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New DC Payroll Tax to Cover Paid Leave Benefit

Employers in D.C. will be required to offer eight weeks paid family leave, six weeks to
care for a sick family member and two weeks of medical leave under universal
paid leave legislation approved by D.C. Council in a first reading this past Tuesday December 6, 2016.


The plan, which is one of the most generous in the nation, would be funded by a
0.62 percent increase in payroll taxes — yielding about $250 million annually —
on businesses of every size. The plan would be paid through a city-managed fund.


Where does your organization stand in terms of planning for the new tax?


Poll Results
  • We were not aware of the potential for a new tax. (0%)
  • We're aware of the council's vote but don't believe the Mayor will sign and pass the plan. (0%)
  • Think it will pass but don't know the financial impact. (0%)
  • Have calculated the financial impact of the tax. (100%)


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