Quick Answer: Delaware Paid Leave waivers may apply to temporary employees or those expected to work fewer than 25 hours per week when they are unlikely to meet the program’s benefit eligibility requirements. Workers generally need 12 months with their employer and 1,250 hours of service in Delaware during the previous 12 months. Employers using the state program submit waivers through LaborFirst, while approved private plans have separate documentation rules. Approved waivers can affect contribution and employer coverage requirements, but participating employers must continue reporting waived employees’ hours and wages.
Which Part-Time and Seasonal Employees Qualify for Delaware Paid Leave Waivers?
Delaware Paid Leave generally requires employees to perform at least 60% of their work physically in Delaware each calendar quarter, have 12 months with their employer, and complete 1,250 hours of service in Delaware during the previous 12 months. Employment does not need to be consecutive, although earlier service generally stops counting after a break lasting more than seven years.
For example, someone working 15 hours weekly would complete approximately 780 hours annually, below the required threshold. A three-month summer employee may also qualify for a waiver because the position is temporary. However, employers should review expected schedules and previous employment history before requesting waivers, particularly when rehiring seasonal employees. These distinctions matter when managing Delaware employee benefits and HR compliance responsibilities.
How Do Waivers Affect Delaware Paid Leave Employer Coverage?
Delaware Paid Leave requirements depend on the number of covered employees. Businesses with 10 to 24 covered employees generally must provide parental leave, while those with 25 or more must provide full required Paid Leave coverage. Employers with fewer than 10 covered employees are generally exempt from mandatory participation.
Employer Situation | Paid Leave Requirement |
Fewer than 10 covered employees | Generally exempt from mandatory coverage |
10–24 covered employees | Parental leave generally required |
25 or more covered employees | Full required coverage |
Employee with an applicable waiver | Excluded from the applicable count |
For example, a business with 12 workers and three applicable waivers may have nine employees counted toward its coverage threshold. However, employers already required to provide coverage generally must remain below the applicable 10- or 25-employee threshold for 52 consecutive weeks before the corresponding coverage requirement can end. Employers should confirm their employee count and obligations through regular HR compliance planning before making changes.
How Do Delaware Employers Apply for Paid Leave Waivers?
Employers participating in the state program submit waivers through LaborFirst, while approved private plans have separate recordkeeping requirements. Waivers should reflect the employee’s expected schedule, employment duration, and work history. If employees share contribution costs, both the employer and employee must sign the waiver. When the employer pays the full cost, only the employer’s signature is required. Any required employee signature must be voluntary.
For example, a retailer hiring temporary workers for November and December should review expected weekly hours and prior employment before requesting waivers. Employers must retain supporting documentation and continue reporting waived employees’ hours and wages. Accurate employee records also support benefits administration technology when workers change schedules or move into permanent roles.
What Happens When an Employee With a Waiver Works More Hours?
A waiver may need to be removed when an employee’s schedule or employment history changes. Someone hired for 15 hours weekly may begin working 30 hours, while a summer employee may stay with the company year-round. Either change could affect whether the original waiver remains appropriate.
LaborFirst uses quarterly wage and hour reports to help track waived employees’ eligibility. However, employers remain responsible for monitoring work schedules, employment history, and waiver status because quarterly reporting may not identify changes immediately. Removing an improper waiver may result in contributions being assessed for earlier periods, with additional charges possible when an employer fails to address an invalid waiver.
Are Delaware Businesses That Hire Seasonal Workers Automatically Exempt?
No. Hiring seasonal workers does not automatically exempt a Delaware business from Paid Leave. A separate exemption may apply to qualifying seasonal businesses that close for at least 30 consecutive days and conduct no commerce during that period. Limited administrative or maintenance work may be permitted if the business meets the state’s conditions.
For example, a seasonal operation that closes to customers and stops commercial activity for a month may qualify, while a year-round restaurant hiring summer employees would not automatically qualify. Individual temporary workers may still qualify for waivers based on their expected schedules or employment duration.
What Should Delaware Employers Review Before 2027?
As Delaware moves from fall into winter, coastal hospitality businesses in Rehoboth Beach and Bethany Beach may reduce staffing after summer tourism, while retailers in Wilmington and Dover prepare for Thanksgiving and Christmas hiring. These changes can affect employee hours, waiver eligibility, and reporting responsibilities.
Participating employers must continue reporting hours and wages for employees with approved waivers. Delaware lists January 30 as the standard fourth-quarter reporting deadline. Because that date falls on a Saturday in 2027, employers should confirm the applicable filing date through LaborFirst and prepare their records before the end of January. Employers can incorporate waiver records and reporting deadlines into regular quarterly compliance checks.
Frequently Asked Questions About Delaware Paid Leave Waivers
Can part-time employees receive Delaware Paid Leave benefits?
Yes. Part-time employees may qualify for Delaware Paid Leave benefits if they meet the program’s requirements. Workers generally need 12 months with their employer, 1,250 hours of service in Delaware during the previous 12 months, and at least 60% of their work physically performed in Delaware each calendar quarter.
Can employees choose to opt out of Delaware Paid Leave?
No. Employees cannot simply opt out of mandatory Delaware Paid Leave coverage. However, temporary workers or those expected to work fewer than 25 hours weekly may qualify for a waiver when they are unlikely to meet the benefit eligibility requirements.
Do seasonal employees count toward Delaware Paid Leave's 10-employee threshold?
Seasonal employees may count toward Delaware Paid Leave’s employer threshold unless they qualify for an applicable exclusion, such as an approved waiver. Employers should review expected schedules and previous employment rather than exclude workers based only on seasonal job titles.
Does an employee have to sign a Delaware Paid Leave waiver?
If employees share the contribution cost, both the employer and employee must sign the waiver. When the employer pays the full contribution, only the employer’s signature is required. Any required employee signature must be voluntary.
Do employers still have to report workers with Delaware Paid Leave waivers?
Yes. Employers participating in Delaware Paid Leave must continue reporting the hours and wages of workers with applicable waivers. These records help determine whether employees are approaching the 1,250-hour service requirement and whether their waiver status needs review.
Review Your Delaware Paid Leave Requirements With JS Benefits Group
Before your next quarterly report, confirm that employee counts, waiver records, and payroll information reflect your current workforce. JS Benefits Group helps Delaware employers evaluate HR compliance responsibilities, employee benefits, and benefits administration needs. Call 877-355-6070 or contact JS Benefits Group to schedule an HR compliance and benefits consultation.
