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California’s Paid Family Leave (PFL) program, which the Employment Development Department (EDD) administers, provides eligible employees with up to 8 weeks of wage replacement benefits when an employee is off work for certain qualifying reasons.

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Small businesses in California with 1-100 employees with at least one (1) employee utilizing California’s Paid Family Leave program (on or after June 1, 2022) are eligible to apply for grants up to $2,000 per employee on PFL to offset the increased costs associated with the employee out on leave. California’s Paid Family Leave program allows California workers to take paid leave to bond with a new child (through birth, adoption, or foster care) or to care for a seriously ill family member. Businesses impacted by California’s Paid Family Leave program will have increased costs such as training and upskilling existing staff to cover the duties of the employee on California’s Paid Family Leave; hiring and training additional staff to cover the duties of the employee on California’s Paid Family Leave; and marketing, recruitment, and other reasonably foreseeable training costs. Visit CaliforniaPFL.com to apply. (Photo: Business Wire)

Businesses with employees using PFL may have increased costs such as cross-training existing staff and hiring and training new and/or temporary employees to cover for employees on leave. This may be particularly true for small employers. The California Employment Training Panel and California Labor and Workforce Development Agency funded a grant program for small employers to assist with these issues.

Small businesses in California with 1 to 100 employees who have at least one employee utilizing PFL on or after June 1, 2022, may be eligible. Also, to qualify for the grant, businesses must:

• Be registered to do business in the State of California
• Be in an active status with the California Secretary of State’s Office
• Have an active California Employer Account Number under which employees are listed for payroll

Small businesses using a Professional Employer Organization (PEO) for payroll services are not eligible for the grant.

Employers interested in applying for the grant can apply through the grant website: Californiapfl.com.

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