City Council introduces paid parental leave ordinance for employee recruitment

The Carmel-by-the-Sea City Council convened on June 3, 2025, to discuss a significant ordinance aimed at enhancing employee benefits through the introduction of paid parental leave. This proposed ordinance, which is set for a second reading and potential adoption in July, seeks to provide city employees with six weeks of paid leave for bonding with newborns, adopted children, or foster children.

City Administration officials emphasized the importance of this benefit in attracting and retaining talent within the city workforce. Currently, employees rely on the Family Medical Leave Act (FMLA) and must exhaust their sick and vacation leave before receiving unpaid leave. The new ordinance would position Carmel-by-the-Sea as the only city in the Peninsula region to offer such a benefit, potentially giving it a competitive edge in recruitment.

Key highlights of the proposed program include eligibility after 12 months of employment and the stipulation that the paid leave is not a cash-out benefit. The estimated cost for the city, should one employee utilize the benefit annually, is approximately $15,000. City officials believe that this initiative is a proactive step towards building a sustainable workforce and diversifying the age and experience of city professionals.

During the meeting, council members raised questions regarding the current lack of maternity leave and the implications of the proposed ordinance. Discussions included the relationship between the new paid parental leave and existing FMLA protections, with clarifications that the paid leave would run concurrently with FMLA, thereby not extending the total leave duration but providing financial support during that time.

Public comments were generally supportive, with residents highlighting the need for such benefits to support families. Some council members expressed concerns about the duration of the leave, suggesting that it may be beneficial to align more closely with California's state guidelines, which offer longer leave periods.

The council also discussed the ordinance's provisions, including a clause allowing the city administrator to terminate the policy at any time, which some members found problematic. The meeting concluded with a consensus on the importance of the ordinance, while further discussions on specific provisions are expected in the upcoming meeting.

Overall, the proposed paid parental leave ordinance represents a significant step forward in employee benefits for the city, reflecting a commitment to supporting families and enhancing the city's appeal as an employer.