HB 11’s Failure is a setback, not the end of the road

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By Terrelene Massey, executive director of Southwest Women’s Law Center and Tracy McDaniel, policy director at Southwest Women’s Law Center

The 2025 legislative session began with hope and determination as advocates, including a coalition of over 100 organizations and small businesses, rallied behind House Bill 11 (HB 11), a robust paid family and medical leave bill tailored to meet the needs of New Mexico families. Despite historic progress, the bill was changed mid-session in ways that ultimately fell short of what communities deserve. It failed in its second Senate committee. While this is a setback, it is not the end of the road. Here’s what happened and where we go from here.

The Original Vision for HB 11

HB 11 was modeled after successful paid leave programs in other states and designed with input from New Mexico stakeholders. It proposed a state-run program offering up to 12 weeks of paid leave for new parents and up to nine weeks for individuals recovering from serious medical conditions, caring for sick loved ones, seeking safety from domestic violence, or managing military exigencies.

The program would have been funded through modest contributions from both employees and employers—amounting to less than the cost of a cup of coffee per week. An actuarial study confirmed its long-term sustainability, and during the bill’s first committee hearing in the House Health and Human Services Committee, advocates—including small business owners, caregivers, healthcare providers, and survivors—delivered compelling testimony that helped secure the bill’s passage. Opposition groups, such as chambers of commerce and business associations, strongly opposed the bill, refusing to support even minimal contributions to establish a vital safety net for workers. 

Compromises and Challenges

Despite strong initial support, HB 11 faced significant changes in the House Commerce & Economic Development Committee. The bill sponsors introduced a committee substitute that overhauled the funding structure, replacing the original contribution model for parental leave with a rebate model. Renamed the “Welcome Child Fund,” the rebate model proposed providing three $3,000 monthly payments to one parent. Advocates raised concerns about this model, noting it failed to provide even minimum wage for two-income households and lacked a clear, sustainable funding source for its proposed $193 million annual appropriation, which could have jeopardized its long-term stability.

The committee substitute also reduced medical, safe, and military exigency leave from nine to six weeks, which is not enough time for people to recover from serious illnesses and surgeries. 

Following the committee hearing, our coalition urged lawmakers to restore vital protections from the original bill in written memos, meetings, and public testimony. Despite our best efforts, the substitute bill moved forward, passing the House floor and Senate Tax, Business, and Transportation Committee with only minimal technical changes.

When it reached the Senate Finance Committee, where previous versions of the bill have passed for the last two years, committee members voiced concerns about the bill’s funding structure, the long-term sustainability of the fund, and other issues. The bill failed in an 8-3 vote. 

A Path Forward

During our months of advocacy in the lead-up to and during the session, we laid important groundwork for the eventual passage of paid family and medical leave. Together with our partners and community supporters, we made our voices heard through thousands of phone calls and emails to legislators, public testimony, and an advocacy day at the Roundhouse that drew over 100 advocates.  

New Mexico families deserve a paid family and medical leave program that is inclusive, equitable, and built to last. When facing life’s most challenging moments—whether caring for a new child, supporting a seriously ill family member, or managing a personal health crisis—no one should have to choose between their well-being and their financial security.

Evidence from the thirteen other states that have passed paid family and medical leave shows that these programs increase financial security, lower rates of infant mortality and postpartum depression, and lead to improved health outcomes for entire families. We also know that despite concerns from businesses in New Mexico, businesses in other states report reduced turnover rates, increased productivity, and better morale.

While we are disappointed with the outcome this legislative session, we are more determined than ever to pass a paid family and medical leave bill next year that will work for all of our families. We will continue working with lawmakers and our supporters – who fuel this movement –  to ensure it includes the vital protections that New Mexicans deserve.