THE FAMILY AND MEDICAL LEAVE ACT OF 1993
After years of delays engineered by Republican presidential administrations and the Republican congressional minorities, the Family and Medical leave Act of 1993 was enacted into law. A majority of American employers have been complaining for years that any type of family and medical leave bill would send them reeling into bankruptcy. With the enactment of this law, many employers are now complaining more loudly about the Act may portend for the future--such a mandatory paid leave and paid daycare--that about problems that may be associated with the provisions of the new Act itself. Nevertheless, there are some sticky issues and some potentially significant problems associated with the new Act. Critics complain that the new law expands opportunities for fraudulent leave claims. Still others contend that disgruntled employees may invoke the new Act as a basis for law suits long subsequent to any dispute over a specific incident involving provisions of the Act. Still other employers worry about the cost of continuing medical insurance coverage for employees on leave, and costs associated with hiring temporary help.
This research assesses the probable economic consequences of the Family and Medical Leave Act. This assessment is made with respect to the American economy as a whole, as opposed to any specific entity within the economy. Further, the assessment is made within the context of cost-benefit analysis. The following section of this research discusses the issues underlying the controversy surrounding the Family and Medical Leave Act, and discusses the application of cost-benefit analysis to the assessment of these issues.
Analysis of Issues Underlying the Controversy Surrounding the Family and Medical Leave Act
A primary justification for the enactment of the Family and Medical Leave Act is the need for one or both parents to be at home...