Move Reflects Broader Trend Toward Local Regulation
Chicago is considering mandated paid sick, maternity, and paternity leave for businesses in the city. During his hard-fought re-election campaign against a liberal challenger, Democratic Mayor Rahm Emanuel promised the creation of a Working Families Working Group that would, in his words, “address paid sick leave for workers, provide protections to shift workers and pregnant employees, and expand access to paid leave for new parents.” The inclusion of paid time off for the parents of infants has caused special concern among members of the business community. No city in the United States has implemented such a mandate, but Emanuel is apparently considering this new requirement as part of his second term in office. Democrats in the city first called for a paid sick requirement long before the recent election.
What Happens Next
The incipient effort to create an unprecedented mandate faces a long road ahead. The Emanuel Administration has provided minimal information on the Working Families Working Group, broadly outlining its mandate and membership without going into detail. According to a spokesman, the Group will launch next month.
What It Means For Small Business
Heavy-handed government mandates threaten the flexibility many businesses require to operate. While many employers choose to offer paid time off for their employees, any time the government issues a paid leave requirement, it interferes with voluntary policies that often exceed legal requirements. Mandates can result in employees actually having less paid time off.
More broadly, Chicago’s deliberation over this misguided proposal is indicative of increasing calls for business reforms at the local level across the country. As advocates of sick and paternity leave laws, minimum wage hikes, and other progressive causes meet intractable resistance at the Federal level, they are increasingly turning to municipal governments to issue new requirements. Rhode Island, New Jersey, and California all require family leave in excess of Federal law, while three states and 18 cities have paid sick leave mandates. Philadelphia, one of the 18 cities, recently passed a law requiring paid sick leave that is likely to be pre-empted by state law.
Additional Reading
Other media outlets covering the city’s deliberation include Crain’s Chicago Business and the Chicago Tribune.
