Colorado’s Family and Medical Leave Insurance (FAMLI) program has provided employees with paid leave for major life events since 2024, including bonding with a new child and caring for a family member with a serious health condition.

Starting January 1, 2026, the state is expanding its FAMLI program to support employees facing one of the most stressful early experiences of parenthood: a newborn’s stay in a neonatal intensive care unit (NICU). Employees may qualify for a separate category of paid leave for NICU stays, allowing parents to spend essential time with their hospitalized newborn while preserving their full bonding leave once the child is home.

Key Changes Under the 2026 FAMLI Expansion

Colorado’s FAMLI program, which launched in 2024 to provide paid leave for employees to care for themselves or family members and to bond with a new child, has already reshaped how employers manage leave. Through SB 25-144, Colorado now introduces important updates that expand protections for parents and adjust program funding. Here are the key changes employers need to know:

• Additional NICU Leave. Under FAMLI, eligible employees are entitled up to 12 weeks of paid leave to care for and bond with a child. Beginning January 1, 2026, the FAMLI program expands to provide new parents with up to 12 additional weeks of paid leave while their newborn child is receiving inpatient care in a NICU. The state agency explained that parents may first take up to 12 weeks of NICU leave during...

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