Study: High-income workers may benefit more when using temporary caregiver insurance program

HIGH-INCOME workers may benefit more than low-income workers when taking advantage of the recently enacted temporary caregiver insurance program in Rhode Island, a study released by the College & University Research Collaborative has found.
HIGH-INCOME workers may benefit more than low-income workers when taking advantage of the recently enacted temporary caregiver insurance program in Rhode Island, a study released by the College & University Research Collaborative has found.

PROVIDENCE – High-income workers may benefit more than low-income workers when taking advantage of the recently enacted temporary caregiver insurance program in Rhode Island, a new study has found.
This study is one of 12 being released by the College & University Research Collaborative over the next few weeks that covers issues related to workforce, manufacturing, regional competitiveness and infrastructure in Rhode Island.
The study by Shanna Pearson-Merkowitz, associate professor of political science at the University of Rhode Island, examines data from California and New Jersey, two other early adopter states, and recommends ways paid family leave might be more effective in Rhode Island, particularly for those low-income workers.
Currently, the report found, “low-income workers contribute a greater share of their salaries to fund [paid family leave], but may be using the program less than high income workers.”
Researcher Pearson-Merkowitz cites possible causes for underutilization by low-income workers as lack of awareness and not being able to afford to take the leave even with state-sponsored partial wage replacement.
She recommends implementing a more progressive wage replacement system so that lower-income workers taking paid family leave receive a higher level of benefits and workers don’t fall below the poverty line as a result of taking leave. She also suggests a statewide education campaign to drum up participation.
The study also is part of the Collaborative’s new initiative to include undergraduate and graduates students in their research. Rachel-Lyn Longo a recent graduate of the University of Rhode Island worked on the study with Pearson-Merkowitz as part of her undergraduate thesis.
The Collaborative’s research areas were selected through consensus by a panel of policy directors from the governor’s office, the R.I. House of Representatives and the state Senate.

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