The "Welcome Child and Family Wellness Leave Act" establishes a comprehensive framework for family wellness leave, introducing two key funds: the Family Wellness Leave Fund and the Welcome Child Fund. The Family Wellness Leave Fund will provide eligible individuals with a percentage of their wages during various types of leave, including bereavement, medical, and safe leave. The Welcome Child Fund offers a $3,000 monthly refund for three months following the birth or adoption of a child. The act outlines eligibility criteria, requiring applicants to have been employed for at least six months and to provide documentation of the child's birth or adoption. It also specifies the calculation of benefits based on average weekly wages and sets a maximum payment limit based on the annual mean wage in New Mexico.

Additionally, the act mandates contributions to the Family Wellness Leave Fund from employees, employers, and self-employed individuals, while allowing employers with existing leave plans that meet or exceed the act's requirements to apply for waivers. It includes provisions for confidentiality, employee rights notifications, and protections against retaliation. The bill establishes a hearing process for complaints and allows for appeals to district court, while also creating a Welcome Child and Family Wellness Leave Implementation Advisory Committee to provide input on best practices. Notably, the bill introduces new material that preempts local governments from enacting conflicting ordinances, ensuring a consistent approach to family wellness leave across the state.