

Philippines – Previously only six weeks, the Philippines has recently extended the law for paid maternity leave to 105 days.

Australia – Although mothers can receive up to 18 weeks of leave, it is paid at the national minimum wage.

United States – The law most women rely on is the Family and Medical Leave Act (FMLA) which protects women’s jobs for up to 12 weeks after childbirth or adoption, however it doesn’t guarantee pay for the time off.

Maternity Leave and the Gender Pay Gap

Research by the National Bureau of Economic Research reveals a sharp drop in women’s earning after maternity leave, with no decrease in salary for men. The study also showed, from the birth of their first child, women end up making 20% less than men throughout their career.

In Denmark, childbearing accounts for 80% of the gender wage gap, as women move to more flexible hours with fewer hours and lower wages once they’ve had children; versus men whose careers go mostly unchanged. 

With many European countries moving towards better equality around parental leave, men are more encouraged to take time off after the birth of their child, and policies which bring more equity to the workforce are growing as a trend.

The Instant Group: Flexible Workspace Specialists

Founded in 1999, The Instant Group is a workspace innovation company that rethinks workspace on behalf of its clients injecting flexibility, reducing cost and driving enterprise performance. Instant places more than 7,000 companies a year in flexible workspace such as serviced, managed or co-working offices including Sky, Network Rail, Capita, Serco, Teleperformance, Worldpay making it the market leader in flexible workspace.

Its listings’ platform Instant Offices hosts more than 12,000 flexible workspace centres across the world and is the only site of its kind to represent the global market, providing a service to FTSE 100, Fortune 500, and SME clients.  With offices in London, Newcastle, Berlin, Haifa, Dallas, New York, Miami, San Francisco, Hong Kong, Sydney, Singapore, and Kuala Lumpur, The Instant Group employs 230 experts and has clients in more than 150 countries. It has recently been included in the 2018 Sunday Times’ HSBC International Track 200.

Inequality, Workers rights

Governor Cuomo Rallies in Long Island for $15 Minimum Wage, Parental Leave

Governor Andrew Cuomo comes to Westbury, Long Island, to rally for raising the minimum wage to $15 and for paid parental leave© 2016 Karen Rubin/news-photos-features.com
Governor Andrew Cuomo comes to Westbury, Long Island, to rally for raising the minimum wage to $15 and for paid parental leave© 2016 Karen Rubin/news-photos-features.com

 

by Karen Rubin, news-photos-features.com

New York State Governor Andrew Cuomo has been crisscrossing the state, rallying support to make New York the first state in the nation to enact a  $15 minimum wage for all workers. He is also pushing a  plan enabling 12 weeks of parental leave – the most of any state. These are  cornerstones of his “Fight for Economic Justice” campaign which he dedicated to his father, the former Governor Mario Cuomo.

On a single day, following rallies in Manhattan and the Bronx, Governor Andrew M. Cuomo traveled by bus to Westbury, Long Island’s “Yes We Can” community center on his “Drive for $15” tour to make his pitch.

The Governor has already secured a phased in hike of the minimum wage to $15 for fast food workers, and in January, announced that the State University of New York will raise the minimum wage for more than 28,000 employees, mirroring the phased-in schedule for fast food workers secured last year, as well as 10,000 State Workers announced in October.

“If you work full time, you shouldn’t have to live in poverty – which is why it’s time for New York to lead the way and pass a $15 minimum wage,” said Governor Cuomo, who secured an increase in the state’s minimum wage for all workers to $9 in 2013. “Raising the minimum wage will provide new opportunity and restore economic justice to millions of New Yorkers. Our proposal will lift families out of poverty and create a stronger economy for all, and I urge lawmakers to help us fight for fair pay for working families this year.”

The “Yes We Can” community center in Westbury was crammed with union workers – particularly health care workers who now average $10 an hour.

The renewed push comes on the heels of Governor Cuomo’s recently released minimum wage report which found that raising the minimum wage to $15 would benefit more than 2.3 million workers and boost direct spending power by more than $15.7 billion in New York State. The Governor is urging the State Legislature to pass his phased-in minimum wage proposal this session.

“This is about fundamental fairness,” Governor Cuomo said. “That’s what this is about – being fair to people, being decent to people, understanding that we are all one community and that we are connected to each other, and as goes one goes all. That’s what this is about: fairness. Fairness. Something happened in this country. Something happened in the economy. It changed on us. It changed about thirty years ago and it’s been getting worse. The economy is running. We’ve worked very hard to create jobs. I’m very proud to be able to say we’ve created more jobs in the state of New York than have ever existed in the history of the state of New York and that’s a beautiful thing.

“That is a beautiful thing, but those jobs are different than the economy used to be. If you have the right skillset, or the right access, and you get one of the jobs up at the top end of the spectrum… millionaires, billionaires are making more than ever before. The top earners are making more money at a faster rate. But that’s a very small slice of the jobs and for the middle class and the working family jobs, the pay is actually going down and the respect and the dignity that goes with those jobs is being devalued by this country in this economy. And that is wrong.”

He said this has been a pattern that has been going on for decades, and not just in New York but around the country: it used to be that workers’ incomes would rise with productivity – which is fair. But that ended in the mid-1970s: since 1973, while productivity has grown by 90 percent, workers’ pay only went up 9%.

“The work – the concept of work – is being disrespected,” he said, invoking the words of a health care worker who depends on government assistance, despite putting in a full week’s work, caring for people who cannot care for themselves.”

The Federal minimum wage is $7. New York raised the minimum wage to $9. but at $9, “the numbers don’t work. $9 is about $18,000 a year. You cannot support a family in the state of New York on $18,000 a year. You cannot do it. You certainly can’t do it and have any decent lifestyle. You can’t do it and pay rent and pay food and pay for clothes. It just doesn’t work.”

People can’t support a family on minimum wage and they certainly cannot get ahead as earlier generations could aspire. That was the American Dream.

“People don’t have that same hope anymore. People don’t believe that anymore. They’re worried about their own retirement. They’re worried about children. They’re worried about their children’s education. If you take that aspiration away from people, then America’s not America and New York’s isn’t New York.”

The solution, he said, is to “restore the dignity, the pride and the aspiration and we pay people a decent wage to provide a decent lifestyle and that is $15 an hour.”

He said that opposition – from big business, big corporations – is already lining up, claiming that $15 is too high.

But, if you take the minimum wage in 1970, and increase it by the rate of inflation, it comes to $15 – so at $15, workers are having the same purchasing power as in 1970.

He said the opposition then claims that setting a minimum wage “is government meddling in the private market place. Government shouldn’t interfere with the private market place”. But, he countered, government is already in the “private market place” because $18,000 – the annual wage at $9 – is still below the poverty line, so government is forced to step in and subsidize McDonalds and Burger King workers with welfare and food stamps. The subsidy winds up averaging $7,000 per employee, totaling $700 million a year for New York taxpayers.

“So you say to our conservative friends when they say, “Well you shouldn’t be in the market place” you say, “Yea we want to get out of the market place, let the corporations pay a decent wage so we don’t have to put the food on the table of people who are getting shafted by the system.”

A report by the State Department of Labor (available here) details the impact of a $15 minimum wage for New York workers and their families. In total, 2.3 million New Yorkers will earn higher wages and as a result, increase spending power by more than $15.7 billion across New York State. The Governor is urging the State Legislature to pass his phased-in minimum wage proposal this session. Key findings:

  • Millions of New Yorkers will earn higher pay. 2.3 million New Yorkers – about a quarter of the total workforce – will experience higher pay, increasing spending power by more than $15.7 billion.1
  • The vast majority of minimum wage earners are adults. Half of minimum wage earners in New York State are 35 or older and outside of New York City, more than 70 percent are over the age of 25. More than 40 percent are married, parents or both and many provide the main source of their family’s income.2
  • The current minimum wage is not a decent living wage.Today, a full time job at New York’s minimum wage pays only $18,720 per year. For a single mother with two children, that’s below the official poverty line.
  • The Governor’s proposal corrects 40 years of economic injustice. A $15 minimum wage by 2021 is about where New York’s minimum wage in 1970 would be, if adjusted for inflation and cost of living differences.3
  • It’s important for New York’s economic growth. New York increased its minimum wage eight times from 1991 through 2015 and six of those times, the data shows an employment uptick following an increase in the state’s minimum wage.4

On Long Island, 382,236 workers would earn higher wages by raising the minimum wage to $15, increasing spending power by $2.5 billion. For a statewide breakdown, view page four of the minimum wage report.

“The economic benefits of increasing the minimum wage outweigh the costs. But to provide businesses with the opportunity to plan, and in order to be sensitive to the relative abilities of different regional economies to absorb the change, the proposal phases-in the increase in New York’s minimum wage in New York City (in four steps by the end of 2018) and more gradually in the rest of the state (over seven steps by July 2021).

Proposes 12 Week Paid Family Leave

The Governor is also proposing that New York enact a 12 week paid family leave policy – which would be the longest benefits period in the nation for such a policy – to help working families care for a new child or seriously ill relative. The program would be funded by employees – employers would pay nothing – who would pay about 70 cents a week into a fund.

“Along with the disrespect that goes to the worker in this current economy – there is a lack of power that the employee has,” he said. “The employee is treated more like a commodity.”

“The worker doesn’t have that same power and relationship with the employer that they used to have. So if something happens and you need to do something in your life – because there is more than work – there’s something called life. You have to balance the two, you shouldn’t have to choose between going broke, losing your job, or doing the right thing at home. That should not be a choice.”

The United States is one of only three nations on the globe that does not have paid family leave and the other two are Suriname and Papua New Guinea.

Cuomo’s proposal though is not for employers to pay – the cost to employers would be zero – but to have employees pay into a fund about 70 cents a week, so they could get up to $700 a week in benefits for up to 12 weeks.

“The opposition is going to say, ‘The cost is very expensive for business.’ You know what it costs business? Zero. Nada, scatta, niente, nulo, whatever language you want. It costs them nothing. It is all paid by the employees. They say they may need to hire someone in the meantime if the person takes off. Fine, but they’re not paying first person, so they wind up neutral. It has no effect economically on businesses and it makes a world of difference in respect and livability for an employee. That we also have to pass this year. If we do $15 minimum wage, and we do paid family leave, we will have done something. We will have changed people’s lives and that is what this is all about.”

“This is fairness for all. This is opportunity for all. This is mobility for all. This is decency for all. This is New York State, we’re not going to treat each other with nothing less than total respect. We don’t care if the big corporations are against us, we have the people with us. We are going to pass it in the state of New York, we’re going to pass it this year, and we’re going to say to the rest of the nation, ‘It doesn’t have to be this way, you can have an economy that works for everyone where everyone is stronger and the greatest feast has the most people at the table.’ That is what we believe in New York and we are going to make it real here and it will be a wave that goes from one end of this country to the other.”

“There are times in life when family comes first – like when a child is born, a loved one is sick, or a parent is dying – and I believe everyone deserves the right to be there in those times,” Governor Cuomo told the Long Island rally. “The lack of paid family leave is a rampant economic injustice that runs against the grain of the American promise. It’s unacceptable that people are still forced to choose between caring for their families and keeping their jobs, and we’re going to change that in New York. We’re going to pass 12 weeks of paid family leave and stand up for what’s really important in life – and I urge all New Yorkers to join us in this fight.”

Governor Cuomo’s proposal would ensure 12 weeks of job-protected, employee-funded leave to be used for caring for a new child or a sick relative. It would also guarantee employees the right to return to their current job upon their return from leave and bring discrimination actions to the extent that their rights are violated.

The Need for Paid Family Leave

Paid family leave is currently offered by every developed nation on the planet – except for the United States. Within the U.S., only California, New Jersey and Rhode Island have such a program, and none offer benefits for longer than six weeks. Additionally, the U.S. Department of Labor has reported that a mere 12 percent of private sector workers are offered paid family leave by their employers.

While the Family Medical Leave Act of 1993 offers 12 weeks of unpaid leave, because of various exemptions, 40 percent of American workers are left out. Even for those who are covered by the FMLA, taking time off to care for a new child or sick relative often means workers are forced to forego wages, use up savings or vacation time, or even risk losing their jobs in order to care for new children or sick relatives.

“This injustice is particularly acute for low-income workers. In New York, nearly 50 percent of low-income working mothers have $500 or less in savings, and more than 33 percent have no savings. Without paid family leave, low-income workers are also more likely to utilize public assistance after the birth of a child or serious illness in the family.”

In addition to parents with new children, paid family leave is a crucial benefit to families caring for an ailing loved one – especially elderly relatives. More than 90 percent of elderly people receiving care in the community rely on the support and care of their loved ones, either independently or along with paid help – and two-thirds of older Americans receive care solely from their family members. Seventy-eight percent of people who care for elderly relatives are employed, and 62 percent report working full time. Furthermore, with growing life expectancies nationally and an aging population, the need for elder care is expected to increase in the coming years.

Proven Benefits and Support

Governor Cuomo’s proposal for 12 weeks of paid family leave offers a number of broad and important benefits to working families, businesses, and the state’s economy. This includes economic security and better health outcomes for families, greater workforce longevity and productivity for businesses, and a stronger economy for all.

Paid family leave supports families: Steady income and employment are crucial for families caring for new children or sick loved ones – and especially so for low-income families. Paid family leave offers crucial economic security that enables working families to respond to unique medical needs and costs, keep up with general living expenses and avoid poverty or the need for public assistance. Additionally, paid family leave is proven to help women remain in the workforce after having a child and increase their wages over time. Paid family leave is also a factor in boosting positive health outcomes for young families – with benefits such as increased birth weight, decreased frequencies of premature birth, and a substantial decrease in infant mortality. In cases of ill relatives, paid family leave also helps patients stick to prescribed treatment plans and check-ups, avoid complications, and ultimately return to good health.

Paid family leave supports businesses: Providing paid family leave also has numerous benefits for employers. Research from the U.S. Department of Labor shows that paid family leave helps businesses retain workers and avoid turnover – which ultimately helps reduce recruitment and training costs. Having access to paid family leave can also boost productivity, engagement, and loyalty among a business’ employees.

Paid family leave supports the economy: Increasing access to paid family leave will result in a stronger economy and workforce. When working parents or caregivers are able to remain in the workforce while tending to children or sick loved ones, they are also more likely to continue progressing in their careers and increasing their wages over time. This in turn yields greater support for their families, greater economy activity in their communities, and a more vibrant workforce overall. Additionally, paid family leave helps address the gaps in opportunity faced by low-income, minority and less educated workers.

Paid family leave has widespread public support: In a recent poll conducted by the Roosevelt Institute, the vast majority – 83 percent – of respondents supported paid family leave. That support crossed party lines, with 96 percent of Democrats, 85 percent of Independents and 67 percent of Republicans voicing support. Additionally, in a business survey after California’s paid family leave policy had been in effect for five years, 91 percent of employers reported the effect of the policy was either not noticeable or positive.

The Governor has launched a new website,  www.ny.gov/paidfamilyleave, for New Yorkers to learn more about the need for paid family leave and the benefits of his proposal.

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