Missouri’s Paid Sick Leave Repealed – But Employers Still Have Remaining Compliance Obligations

Nearly two months after Missouri lawmakers voted to repeal the state’s new earned paid sick leave law, Governor Mike Kehoe officially signed the bill memorializing the repeal into law. This means that after August 27, 2025, Missouri employers will no longer be required to provide their employees with paid sick leave. Although the end of the “will-they-won’t-they” paid sick leave saga is in sight, we’ve summarized what Missouri employers need to do to remain compliant until the repeal goes into effect and practical considerations for revising any paid leave policies.

Sick Leave Limbo: A Brief History

• Last November, Missouri voters approved Proposition A, which required employers to provide one hour of paid sick leave for every 30 hours worked. Prop A also included cost-of-living wage increases that were slated to take effect starting in January 2027 and each January thereafter, adjusting the state’s minimum wage after it rises to $15/hour on January 1, 2026.
• The law, which took effect on May 1, was repealed on May 14 when the Missouri Senate passed House Bill 567 (read more here). The repeal removed all requirements of employers to provide Missouri employees with paid sick leave, and kept the state minimum wage at $13.75/hour until January 1, 2026 when it is set to automatically increase to $15/hour.
• Since May 15, employers have been in sick leave limbo, waiting for Gov. Kehoe to sign the bill while keeping an eye on potential legal challenges to the repeal.
• Last week, on July 10, Gov. Kehoe made it official and signed the repeal into law.

Employer Compliance Through August 27, 2025

Employers may be confused about whether compliance will be required during this interim period. Follow our steps below to ensure your company’s compliance and to navigate the changes with employee morale in mind.

1. Stay the Course. Because the repeal does not take effect until August 28, Prop A’s requirements are still in place through that date. In order to remain compliant, employees should still accrue a minimum of one hour of paid sick time for every 30 hours worked without a cap on the accrual amount. For salary-exempt employees, a 40-hour work week should be assumed for accrual purposes (unless the exempt employee’s normal work week is under 40 hours!).

2. Revise Policies as Necessary. From now until August 28, Prop A’s job protections still apply to eligible employees in Missouri. After that date, Missouri employers are free to revisit their sick leave and paid time off policies and make any necessary adjustments consistent with business needs. Employers should be mindful that elimination of any accrued but unused paid sick leave time may have a negative impact on employee morale. As a result, many employers may choose to retain or modify their current policies for competitive, cultural, or compliance reasons (especially if operating in cities with local rules or federal contract obligations).

As of the date of publishing, the Missouri Department of Labor has not published any guidance for interim compliance with the sick leave law. Employers should consult with their FP counsel to ensure compliance with the repeal and to how to best plan for future legal challenges to the repeal.

3. Communicate and Coordinate. It is likely that your employees, much like your favorite employment lawyers, are getting whiplash from shifting headlines and policy changes since the initial vote in November. To mitigate questions and prevent frustrations caused by lack of communication, any changes to your policies should be communicated clearly, in writing, and with reasonable notice. Sudden takeaways, even if legally permissible, can damage morale and risk employee relations issues. In addition to communicating any changes to employees, employers should ensure their HR, legal, payroll and compliance teams have a clear understanding of what changes are being made and how to implement them across systems and leave tracking platforms.

Conclusion

We’ll continue monitoring developments and provide updates as they unfold, so make sure you are subscribed to Fisher Phillips’ Insight System to get the most up-to-date information. If you have questions, contact your Fisher Phillips attorney, any attorney in our Kansas City office, or the authors of this Insight.