Governor Kehoe Signs Repeal of State Paid Sick Leave Law

A Brief History of the Sick Leave Law’s Brief Existence

The Sick Leave Law required Missouri employers to provide paid leave for certain illness and safety events experienced by employees and their family members. The Sick Leave Law took effect on May 1, 2025, and requires employers to allow employees to begin accruing paid leave and using that accrued leave immediately.

Missouri employers now face the challenge of adapting to yet another shift in state law. Many businesses spent the past few months adjusting their policies to comply with the Sick Leave Law, investing time and effort into updating payroll and recordkeeping systems, employee handbooks, and administrative procedures for the promulgation of paid leave. The repeal of the Sick Leave Law now places Missouri employers in the difficult position of deciding how to administer the paid sick leave employees will continue to accrue through August 28, while the Sick Leave Law remains in effect.

What Does This Mean for Compliance?

For employers, the repeal presents an opportunity to revisit leave policies and evaluate how further policy changes may affect employee relations and potentially alleviate administrative burdens imposed by the Sick Leave Law. Effective August 28, employers can implement sick and paid time off policies that meet their business needs—Missouri state law will have no requirements to provide paid leave, and no rules applicable to accrual, conditions for use, or any other aspect of an employer’s paid time off policies.

However, employers should hold off on making any immediate policy changes. Missouri businesses are still subject to applicable provisions of the Sick Leave Law and should continue complying with its provisions until the repeal officially takes effect. While that expected effective date is August 28, employers should stay apprised of any potential legal challenges that could delay the implementation of the repeal.

Looking ahead to August 28, staying informed and proactive will be crucial.

Employers should consult with their BCLP employment & labor counsel to review policies and ensure compliance with the law in the coming months to prepare for the imminent repeal.

Note: While the current focus has been on the repeal of the Sick Leave Law, the same bill repeals portions of Proposition A relating to scheduled minimum wage increases. While the increases set to take effect on January 1, 2025 ($13.75/hr) and January 1, 2026 ($15.00/hr) will proceed, future inflation-based increases will no longer take effect.