Why has state government stopped releasing updates on Paid Family and Medical Leave approval rates?
Since it launched, as and when the data have become available, I have been tracking the performance of Minnesota’s Paid Family and Medical Leave (PFML) scheme against the forecasts on which it is based. Back in 2023, a daily rate of approvals of 352 (128,338 / 365) was forecast and the scheme was launched on that actuarial basis.
The last update came from Governor Walz himself, who revealed in his State of the State speech on April 28 that since “January 1, we’ve approved more than 54,000 applications.” That works out at a daily approval rate of 458 (54,000 / 118), or 30% above forecast,
Prior to that, there had been regular updates from the state government; twice in March, once in February, and twice in January. In the nearly two months since the the Governor’s speech, there has been nothing, so far as I can see.
This silence is concerning. If approvals have continued at the daily rate of 458 in the 55 days since April 28, then there will now have been a total of 79,190 approvals, which would would work out at a daily rate of 463 (79,190 / 171), or 32% above forecast.
As I wrote back in March:
At present, the scheme is funded by a 0.88% payroll tax split between employers and employees. As the Pioneer Press reported in February:
“Asked Monday how long that rate would stand, DEED officials said that would depend on an actuarial analysis expected in the coming months.”
The state will have to send employers updated premium rates by July 31, so there will need to be an official estimate before then, Rowe said.
The payroll tax which finances the scheme has already been hiked by 25% since it was enacted: Another hike might be on the way.
With time running out, is the money running out also? Local newshounds might find this a question worth asking.