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flag Washington’s paid family leave program faces a $350 million shortfall by 2029 due to rising demand and funding limits.

flag Washington’s paid family and medical leave program is projected to face a $350 million deficit by 2029 due to rising demand, increasing benefits, and a legal cap on premiums at 1.2%. flag With over 320,000 applications in the past year and more than $2 billion in benefits paid, current funding mechanisms—limited by a backward-looking premium formula—may not sustain the program. flag A proposed forward-looking actuarial approach passed the Senate but stalled in the House. flag Without legislative action to raise premiums, expand the taxable wage base, or adjust benefits, ongoing shortfalls are expected, especially as general fund support becomes less likely amid tight state budgets.

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