Missouri Earned Paid Sick Time
Beginning May 1, 2025, Missouri will have a new earned paid sick time (EPST) law. The EPST law applies to employers of all sizes and most Missouri employees. However, the law contains some unique employee exemptions, including for employees of retail or services businesses with less than $500,000 of annual gross sales.
Accrual, Carryover, and Frontloading
Employees will accrue EPST at a rate of one hour for every 30 hours worked starting May 1, 2025, or upon hire—whichever is later. Employers can calculate exempt employees' accrual based on a 40-hour workweek (even if employees generally work more than that) or their usual number of hours if they regularly work less than 40 hours. Employers can alternatively frontload the full amount of EPST at the beginning of each year.
Up to 80 hours of unused accrued EPST may be carried over from year to year (and frontloading doesn’t eliminate the carry-over requirement). Employers can avoid carry-over by paying employees for accrued but unused EPST (up to 80 hours) at year-end and provide their full lump sum of EPST for immediate use at the beginning of the new benefit year.
Use
Employers with 14 or fewer employees can cap employees' use at 40 hours of EPST per year, while those with 15 or more employees can cap employees' use at 56 hours per year. Employees can use EPST as soon as it's accrued for the following reasons:
Their own or their family member's mental or physical illness, injury, or health condition, including preventive medical care
The closure of their workplace or their child's school or place of care because of a public health emergency
To care for themselves or a family member because of a determination of exposure to a communicable disease
Certain covered reasons related to domestic abuse, sexual assault, or stalking of the employee or their family member
EPST needs to be provided in the smallest increment of time tracked by the employer's payroll system (but not more than one hour) and paid at the employee's hourly rate of pay or minimum wage, whichever is greater. For exempt employees, the hourly rate of pay is calculated by dividing the wages they earned by the number of hours worked in the previous pay period.
As is standard with sick leave laws, employers can't require that employees find their own coverage or deny them use of EPST if a replacement worker can't be found. When employees use EPST for three or more consecutive workdays, employers can request reasonable documentation that the leave was used for a covered purpose.
Notice
Employers must give employees notice about their EPST rights by April 15, 2025, or within 14 calendar days of hire, whichever is later. The notice must include the following information (in at least 14-point font):
Beginning May 1, 2025, employees are entitled to accrue EPST at the rate of one hour for every 30 hours of work and may use EPST subject to the limits and terms of the law
Employers can't take retaliatory action against employees who request or use EPST
Employees' rights to bring a civil action in certain circumstances
Contact information for the Missouri Department of Labor and Industrial Relations (DOL)
Additionally, employers must display a poster that contains this information in a conspicuous and accessible place for employees if the state has created one. We're hoping the state will release a model notice and poster in the near future.
Employers aren't required to pay out unused EPST when an employee quits or is terminated. However, employees who are rehired within nine months of separation must have their previously unused EPST restored. Employers can use an existing paid leave policy to meet the requirements of EPST as long as it meets or exceeds the requirements of the EPST law. The Missouri DOL has released FAQs on its website.
Action Items:
Update your handbook to provide an EPST policy or, alternatively, if you will be including EPST as part of an existing paid time off policy, review and make necessary changes
Add the EPST notice to your new hire documentation and provide it to current employees by April 15, 2025
If the state creates a model poster, post it in the workplace