Opinion

The Case Against Required Paid Sick Leave

For several years, the idea of mandating every business to offer paid sick leave to their employees has been debated in the Statehouse. The Affiliated Chambers of Commerce of Greater Springfield (ACCGS) has opposed the resulting legislation.

Does opposition to mandated-leave legislation make the ACCGS and its members mean people? Quite the opposite. We simply believe that mandated paid sick leave is an intrusion by government into the relationship employers have with their employees. We believe it is not only wrong but could be counterproductive.

The ACCGS represents roughly 800 businesses, and the vast majority of those businesses offer paid sick leave as part of their overall benefits package. Every member of the ACCGS realizes that their employees are their most vital assets. Whether on the front line of service or in the back rooms for support, the employees of our members are valued by their employers. As such, benefit packages are always under review, either because of employee requests for certain benefits, or because of the escalating costs associated with some benefits. There is a delicate balance for employers when developing benefits packages, but this balance should be settled between employees and employers, not the government.

How does government know the bottom line of a business? How does government know what gives one business in our area a competitive advantage over another business perhaps in a neighboring state? Government-mandated paid sick leave would take the flexibility out of the design of benefit packages intended to suit the distinct needs of a business and its employees. Many companies have best practices that allow their employees leave when ill with no adverse consequences, while providing that business with the flexibility it needs to continue to successfully operate, seen especially in the service sector when maintaining a full staff is crucial.

Many businesses in our region, and around the country, are finding creative ways of providing all types of days off: vacation, sick, personal, or ‘paid time off’ which can be used as best fits the employee’s situation. A state-mandated effort to disrupt those types of agreements would be a move in the wrong direction.

Legislated paid sick leave has once again surfaced, and the ACCGS will once again oppose this effort. While we continue to believe that government intrusion into this issue is simply wrong, we contend that it could also impact continued economic recovery. Our region’s economy is recovering, but our members still express uncertainty over the future as they watch the activities in Washington. State-mandated paid sick leave adds to this uncertainty. It causes businesses to hesitate on increased hiring and to spend more of their focus on developing plans to survive these mandates rather than on working to thrive in this economy. Our legislators have enacted some successful legislation to assist our economic recovery, including the passage of the jobs bill last year and changes to small-business regulations; however, this specific piece of legislation could counteract much of those efforts.

With the strong relationships our members have with their employees, the ACCGS believes the dialogue over paid sick leave should be left to the employer and employee so as to ensure flexibility and promote activity and creativity when developing benefits packages. Let these parties determine what the right benefits are for their individual business models and the specific needs of their employee population rather than through legislation written with no real understanding of the existing relationships between employee and employer.

 

Jeffrey S. Ciuffreda is president of the Affiliated Chambers of Commerce of Greater Springfield.