Over my years working in HR, I’ve seen the inner workings of small businesses and nonprofits. I know the nerves that can come with checking the bank balance to see if there is enough to make payroll. I know how being down a staff member unexpectedly can throw a wrench in operations. These are real struggles that small businesses face.
I’ve also seen the power of having a great team that helps develop, grow, and innovate the business or organization. Who makes up great teams? Humans. Humans who will inevitably experience significant life events like becoming a parent, undergoing surgery, or caring for a family member through a cancer diagnosis. These are profound moments and events. They may be planned, like welcoming a child into the family. Or they may be wholly unpredictable, abruptly upturning lives.
This year, we can make things easier for businesses and employees. The Legislature is considering the Paid Family & Medical Leave Act — HB 6/SB 3 — this session. This act would create a program to fund up to 12 weeks of paid leave to care for a new child, a family member’s serious medical condition, or their own serious medical condition.
The costs to any individual or business would be minimal — less than $2.50 per week each for a minimum wage worker and their employer. In return, workers would have access to a critical safety net without substantial cost to businesses.
Currently, when New Mexico’s hardworking people are at their most vulnerable, the support they need isn’t there. When facing these major life events, most workers must cobble together the means to care for themselves or their families. I have seen too many desperate spreadsheets stitching together limited PTO, short-term disability, and days that went unpaid as people struggled to make it through.
Investing in people is certainly not a new idea, and recent studies show that up to 90% of a business’ value is tied to intangible assets, particularly their employees. Investing in supporting people is not only a social good; it is also good for business.
The Healthy Workplaces Act (of 2021) was a meaningful first step. It granted New Mexicans basic protections for earned sick leave that covers most day-to-day injuries and illnesses. I also know that it posed a challenge for small businesses; in preparing for its implementation, I spoke with many business leaders worried about their ability to absorb its costs. At the same time, many large businesses are forging ahead with more robust paid medical leave policies. Small companies can only compete in providing those kinds of benefits with support.
Creating a safety net works. I’m lucky enough to work at an organization that offers paid medical leave, and the impact has struck me. Our staff can take the time off they need for their and their families’ health. This impacts morale and retention; in turn, this impacts our ability to get the job done.
All of New Mexico’s small businesses should be so lucky to be able to see the positive benefits of offering this support to their team. Thanks to the Paid Family & Medical Leave Act, they just might be able to.
