A new national survey conducted by the Public Private Strategies Institute finds that small business owners show strong support for policies that expand paid family medical leave particularly when businesses have experience with programs at the state level.

Support for Business Tax Credits:

• 60% of respondents, including 70% of the self-employed, indicated support for a business tax credit that would offset up to 50% of the costs of providing paid family medical leave, with the plurality of all those responding (23%) reporting this would be the easiest way for their business to participate in a paid leave program.



Support for Small Employer Insurance Risk Pooling:

• A plurality (34%) of those surveyed indicated that the creation of a small employer pool for paid leave insurance to lower costs would make it easier for them to provide paid leave.
  
  

Proactive Utilization of State Programs:

• 24% of owners have already engaged with state paid family medical leave programs, indicating a proactive approach towards providing this benefit to employees.
  
  

Enhanced Employee Retention:

• 55% of businesses in states with existing paid leave laws believe paid leave policies improve employee retention, especially in critical life events.
  
  

Cost Savings for Businesses:

• Nearly half of the respondents in states with paid leave laws see state programs as financially beneficial, offsetting costs that businesses would otherwise incur.
  
  

Positive Impact on Employee Morale:

• 62% in states with paid leave laws report that paid leave boosts employee morale.

“Paid family medical leave is a critical tool for small businesses to remain competitive in today’s tight labor market. When we implement thoughtful paid leave policies, we're not just supporting individual workers; we're strengthening the very foundation of our economy.

"Small businesses, which form the backbone of our economic landscape, stand to gain tremendously. They can compete more effectively with larger corporations for talent, while simultaneously building a reputation as employers of choice in their communities. By creating these policies, our leaders can empower small businesses to create an economy that works for everyone—by recognizing the link between the well-being of workers and the success of businesses.”

— Katie Vlietstra Wonnenberg

Secretary,  Public Private Strategies Institute

Methodology:

The survey was conducted online from Nov. 1 through Dec. 31, 2023 among 1,114 Small Business Owners across the country.