August 15, 2016
AAF Proposes Solution To Provide Paid Family Leave To Low-Income Households
The American Action Forum (@AAF) today released an updated analysis and potential proposal to help low-income Americans gain access to paid family leave. The Earned Income Leave Benefit (EILB) is an example of a targeted and more cost-effective way to provide up to 12 weeks of paid family leave specifically for workers in low-income households. The EILB idea is modeled after the Earned Income Tax Credit. Under the EILB, 8.4 million low-income full-time workers would gain access to paid family leave and 92.6 percent of the program’s benefits would go to households with incomes under 200 percent of the poverty threshold. The federal government would spend between $1.5 billion and $17.9 billion annually compared to the estimated $85.9 billion to $997.4 billion annual cost of other family leave proposals.
Click here to view the proposal.