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September 29, 2014

Briefing: Mandating sick time

While the race for governor and the effort to repeal the casino law in Massachusetts highlight the Nov. 4 election ballot, Question 4, which, if passed, would mandate sick time for most employees, could have greater implications for the business community at large.

What would happen if Question 4 passes?

Question 4 would require Bay State employers to offer up to 40 hours of sick time to their employees. The time would accrued and be made available after a 90-day probationary period, with employees earning one hour of sick time for every 30 hours worked.

Companies with at least 11 employees would have to pay them for sick time, while those with 10 or fewer employees would not be required to pay. Under the law, sick time could be used for the employee's health needs or those of a child, spouse, parent, or spouse's parent.

What’s the state of sick time in the U.S.?

If approved, Massachusetts would become the third state to enact a sick-time law. Lawmakers have tried to pass a law in some form since 2005 to no avail. California and Connecticut have passed laws, while a handful of U.S. cities have similar ordinances.

In March, the U.S. Bureau of Labor Statistics (BLS) published data showing that the majority of private-sector employees — 61 percent — enjoy paid sick time as a benefit.

What do proponents say?

They estimate that about 1 in 3 Massachusetts workers, or roughly 1 million people, don't receive paid sick time, impacting low-wage workers at a disproportionately high rate. For those who don't have paid sick time, taking a day off due to illness means they'll lose wages. Proponents say this is detrimental to employers, who see productivity suffer when sick employees show up to work. They also say that offering sick time will create a more loyal workforce, reducing the rate of turnover. Children of employees with no sick time benefits also suffer, they say, as parents often have no choice but to send sick kids to school or day care.

And the business community?

Industry groups have largely taken the position that offering paid sick time may be a good business practice, but should not be legislated. Organizations that oppose the question include the Retailers Association of Massachusetts, the Associated Industries of Massachusetts and the state chapter of the National Federation of Independent Business. Meanwhile, major health care systems, including Partners Health Care and Steward Health Care of Boston, have endorsed Question 4, arguing that sick-time benefits are essential to sound public health policy.

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