Effective January 1, 2026, Rhode Island will implement two legislative changes that impact employee leave benefits and payroll contribution requirements. House Bill 6066 increases the wage base for Temporary Disability Insurance (TDI), while Senate Bill 0829 expands eligibility for Temporary Caregiver Insurance (TCI) to include organ and bone marrow donors. Employers should begin reviewing internal systems and policies to prepare for these updates.
House Bill 6066: Expanded Family Member Definition and Wage Base Adjustment
- Expanded Definition of Family Member. Employees will now be eligible to take TCI leave to care for a sibling with a serious health condition. Previously, TCI covered care for a child, parent, parent-in-law, grandparent, spouse, or domestic partner. The inclusion of siblings aligns Rhode Island with other states that recognize sibling relationships in family leave laws.
- Increase in TDI Taxable Wage Base. The current TDI taxable wage base of $38,000 will be increased to match the annual earnings required to qualify for the maximum weekly benefit and duration under the program. The Rhode Island Department of Labor and Training (DLT) will determine this threshold annually.
Senate Bill 829A: TCI Eligibility Expanded to Donors
Senate Bill 0829 broadens the scope of Rhode Island’s Temporary Caregiver Insurance program to include employees recovering from bone marrow or organ donation. Prior to this change, TCI only covered employees taking leave to care for a family member with a serious health condition or for bonding with a new child.
The new eligibility category allows donor employees to receive paid caregiver leave benefits during their recovery period, consistent with the current structure and duration of TCI benefits.
Next Steps for Employers
To ensure compliance by the effective date, employers should:
- Update Policies and Procedures: Update TCI policies and procedures to reflect the inclusion of siblings as eligible family members and the expanded eligibility for bone marrow and organ donation.
- Update Payroll Systems: Update payroll systems to accommodate the increased TDI taxable wage base effective January 1, 2026.
- Communication with Employees: Communicate changes to employees, including potential increases in employee contributions.
- Educate Staff: Train human resources staff and supervisors on the new qualifying reason for leave.
- Stay Updated: Monitor DLT announcements regarding the annual earnings threshold for 2026.
