Certain Texas Employers Must Provide Paid Sick Leave to Employees

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Pursuant to city ordinances effective August 1, 2019, many private employers in San Antonio and Dallas must provide their employees up to 8 days of paid sick leave per year. The Texas Legislature recently ended its session without passing a proposed bill prohibiting such ordinances. Now, employers in San Antonio and Dallas must prepare for this additional employee benefit.

The City of Austin passed a similar local ordinance, initially set to take effect August 1 as well. However, the Austin ordinance is currently enjoined by court order after a Texas appellate court found the ordinance to be unconstitutional and preempted by the Texas Minimum Wage Act. The issue is currently on appeal to the Texas Supreme Court. Given the injunction and the pending appeal, the City of Austin is postponing the effective date for its Earned Sick Time Ordinance until the Texas Supreme Court issues a ruling.

All three city ordinances are similar, each requiring private employers of any size to provide paid sick leave to their employees, accrued at one hour of paid sick leave for every thirty hours worked. Workers are permitted to accrue up to 64 hours of paid sick leave each year, if their employer has at least fifteen employees. Employers with less than fifteen employees must provide up to 48 hours of permitted leave. Employers must also issue a monthly accounting or similar notice to their employees, apprising them of their then–available accrued paid sick leave. In addition, Dallas and San Antonio employers must include a notice of employee rights and remedies under the respective ordinances in the employee handbook, if applicable. Violations may result in a civil fine of up to $500 per violation.

Employers with San Antonio- and Dallas-based employees should prepare for these upcoming changes, as necessary, in advance of the impending August 1 effective dates. To learn more about the Dallas paid sick leave ordinance, read our recent Quick Study.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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