Nevada lawmakers are considering vastly expanding access to  paid family and medical leave, though the proposal faces harsh opposition from business and industry groups.

Democratic Assemblymember Selena La Rue Hatch’s Assembly Bill 388 would require private employers with more than 50 workers, as well as all public employers, to provide paid family and medical leave. The bill was heard by the Assembly Committee on Revenue on Wednesday, according to Nevada Current.

Only 4% of businesses employ more than 50 workers, according to La Rue Hatch, who attributed the figure to research by the Legislative Counsel Bureau, but that 4% of businesses employ nearly 1 million Nevadans — more than 60% of the state’s workforce.

In 2023, the Legislature established paid family and medical leave for state employees. La Rue Hatch described this year’s AB388,  as “a natural next step” to ensure nearly a million Nevadans are able to address their own and their family’s medical needs. Twelve assemblymembers and one state senator have signed on as additional sponsors.

La Rue Hatch, a public school teacher in Northern Nevada, shared with the committee that in November she had jaw surgery that required six weeks of recovery. Public school teachers are not covered by the state’s existing mandated paid family and medical leave law, so she relied on a union-negotiated program where members can donate their paid time off to others who need it.

Most Nevada workers don’t have access to an option like that, she added, and instead are left with options that lead to financial hardship. They return to work prematurely after giving birth, leave the workforce entirely to provide unpaid care to elderly parents, wrack up additional debt during extensive cancer treatments, or forgo needed medical procedures because they know they can’t afford not to work while recovering.

The United States is one of only six countries that does not have a national guaranteed, comprehensive paid leave program.

Thirteen states have comprehensive, mandatory state paid family and medical leave. Most offer the benefit through pooled payroll taxes paid by employers and/or employees, according to the Bipartisan Policy Center.

La Rue Hatch told the committee she didn’t believe Nevada was open to that approach.

Under her bill, Nevada employers would be required to offer it as a benefit after 90 days of employment. The leave would be available for specific purposes, such as the birth or adoption of a child, treatment of a serious illness, or caring for a family member who is seriously ill. There are also specific provisions for victims of domestic abuse and families dealing with military deployment.

Workers who earn  up to 110% of the state’s average weekly wage — about $1,200 per week or $57,000 annually — would receive 100% of their paycheck for up to 12 weeks. Workers who earn more than that would receive 60% of their wage or 60% of 150% of the state’s average weekly wage, whichever is less. (That 150% threshold currently translates to workers who make about $1,600 a week or $78,000 annually.)

La Rue Hatch said the sliding scale and cap acknowledges that the lowest wage earners may not be able to survive off only part of their paycheck.

AB388 is supported by numerous unions and worker advocacy groups, including the Communication Workers, SEIU, AFSCME, Washoe Education Association and Make It Work Nevada.

“Employees and workers are people,” said Erika Washington, executive director of Make it Work Nevada. “They are human beings… We believe that being able to support, advocate, love and support our families is indeed a human right and a reproductive justice issue. Everyone has somebody they would drop everything for, and it’s our responsibility to care for our families and each other.”

Ben Challinor with the Alzheimer’s Association testified that paid family and medical leave could benefit the estimated 84,000 Nevadans who provide unpaid care for someone living with Alzheimer’s or dementia.

Business groups, including the Vegas Chamber, Nevada Resort Association, Retail Association of Nevada, and several chambers of commerce, are opposed to the bill, arguing they oppose mandates that force solutions that need to be addressed business by business.

They also claimed it will drive up costs for business.

“If the government of the State of Nevada believes it is important to pay people in this state to not work for three months, then the State of Nevada can pay for that,” said Tray Abney, Nevada state director for the National Federation of Independent Business (NFIB).

He continued: “Bills with incredibly large fiscal notes or impacts to the state budget have a very hard time getting passed out of here. We don’t always seem to have the same concern for the fiscal notes that affect private sector job creators.”

In her closing remarks, La Rue Hatch argued that paid family and medical leave is an economic benefit that pays itself off in increased productivity and less turnover at business.

“Ikea offers 16 weeks” of paid family and medical leave, she said. “CitiBank, 16 weeks. Bank of America, 16 weeks. Google, 18 weeks paid leave after 90 days of employment. Huge corporations making significant profits have figured out how to take care of workers. It is not mutually exclusive.”