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Every Monday at 6:42 a.m. and 8:42 a.m., Rob Gilligan provides information on what's happening in the area of regional development in Southeast Missouri. Rob is the President and CEO of the Cape Chamber. Local support for "Let's Talk Business" is provided by Carved + Crafted Catering. (573) 651-2569

Let's Talk Business: What Missouri Businesses Need to Know about Proposition A's Earned Paid Sick Leave

Missouri’s Proposition A, approved by voters in late 2024 and upheld by the state Supreme Court in April 2025, is now in effect as of May 1. This new law requires many employers to provide paid sick leave to their employees, marking a significant shift in workplace policy.

Under Proposition A, employees earn one hour of paid sick time for every 30 hours worked. Employers with 15 or more employees must allow up to 56 hours of paid sick leave per year, while smaller businesses are required to offer up to 40 hours. Employees can carry over up to 80 unused hours annually. Sick leave can be used for personal or family health needs, including illness, injury, or preventive care.

Certain small businesses—with annual gross sales under $500,000—and government agencies are exempt. However, for most employers, the law introduces new responsibilities. Businesses must provide written notice of their sick leave policy to employees and maintain accurate records of hours worked and leave accrued. All paid sick time must be compensated at the employee's regular rate.

Discussions in the Missouri Senate are expected to continue this week around HB 567, which would make changes to the regulations in place. Until new legislation is adopted that modifies the language, Proposition A remains active and enforceable. Employers are encouraged to review the Missouri Department of Labor FAQs and consult legal advisors to ensure full compliance.

Rob is the President and CEO of the Cape Chamber.