The Family and Medical Leave Act (FMLA) was passed in 1993 to address what workers perceived as the untenable choice between caring for their families or keeping their jobs. The FMLA guarantees employees of companies with more than 50 employees up to 12 weeks of unpaid leave annually for certain medical reasons or for the birth or adoption of a child. Generally, employers must maintain insurance coverage for employees who are on FMLA leave and must reinstate them to the same or equivalent job positions when their leave concludes. Familiarity with the FMLA is important for two reasons. First, knowing the eligibility requirements and reinstatement policies will help your company minimize the disruption caused by employees who must be absent from work for family or medical reasons. Second, failing to abide by the provisions of the FMLA can expose a company to significant legal liability. For example, in 1998 a gas-station owner had to pay $43,000 for failing to reinstate a manager when he returned from leave for heart surgery. That same year, Wal-Mart had to pay an employee over $19,000 because it violated the FMLA.