PA Chamber says “patchwork” labor policies could hurt state’s business climate

The Pennsylvania Chamber of Business and Industry (PA Chamber) said last week that the Pennsylvania Supreme Court’s decision to overturn the Commonwealth and Allegheny County courts and uphold Pittsburgh’s paid sick leave mandate could hurt the state’s business climate.

Under the rule, employers with 15 or more employees must provide up to 40 hours of paid sick leave each year. Employers with fewer than 15 employees must give them up to 24 hours of paid sick leave each year.

“We have had serious concerns with the Pittsburgh ordinance since it was passed in 2015 and now fear this court decision will have a negative impact on the state’s overall business climate,” PA Chamber President and CEO Gene Barr said. “Beyond the costs and administrative burdens, employers have raised a number of specific concerns with the ordinance including that employees can use leave in as little as one-hour increments with no prior notification and employers cannot request any documentation that the entitlement was utilized for an eligible purpose until the third consecutive day of leave. Additionally troubling, construction unions are specifically exempt from the mandate – a special carve-out that appears consistent with efforts across the country to tilt the playing field in favor of organized labor through legislation.”

The Chamber also urged Congress to advance House Bill 331, which was introduced by Rep. Seth M. Grove (R-York) and would preempt local governments from passing labor policies to establish a uniform labor policy throughout Pennsylvania. The bill was introduced as House Bill 861 and advanced by the House Labor and Industry Committee last session.

“One-size-fits-all employer mandates often turn into one-size-fits-none, as employers are prevented from developing policies that account for their particular workplace needs,” Barr said. “This decision could initiate a patchwork of employment policies throughout the state’s thousands of municipalities, which will increase the cost of doing business in the Commonwealth and will send a red flag to employers looking to expand or invest here. To that end, we are urging the General Assembly to pass – and Gov. Tom Wolf to sign – House Bill 331, which would affirm the state’s responsibility for regulating employment policies.”