Studies Show Paid Leave Mandates Hurt The Economy

“One of the great mistakes is to judge policies and programs by their intentions rather than their results.” – Nobel Prize winning economist Milton Friedman

Sick Leave mandates look good on the surface but studies show that they come at the expense of lost hours and lower wages.

Every business person knows the consequence of increasing the costs of doing business. Either they must get more money in the door to pay the increase or something else must give. Any business person can tell you that increased government regulation and unfunded mandates puts a strain on the ability to employ more people.

Every new mandate comes at a cost. If businesses have to provide paid sick leave, their employees will face cuts in wages or other benefits, like health insurance, retirement, or vacation.

Here are three studies that show how sick leave mandates have negatively affected different cities:


The Effect of Mandatory Paid Sick Leave Policies – Reviewing the Evidence