Home healthcare industry fears impacts of Allegheny County's proposed paid parental leave policy
Leaders in the home healthcare industry fear a paid parental leave policy in Allegheny County would create problems when it comes to accessing care.
The Pennsylvania Chamber of Business and Industry, which already came out against the bill, says it surveyed roughly 400 businesses of varying sizes and industries. Eight in 10 said the pending bill could negatively impact them. A third said they might leave the county because of it.
The home healthcare industry says it's already at a crisis point. They say if this proposed parental leave policy passes, they're afraid of the health and safety implications for people in Allegheny County.
"I just won't have the ability to offset the cost of having two or three or four caregivers out on paid parental leave," said Jason Hafer, the CEO of Integrity Home Healthcare. "There are agencies that will go under or, quite frankly, I believe, move to operate outside of Allegheny County, which could in essence create a sort of care desert in Allegheny County."
Those in favor of the proposed paid parental leave say it's tied to better employee outcomes that will keep valuable talent and build healthier workplaces.
Hafer employs 350 caregivers in Allegheny County. He says 250 clients currently need help in the home.
"These are things like personal hygiene, which could include bathing, laundry, making sure that you're able to get through your day. We assist with ambulation and mobility. We help people get to and from doctors' appointments," he said.
But Hafer says inadequate Medicaid reimbursement rates make him and many other aid services across Pennsylvania unable to absorb additional costs. He says he supports paid parental leave but can't fund it until legislators increase the Medicaid reimbursement rates.
"The challenge is when legislation like this or regulations like this are made kind of in a bubble and we don't consider the implications across the entire healthcare delivery system, it really has downstream ripples," he said.
Mia Haney, the CEO of the Pennsylvania Homecare Association, calls this an unfunded mandate. Advocates say companies can secure short-term disability or long-term disability policies for their workers. Haney says any additional cost will impact access to care.
"The lowest rates for home care in Pennsylvania are in Allegheny County," Haney said. "It's $19.32. It's the reimbursement rate. Not the wage. That's the reimbursement rate for an agency in Allegheny County. Any other pressure on $19.32 just makes it impossible to continue to do business in Allegheny County."
Allegheny County says it recently asked Parento, one insurance company, to start to craft insurance policies. Their estimate is that a full-time employee who makes $15 an hour would cost the employer $13 a month to cover.
This paid parental leave proposal is in the hands of the 15-member county council. They will consider it and vote as early as the next meeting, which is slated for Tuesday. It would need a majority vote to pass.