An Act providing for mandatory Statewide paid parental leave for eligible employees; establishing the Paid Parental Leave Account and the Small Business Grant Program; imposing duties on the Department of Labor and Industry; making an appropriation; and imposing penalties.

PRINTER'S NO. 1533
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No. 1241
Session of
2026
INTRODUCED BY PISCIOTTANO, CAPPELLETTI, FONTANA, COMITTA,
HUGHES, SANTARSIERO, HAYWOOD, TARTAGLIONE, KANE, COSTA,
KEARNEY AND SAVAL, MARCH 23, 2026
REFERRED TO LABOR AND INDUSTRY, MARCH 23, 2026
AN ACT
Providing for mandatory Statewide paid parental leave for
eligible employees; establishing the Paid Parental Leave
Account and the Small Business Grant Program; imposing duties
on the Department of Labor and Industry; making an
appropriation; and imposing penalties.
TABLE OF CONTENTS
Chapter 1. Preliminary Provisions
Section 101. Short title.
Section 102. Definitions.
Chapter 3. Paid Parental Leave
Section 301. Employer obligation generally.
Section 302. Protections and rights.
Section 303. Amount of paid parental leave and benefits.
Section 304. Prohibitions.
Section 305. Notice.
Chapter 5. Administration and Enforcement
Section 501. Authorization.
Section 502. Complaints.
Section 503. Administrative penalties.
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Section 504. Paid Parental Leave Account.
Section 505. Civil actions by private parties.
Section 506. Civil actions by department.
Section 507. Limitation of civil actions.
Chapter 7. Small Business Grant Program
Section 701. Establishment of program.
Section 702. Application form.
Section 703. Guidelines.
Section 704. Appropriation.
Chapter 9. Miscellaneous Provisions
Section 901. Construction.
Section 902. Waiver prohibited.
Section 903. Regulations.
Section 904. Effective date.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
CHAPTER 1
PRELIMINARY PROVISIONS
Section 101. Short title.
This act shall be known and may be cited as the Paid Parental
Leave Act.
Section 102. Definitions.
The following words and phrases when used in this act shall
have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Account." The Paid Parental Leave Account established under
section 504(a).
"Department." The Department of Labor and Industry of the
Commonwealth.
"Eligible employee." An individual who requests paid
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parental leave under this act from an employer and who has:
(1) been employed for at least 12 months by the
employer; and
(2) performed at least 1,250 hours of service with the
employer during the previous 12 months.
"Employer." As described in section 103 of the act of June
2, 1915 (P.L.736, No.338), known as the Workers' Compensation
Act.
"Family and Medical Leave Act." The Family and Medical Leave
Act of 1993 (Public Law 103-3, 29 U.S.C. § 2601 et seq.).
"Program." The Small Business Grant Program established
under section 701.
"Secretary." The Secretary of Labor and Industry of the
Commonwealth.
CHAPTER 3
PAID PARENTAL LEAVE
Section 301. Employer obligation generally.
An employer shall provide, in accordance with this act, not
fewer than 12 weeks of paid parental leave to an eligible
employee for the purpose of caring for a child of the eligible
employee during the first year after:
(1) the birth of the child to the eligible employee;
(2) the adoption of the child by the eligible employee;
or
(3) the placement of the child in foster care with the
eligible employee.
Section 302. Protections and rights.
An eligible employee who takes paid parental leave as
provided under section 301 is entitled to the same protections
and rights to which an eligible employee is entitled under the
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Family and Medical Leave Act, including protection from
discrimination and interference, the right to reinstatement and
the right to continuation of health care benefits.
Section 303. Amount of paid parental leave and benefits.
(a) Interplay with Federal law.--The amount of leave taken
by an eligible employee under this act during a 12-month period
shall be counted against the amount of leave to which the
eligible employee is entitled under the Family and Medical Leave
Act.
(b) Rate of pay.--An eligible employee entitled to paid
leave under this act shall be paid, during the period of leave,
the full rate of pay that the eligible employee received before
the period of leave commences or, if the rate of pay is based on
an hourly rate, the weekly average applicable during the four
weeks before the period of leave commences.
Section 304. Prohibitions.
An employer may not:
(1) Interfere with, restrain or deny the exercise of, or
attempt to interfere with, restrain or deny the exercise of,
any right provided under this chapter.
(2) Discharge, threaten to discharge, demote, suspend,
reduce the wages of or in any manner discriminate against an
employee for any of the following:
(i) Using paid parental leave or attempting to
exercise the right to use paid parental leave.
(ii) Filing a complaint under this act or alleging a
violation of this act.
(iii) Cooperating in an investigation or prosecution
of an alleged violation of this act.
(iv) Opposing a policy or practice that is
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prohibited under this act.
Section 305. Notice.
(a) Notice generally.--Within 60 days of the effective date
of this subsection, each employer shall notify each employee of
the information described in sections 301, 302, 303 and 304.
(b) Contents.--The notice under this section shall be
prepared or approved in accordance with regulations prescribed
under this act and shall state excerpts from, or summaries of,
the pertinent provisions of this act, including information that
describes:
(1) The availability of paid parental leave available to
employees under this act.
(2) The filing of an action under this act.
(3) The protections that an employee has in exercising
rights under this act.
(4) How an employee can contact the department if any of
the rights under this act are violated.
(c) Location.--Each employer shall post and keep posted the
notice under this section:
(1) in conspicuous places on the premises of the
employer, where notices to employees, including applicants,
are customarily posted; or
(2) in an employee handbook.
CHAPTER 5
ADMINISTRATION AND ENFORCEMENT
Section 501. Authorization.
(a) Authorization generally.--The department shall
administer and enforce Chapter 3.
(b) Actions.--In administering and enforcing Chapter 3, an
authorized representative of the department may take any of the
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following actions:
(1) Enter and inspect a worksite or place of business at
any reasonable time to examine and inspect records that
relate to compliance with Chapter 3.
(2) Subpoena witnesses, administer oaths, examine
witnesses and copy or compel the production of records,
contracts and other documents that are necessary and
appropriate to administer and enforce this chapter.
(3) Petition Commonwealth Court to enforce any subpoena
or order issued by the department under this chapter.
Section 502. Complaints.
(a) Right to file complaint.--An employee may file with the
department a complaint against an employer alleging a violation
of Chapter 3.
(b) Form.--
(1) The department shall develop a form to be used to
file a complaint under this act.
(2) The form developed under paragraph (1) shall be
posted on the publicly accessible Internet website of the
department.
(c) Procedures.--The department shall:
(1) Prescribe the manner in which a complaint must be
submitted.
(2) Establish a system for the investigation and
resolution of a complaint submitted under this section.
Section 503. Administrative penalties.
(a) Amount.--The department may impose an administrative
penalty of up to $5,000 per violation of Chapter 3.
(b) Factors.--When determining the amount of an
administrative penalty imposed under this section, the
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department shall consider the following factors:
(1) The history of previous violations of Chapter 3 by
the employer.
(2) The seriousness of the violation.
(3) The good faith efforts made by the employer.
(4) The size of the employer's business.
Section 504. Paid Parental Leave Account.
(a) Establishment.--The Paid Parental Leave Account is
established within the General Fund into which the department
shall deposit administrative penalties imposed under section
503.
(b) Operations.--Money deposited into the account shall be
appropriated on a continuing basis to the department, upon the
request of the secretary, for the following purposes:
(1) Subject to paragraph (2) and as directed by the
secretary, to compensate each employee or other individual
adversely affected by the violation that resulted in the
administrative penalty.
(2) For payments described in paragraph (1) that cannot
be made within three years of the date in which the
administrative penalty is ordered, to pay for the costs
associated with the administration and enforcement of this
act.
Section 505. Civil actions by private parties.
(a) Right of action.--An employee or other individual who is
adversely affected by an alleged violation of this act,
including a representative for and on behalf of the employee or
other individual and any other employee or individual similarly
situated, may bring a civil action against an employer in a
court of competent jurisdiction to recover damages or equitable
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relief in accordance with this section.
(b) Liability.--An employer who violates section 304 shall
be liable to an employee or other individual adversely affected
for the following:
(1) Monetary damages equal to:
(i) The amount of:
(A) wages, salary, employment benefits or other
compensation denied or lost by reason of the
violation; or
(B) if wages, salary, employment benefits or
other compensation have not been denied or lost, any
actual monetary losses sustained as a direct result
of the violation up to a sum equal to 12 weeks of
wages or salary for the employee or individual.
(ii) The interest on the amount described in
subparagraph (i) calculated at the prevailing rate.
(iii) An additional amount as liquidated damages.
(2) Equitable relief as may be appropriate, including
employment, reinstatement and promotion.
(c) Fees and costs.--If a plaintiff prevails in an action
under this section, the court may award to the plaintiff
reasonable attorney fees, reasonable expert witness fees and
other costs of the action to be paid by the defendant.
Section 506. Civil actions by department.
(a) Authorization.--The department may bring a civil action
against an employer in a court of competent jurisdiction to
recover damages or equitable relief, including fees and costs,
in accordance with section 505, on behalf of an employee or
other individual who is adversely affected by an alleged
violation of this act.
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(b) Effect of action.--An action brought under section 505
shall terminate upon the filing of an action under this section.
(c) Recovery of money.--Any monetary damages, fees or costs
recovered by the department in an action under this section
shall be deposited into the account for the purposes described
in section 504(b).
Section 507. Limitation of civil actions.
(a) General rule.--Except as provided in subsection (b), a
civil action for an alleged violation of this act may be brought
no later than two years after the date of the last event
constituting the alleged violation.
(b) Exception.--A civil action for an alleged willful
violation of this act may be brought no later than three years
after the date of the last event constituting the alleged
willful violation.
CHAPTER 7
SMALL BUSINESS GRANT PROGRAM
Section 701. Establishment of program.
The Small Business Grant Program is established in the
department to provide grants to employers to assist with their
compliance with this act.
Section 702. Application form.
(a) Development.--The department shall develop an
application form for employers to apply for grants under the
program.
(b) Contents.--The application form shall include:
(1) The name and contact information of the applicant.
(2) The amount and nature of the assistance sought.
(c) Posting.--The application form shall be posted on the
publicly accessible Internet website of the department.
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Section 703. Guidelines.
(a) Contents.--The department shall develop guidelines
regarding the program, which shall include:
(1) The manner in which employers must submit
applications to apply for grants under the program.
(2) Deadlines for applying for grants.
(3) The review and approval process for grant
applications.
(b) Considerations.--The department shall consider
implementing a business income limit cap for employers applying
for grants under the program.
(c) Publication.--Upon the development of the guidelines
under this section, the department shall transmit notice of the
development of the guidelines to the Legislative Reference
Bureau for publication in the next available issue of the
Pennsylvania Bulletin.
Section 704. Appropriation.
The sum of $20,000,000 is appropriated to the department for
the purpose of implementing and administering the program,
including the awarding of grants under the program.
CHAPTER 9
MISCELLANEOUS PROVISIONS
Section 901. Construction.
(a) Effect of chapter.--This act provides minimum
requirements pertaining to paid parental leave. Nothing in this
act shall be construed to:
(1) Preempt, limit or otherwise affect the applicability
of any other law, regulation, requirement, policy or standard
that:
(i) Provides greater benefit to employees.
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(ii) Extends other protections to employees.
(2) Discourage or prohibit an employer from adopting or
retaining a paid parental leave policy that is more generous
than what is required under this chapter.
(3) Affect an obligation by an employer to comply with a
collective bargaining agreement or employer benefit plan that
provides greater paid parental leave rights for employees.
(b) Subsequent collective bargaining agreement or employer
policy.--An individual's right to leave and the payment of
benefits under this act may not be diminished by:
(1) A collective bargaining agreement that is entered
into or renewed on or after the effective date of this
paragraph.
(2) An employer policy that is adopted or retained on or
after the effective date of this paragraph.
Section 902. Waiver prohibited.
An agreement by an individual to waive the individual's
rights under this act is void as against public policy.
Section 903. Regulations.
The department may promulgate regulations to administer and
enforce this act.
Section 904. Effective date.
This act shall take effect in one year.
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