Workers can get more money per week from a workers’ compensation claim, and at the same time businesses are being asked to pay less into the state workers’ comp system.

Effective Jan. 1, New York’s workers compensation program is getting rebalanced — the minimum weekly benefit for an employee receiving workers’ compensation will go up to $325, up from the $150 per week the program has offered for over a decade. Effective in 2026, the maximum weekly benefit will be pegged to the state average weekly wage.

At the same time, the businesses that pay into the state workers’ compensation program will see a decrease in their responsibility. Effective Jan. 1, the assessment rate for employers will be 7.1% of the standard premium or equivalent, a decrease of 22% from 2024. That’s expected to save private businesses $191 million across the state.

Workers’ compensation is an insurance program that most employers are required to pay into — it covers costs for employees who are injured or fall ill as a direct result of their occupation, with claims processed by a board of officials nominated by state elected leaders. The state collects an assessment fee, charged by the insurance companies that carry the policies and passed through to the state, to administer the program.

Additionally, the paid family leave program that provides up to 12 weeks of job protection and paid time off for employees to care for a new child, a sick family member or assist when a family member is deployed on active military service is getting a boost. Starting Jan. 1, eligible employees can receive up to $14,127.84 in benefits from the program, a boost of $300 from 2024. The maximum total benefit per week will be $1,757.19, and recipients get 67% of their annual weekly wage from the program up to that cap.

“Hardworking New Yorkers shouldn’t have to worry about how they’ll buy food or pay rent when they need time off to care for a new child or family member with a serious health condition, or get injured on the job,” Gov. Kathy. Hochul said. “Likewise, business owners who have their own bills to pay and families to support also need affordable solutions.”