Maine’s State Chamber of Commerce and shipbuilder Bath Iron Works have filed a suit challenging a provision in the state’s new paid family and medical leave program.
Beginning Jan. 1, employers and employees began splitting a 1 percent payroll tax to fund the program.
According to the suit, businesses that already offer similar programs can’t apply to opt out until April 1, but the rule doesn’t allow for them to be refunded for the money they’ve already paid into the program.
Maine’s Department of Labor said it can’t comment on pending litigation.