Vermont Business Magazine The paid sick leave bill (Healthy Workplaces bill H187) passed the Vermont State Senate with a vote of 21-8 on this afternoon. The bill was amended slightly on the Senate floor after senators sought to reduce the impact of the act on very small businesses. Small businesses with five or fewer employees will not be required to offer paid sick days until 2018. An amendment to exempt small businesses entirely failed.. H187 passed the House last year on a vote of 72-63. The bill now goes back to the House because it was amended, which could trigger a Conference Committee.
Annie Accettella, Paid Sick Days Campaign Manager said in a statement: "The Senate stood tall for working families today. This strong vote is a big step toward finally giving workers the rights they deserve."
Kris Jolin, Vermont representative for the National Federation of Independent Business (NFIB), said in a statement: "This will no doubt come at a high cost to small businesses and will certainly have a serious effect on jobs and the economy in our state. We implore members of the House to take into account the detrimental impact that imposing such a mandate will have on job creation and the difficulty that the small business sector will have in absorbing the price of this legislation."
Governor Peter Shumlin issued the following statement Tuesday after the Senate's initial approval: “This is a big step forward for employees, employers, and all Vermonters. Most Vermonters agree that those who are sick shouldn’t be going to work and potentially infecting others. With 90 percent of food workers nationwide reporting that they go to work sick – and 65 percent of foodborne illnesses resulting from the handling of food by someone who is sick – this is as much a public health issue as it is one that reflects our values as Vermonters. The question has been about how we construct legislation to protect public health and put those values into practice. The bill voted on by the Senate today does that. I want to thank the entire Senate for their hard work, and especially Senate President Pro Tem John Campbell for his leadership in moving this bill forward. The House did good work on this issue by passing a similar bill last year, and I am hopeful they will work with the Senate to get a bill to my desk quickly.”
Lieutenant Governor Phil Scott issued the following statement:
“While I appreciate the concessions made on paid sick leave over the last four years, this bill is not perfect. I would have preferred to see the additional exemptions for small businesses offered by amendment today in the Senate.
“The timing of this legislation is unfortunate for Vermont’s small businesses who are struggling in light of the numerous mandates the Legislature has imposed on our businesses over the last few years, one example being mandating enrollment in Vermont Health Connect despite the fact that Vermont is the only state in the nation which enacted this for businesses with fewer than 50 employees. These types of mandates further Vermont’s reputation as being unfriendly to the challenges of building a small business.
“However, under the leadership of Senator Mullin, the Senate worked in partnership with the business community to address some of their concerns, and added a number of their key recommendations.The result is a compromise that is limited in scope, allows for flexibility and expands sick leave to many Vermonters who don't have it today.
“It is my hope that the economically essential concessions made to the job creators, and the compromise achieved in the dialogue are enhanced, or at least preserved, when the bill returns to the House for consideration. If the bill reaches final passage, it is imperative that these new mandates be clearly and quickly communicated to every single Vermont business so they can understand what is expected of them, rather than find out at a later date that they weren’t in compliance and facing penalties.”
In his State of the State address on January 7, Shumlin explained his support: "Vermonters who are sick should not have to choose between going to work or losing their job. This isn't just about fairness for employees; it's about protecting all of us. Nationwide, almost 90 percent of food workers report that they go to work sick, and according to the CDC, 65 percent of foodborne illnesses result from the handling of food by someone who's sick. I'm encouraged that the Senate is committed to getting the good bill the House passed last year to my desk."
About 60,000 Vermont workers are not currently covered by a paid sick leave provision at work.
Senators made a number of business-friendly changes to the bill that was passed by the Vermont House last year, including exempting part-time workers (defined as working less than 18 hours per week) and high school students (defined as workers under the age of 18). The committee also added in a one-year exemption from the requirement for newly-opened businesses.
Bill Tracking HERE.
- Businesses with 5 or fewer empployees are exempt until 2018.
- The bill is phased in over several years. Employees are allowed to earn a maximum of three days off (24 hours) for the first two years and that number increases to five days (40 hours) in the third year of implementation.
- Qualifying employees earn one hour of paid time off for every 52 hours they work.
- There is a waiting period for new hires of 2080 hours worked or one year - whichever comes first. Employees earn time during this period, but cannot use it.
- Employees are allowed to use this earned time off to care for themselves or a family member when sick or injured, to seek routine medical treatment, or to seek help and services in situations of domestic violence, sexual abuse, or stalking.
- The bill does not require employers to provide "paid sick days" over their current paid time off policies (vacation, combined time off, etc) so long as their plan meets the minimumrequirements in the bill.
The Senate bill tightens who must be covered. For instance, a worker has to be at least 18, work at least 18 hours a week and more than 20 weeks in a year, and not be a contracted worker (which the state is also now using stricter rules for employers to include more previously considered "contracted" as now employees). The language gives employers more leeway in what is considered "sick time" compensation, but it does cover temporary workers if they meet the other provisions.