EPST Play-By-Play: Missouri’s New Earned Paid Sick Time Law

Accounting blog: EPST Play-By-Play: Missouri’s New Earned Paid Sick Time Law

Missouri’s Earned Paid Sick Time Law: Another Rollercoaster Ride

Missouri’s Earned Paid Sick Time (EPST) law, passed by voters via Proposition A on November 5, 2024, was supposed to usher in a new era of worker benefits starting May 1, 2025.

But as of today, March 19, 2025, this law is caught in a whirlwind of legislative pushback and legal challenges that could derail it entirely.

The Missouri House is trying to repeal it, the Senate’s on recess, and the Supreme Court is still mulling over its fate.

Whether you’re an employee eyeing those sick days or a business owner prepping policies, here’s everything you need to know about this wild ride.

EPST Highlights:

  • What’s EPST?
    • Missouri’s voter-approved law (Prop A, Nov 2024) offers paid sick leave—1 hour earned per 30 hours worked, capped at 40 or 56 hours yearly, with an 80-hour carryover—set for May 1, 2025.
  • Legislative Drama:
    • House Bill 567 passed the House to repeal EPST; it’s now with the Senate (back from recess March 24). An emergency clause could kill it fast if signed.
  • Court Clash:
    • The Missouri Supreme Court heard a lawsuit on March 12 claiming Prop A’s wage + sick leave combo breaks rules. Ruling’s pending—could delay or nix EPST.
  • Now What?
    • Employers prep policies but stay flexible; workers hope for benefits but anticipate status quo. Check updates by April 15.

The EPST Law: What It Was Supposed to Be

EPST Rewind

Let’s rewind to the basics.

Proposition A promised two big wins: a minimum wage hike (to $13.75 in 2025, then $15 by 2026) and the EPST law, mandating paid sick leave for most Missouri workers.

According to the Missouri Department of Labor’s FAQs, here’s what EPST was set to deliver starting May 1:

  • Accrual Rate: Workers earn 1 hour of paid sick time for every 30 hours worked. A full-timer doing 40 hours a week could rack up about 70 hours a year—enough for a nasty flu or a kid’s doctor visits.
  • Usage Caps: Small businesses (14 or fewer employees) can limit usage to 40 hours (5 days) per year, while larger ones (15 or more) can cap it at 56 hours (7 days). Generous employers can offer more, but these are the floors.
  • Carryover: Up to 80 hours of unused sick time can roll over to the next year—like a savings account for your health.
  • Documentation: For absences of 3+ consecutive workdays, employers can ask for “reasonable documentation” (think doctor’s note) to keep things legit.
  • Notice: Employers must inform workers of their EPST rights by April 15, 2025, or within 14 days of hiring, and post a workplace notice—like a friendly reminder of your benefits.
  • Exemptions: Federal and state governments (including cities and schools) are out, as are private businesses with under $500,000 in annual gross revenue.

It sounded like a done deal—until the plot thickened.

EPST Jefferson City, MO

The Legislative Twist: House Bill 567

Fast forward to March 2025, and the Missouri House of Representatives threw a curveball. They’ve passed House Bill 567, which aims to repeal the EPST law entirely.

As of now, HB 567 is sitting with the Missouri Senate, which is on spring recess until March 24, 2025.

Will they pass it? Will they slap on an emergency clause to make it effective the second Governor Mike Parson signs it? No one knows yet.

Business groups, who’ve never loved Proposition A, are cheering this on, arguing it’s a burden on employers.

Workers’ advocates, meanwhile, are fuming, saying it’s a betrayal of the ballot box. With less than six weeks until the April 15 notice deadline, the clock’s ticking.

The Legal Showdown: Missouri Supreme Court

If that wasn’t enough drama, there’s a courtroom subplot. On March 12, 2025, the Missouri Supreme Court heard arguments in a lawsuit led by the Missouri Chamber of Commerce.

Their beef?

Proposition A breaks the state constitution’s “single-subject rule” by mixing minimum wage hikes with sick leave in one measure. It’s like serving pizza and ice cream on the same plate—delicious to some, illegal to others (at least constitutionally).

The court hasn’t ruled yet, and their decision could be a game-change:

  • If they side with the business groups, EPST might be struck down or delayed, even if the Senate keeps it alive.
  • If they uphold it, HB 567 becomes the last hurdle to the law going into effect.

Either way, employers and workers are stuck in limbo, waiting for the gavel to drop.

Where EPST Stands Today

As of March 19, 2025, the EPST law is still technically on track for May 1—but it’s on shaky ground. The Missouri Department of Labor advises employers to:

  • Keep prepping for implementation (policies, tracking systems, posters).
  • Watch for updates from the MDOL and legislature.
  • Wait for the Supreme Court’s ruling.
  • Talk to legal counsel.
  • Be ready to notify employees by April 15—unless repeal or a court says otherwise.

It’s a classic “hurry up and wait” scenario.

Let’s break down what this means for everyone involved.

For Business Owners: A Policy Puzzle

If EPST survives, nearly every Missouri employer (barring exemptions) will need to revamp leave policies.

Imagine you run a small café with 10 workers. You’d track their hours, cap sick time at 40 hours a year, and maybe budget for a few extra shifts to cover absences.

Bigger outfits—like a 20-person repair shop—face the 56-hour cap and more paperwork. The 80-hour carryover adds complexity; you’d need a system to track what rolls over each year.

But with HB 567 and the lawsuit in play, it’s like building a sandcastle during a storm. Do you invest in payroll software now, only for the law to vanish? Or do you wait and risk scrambling if it sticks?

Experts say keep moving forward—draft policies, train staff, order that poster—but stay nimble. If the law’s repealed or ruled unconstitutional, you can pivot. If it holds, you’re ahead of the game.

For Workers: A Benefit in Jeopardy

Employees were set to gain a safety net—time off for illness without losing pay. The carryover rule was a bonus—save up to 80 hours for a rainy (or sneezy) day.

But now? It’s a coin toss.

If HB 567 passes and gets an emergency clause, those benefit guarantees could vanish before they even start. If the court kills Proposition A, same deal. For now, workers can only cross their fingers and hope.

A Quick History Lesson: Sick Leave’s Rocky Road

To understand this mess, let’s zoom out. Paid sick leave isn’t some ancient right—it’s a modern invention. In the 1800s, workers got nothing; sick days meant no wages, maybe no job.

The 20th century brought change—unions fought for benefits, and the 1938 Fair Labor Standards Act set wage rules, but sick leave stayed optional. The 1993 FMLA offered unpaid leave for big employers, but pay? Still a perk, not a right.

States started mandating paid sick leave in the 2000s—Connecticut in 2011, California in 2015, Illinois in 2023. Missouri’s EPST was poised to join this club, a red-state rarity.

But its potential repeal echoes history too—businesses have long resisted labor mandates, arguing cost, complexity, and constitutionality.

Missouri’s Labor Landscape: Why The EPST Fight Matters

EPST Labor Day

Missouri’s traditionally been light on mandated worker protections. It’s a right-to-work state, meaning unions struggle for footholds, and benefits like sick leave have been optional pre-EPST.

The minimum wage was $12.30 in 2024 (now climbing under Prop A), but extras are up to the boss. EPST was a shift—if it dies, Missouri remains a holdout against mandating paid leave.

This isn’t just about Missouri. It’s a microcosm of America’s work-health debate. Post-COVID, we learned more than just workers are affected when they get sick—productivity, public health, morale, etc.

EPST aimed to address that, but the backlash shows how divisive hard mandates remain vs incentives to provide optional benefits.

Missouri’s Earned Paid Sick Time law hangs by a thread as May 1, 2025 looms. House Bill 567 could repeal it, the Supreme Court could strike it, or it might squeak through—bruised but alive.

Employers, keep prepping your paperwork and modifying your budget forecasts, but stay flexible.

Workers, hold onto hope but brace for disappointment—and take lots of Vitamin C (this isn’t medical advice).

By April 15, we’ll know more—or be back at square one. Either way, this saga’s a lesson in democracy, labor, and the unpredictable dance through the relentless passage of time.

 

Important Note:

The Missouri EPST law, as passed under Proposition A, states that employers with a paid leave policy (like PTO) that provides an amount of leave sufficient to meet the accrual requirements and allows it to be used for the same purposes and under the same conditions as EPST don’t have to offer additional sick time. This is explicitly supported by the MDOL FAQs and the statutory language (RSMo § 290.603.5).

 

Questions? Contact us.

Disclaimer: The content on this blog is for informational, educational, and occasional entertainment purposes only. It should not be construed as legal, tax, or financial advice.

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