HR + Workplaces
November 25, 2024

Supporting Employees Through Life Transitions: Insights on the Intersection of the ADA, PWFA, PUMP, and Parental Leave Policies

Explore the challenges HR professionals face when managing employee accommodations and parental leave policies.
Written by
Parento
Category
HR + Workplaces

During a recent webinar hosted by Disclo, we dove into the challenges of navigating employee accommodations and parental leave policies with expert insights from Disclo’s CEO, Hannah Olson, and Parento’s Director of Leave Administration, Elizabeth Kidd. The goals of the conversation was to provide clarity around the Americans with Disabilities Act (ADA), PWFA, Providing Urgent Maternal Protections (PUMP) Act, and parental leave policies, how to avoid common pitfalls, and provide actionable strategies to stay ahead and mitigate legal risk. 

Watch Webinar: Navigating the Intersection of ADA, PWFA, PUMP Act, and Parental Leave

Understanding the Laws: ADA, PWFA, and PUMP Act

Hannah and Elizabeth broke down the key takeaways to help HR professionals manage compliance risks and support employees effectively. Did you know that while 75% of working parents worry about balancing work and family, only 30% of employers feel confident in understanding the laws designed to support these employees? Before diving into the challenges employers face in managing parental leave and accommodations, it’s essential to define the key regulations: 

  • Americans with Disabilities Act (ADA): This federal law prohibits discrimination against individuals with disabilities and mandates reasonable accommodations.
  • Pregnant Workers Fairness Act (PWFA): Enacted in June 2023, this law requires employers to provide accommodations for pregnant employees, such as light duty, additional breaks, or accommodations for breastfeeding.
  • PUMP Act: Expanding on the PWFA, the Providing Urgent Maternal Protections Act offers specific rights for breastfeeding parents, including the need for adequate time and space to pump at work.

Each of these laws serves an important role for working parents, but their overlap can create confusion for HR teams managing accommodations and parental leave requests. An employee may have job-protected leave without guaranteed pay, or vice versa, making the process complex for both employees and employers. Here are two additional terms you need to know for a parental leave:

  • Leave of Absence (Time Away): Refers to the period an employee is entitled to take time off from work, often protected under federal or state laws like the Family and Medical Leave Act (FMLA). 
  • Pay or Wage Replacement (e.g. Claims): Refers to the financial component of parental leave. This includes benefits provided through programs like Short-Term Disability (STD) or Paid Family Leave (PFL), which vary by state.

Key Challenges in Managing Parental Leave and Accommodations

Even knowing the basic terminology and moving parts for a parental leave, managing the leave and accommodations often feels like assembling a puzzle. Here are the most common pitfalls for employers:

Eligibility Confusion

Distinctions between ADA, PWFA, and PUMP Act requirements aren’t always clear-cut, which is why Hannah and the Disclo team are on a mission to transform the accommodations process. For example, an employee recovering from pregnancy might need ADA accommodations for postpartum depression while also requiring lactation accommodations under PUMP. The EEOC has already settled five lawsuits related to the Pregnant Workers Fairness Act (PWFA) this year. 

Parental Leave Complexity

Parental leave has two components—time away from work and wage replacement. Employees might qualify for unpaid leave under FMLA but lack access to Paid Family Leave (PFL) programs. HR teams need to address leave of absence and wage replacement separately, as employees may qualify for job-protected time off under laws like FMLA but lack access to paid parental leave. To further complicate matters, 25% of new mothers return to work after two weeks of giving birth, and this premature return can lead to potential health risks and the need for additional accommodations. 

State Variations for PFL Programs

PFL programs exist in only nine states and Washington, D.C., creating inequities for remote or hybrid employees if their employer doesn’t have a paid leave policy. New mothers who take paid parental leave are 54% more likely than those who take no paid leave to stay in the workforce in the year following birth. 

Inconsistent Policies and Compliance Red Flags

Inconsistent (or nonexistent) parental leave policies can cause a lot of compliance challenges for employers, too. During the webinar, Elizabeth shared several common compliance pitfalls for parental leave and how to mitigate them. Here are a few red flags to watch out for: 

  1. Relying Solely on Short-Term Disability for Parental Leave: Relying solely on Short-Term Disability (STD) for paid parental leave is discriminatory by excluding non-birthing, fostering, and adoptive parents.
  2. Combining Leave Types: Ensure all parents receive equal time off for bonding and keep pregnancy disability leave distinct from parental leave. Pregnancy disability leave shouldn’t be bundled with bonding leave, which should apply equally to all parents -  birthing or non-birthing. 
  3. Pre-defining Caregiver Roles: Policies that assume the "primary caregiver" is always the birthing parent can discriminate against adoptive and foster families. Caregiving roles should reflect the family’s needs, not predefined assumptions.
Watch Webinar on LinkedIn

Proactive Strategies for HR Professionals

From expecting a new child to returning to work, the different stages of a parental leave can be complicated. The good news is that there are options and solutions available to help HR teams. Hannah and Elizabeth provided actionable steps to address these challenges in parental leave and accommodations. 

Streamline Processes with Technology

Technology can simplify workflows for HR teams managing leave and accommodations. Automating processes like eligibility assessments documentation processing can expedite approvals, ensuring a smoother experience for both employees and employers. For example, Disclo’s technology streamlines the entire process to automate the workflows and help companies stay compliant. Some other examples provided are technology that can track state of federal leave entitlement, or tools to securely and easily submit required documentation such as medical or birth verifications. 

Provide Inclusive Paid Parental Leave 

When it comes to parental leave, a gender-neutral policy can provide equitable support for all parents, including adoptive and foster families. Providing paid parental leave to employees is an excellent proactive strategy that helps employers manage parental leave and accommodations. Parento helps companies afford and manage paid parental leave with a comprehensive program that includes tax-deductable insurance for employers and wraparound support for employees and HR. 

Make it Easy for Employees

For PFL, employers must determine eligibility based on where employees live and pay taxes, further complicating administration. To provide equitable support, employers must identify where employees reside and determine their eligibility for state benefits, typically based on where they pay taxes. It’s also crucial to ensure employees have access to clear information and assistance in filing for these benefits. 

You can also check out free resources like Disclo’s State Leave Guide and Parento’s PFL Guide

Train Managers and Leaders

Managers are often the first point of contact for accommodation requests but may lack training. For example, what should they keep an eye out for? What constitutes an accommodation request? Providing them with resources and guidance ensures compliance and fosters trust among employees, especially when there’s a 30% decrease in productivity amongst returning new moms without employer support. 

Accommodations aren’t just legal requirements; they’re deeply personal. - Hannah Olson, Co-founder and CEO of Disclo

Stay Informed and Updated

Both speakers stressed the importance of staying ahead of evolving laws. Engage in continuous education and stay connected with legal updates through resources like the DMEC and webinars hosted by industry experts like SHRM, HRCI, and JAN

The Future of Leave and Accommodations

When looking to the future of leave and accommodations, employers must lead with empathy and build trust by treating each request holistically and consistently. Equip managers to ensure compliance during all stages of leave, including doctor visits, accommodations during pregnancy, and return-to-work planning. By creating inclusive policies, leveraging technology, and staying informed, HR professionals and brokers can build workplaces where employees feel supported during life’s critical transitions.

Chat with our team to see how Parento can help you craft compliant paid parental leave policies, or reach out to Disclo for workplace accommodations support.
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