By: HUB's Absence Management Team

Overview

On February 27, 2025, the Philadelphia City Council passed Bill No. 250122, significantly expanding the city's Promoting Healthy Families and Workplaces Ordinance (Philadelphia Paid Sick Leave). Mayor Cherelle Parker signed the legislation on March 15, 2025, with provisions set to take effect on May 27, 2025. This update outlines the ordinance amendments' impact on employer obligations and provides guidance for compliance.

Key Changes to Philadelphia Paid Sick Leave

Increased Accrual Caps

Current law: Employers with 10+ employees must provide up to 40 hours of paid sick leave per year; smaller employers must provide up to 40 hours of unpaid sick leave.

Amended law: Increases accrual and usage caps based on employer size:

  • Employers with 50+ employees: Up to 80 hours (10 days) of paid sick leave per year
  • Employers with 10-49 employees: Up to 56 hours (7 days) of paid sick leave per year
  • Employers with fewer than 10 employees: Up to 40 hours (5 days) of unpaid sick leave per year

Expanded Covered Uses

Current law: Employees may use sick leave for their own illness, injury, or health condition; care of a family member; closure of workplace or school due to public health emergency; or care for a family member exposed to a communicable disease.

Amended law: Adds the following qualifying reasons:

  • Attending school-related conferences or meetings for employee's child when requested by school
  • Addressing effects of domestic violence, sexual assault, or stalking ("safe time")
  • Caring for a service animal with a health condition
  • Any reason related to a public health emergency declared by a federal, state, or local official

Broadened Definition of "Family Member"

Current law: Includes child, spouse, parent, grandparent, spouse of grandparent, grandchild, sibling, spouse of sibling, life partner, parent of spouse or life partner, and child of spouse or life partner.

Amended law: Expands to include:

  • Any individual related by blood or affinity whose close association with the employee is equivalent to a family relationship
  • Household members
  • Domestic partners (under broader definition than current "life partner")
  • Any person for whom the employee is responsible for providing or arranging care

Modified Documentation Requirements

Current law: Documentation may be required for absences of more than two consecutive days.

Amended law:

  • Prohibits requiring documentation for absences of three or fewer consecutive days
  • For longer absences, limits acceptable documentation to a signed statement from the employee
  • Prohibits requiring detailed medical information or disclosure of the specific nature of health conditions
  • Requires employers to cover any costs associated with obtaining documentation

Enhanced Anti-Retaliation Provisions

Amended law: Strengthens protections by:

  • Creating a rebuttable presumption of retaliation for adverse actions taken within 90 days of an employee exercising rights
  • Prohibiting employers from counting sick leave as an "occurrence" under absence control policies
  • Requiring clear and convincing evidence to overcome presumption of retaliation
  • Increasing penalties for violations

Notice and Posting Requirements

Amended law: Expands requirements to:

  • Post updated notice in each workplace in English and any language spoken by at least 5% of workforce
  • Provide electronic notice to remote employees
  • Include detailed sick leave policy in employee handbooks
  • Provide pay statements showing available sick leave balance

Next Steps for Employers

Immediate Actions (By April 27, 2025)

  • Determine Coverage: Assess current employee count to determine which tier of requirements applies
  • Policy Review: Begin updating sick leave policies to incorporate expanded provisions
  • Payroll Audit: Ensure payroll systems can track and display increased accrual caps
  • Budget Planning: Anticipate increased costs associated with expanded leave availability

Pre-Implementation Activities (By May 26, 2025)

  • Update Written Policies: Revise employee handbooks and standalone sick leave policies to reflect all changes
  • Train HR Personnel and Managers: Educate your team on:
    • Expanded qualifying reasons for leave
    • Broader family member definitions
    • New documentation limitations
    • Enhanced anti-retaliation provisions
  • Obtain Updated Notices: Secure the latest model notices from Philadelphia Department of Labor
  • Review Recordkeeping Systems: Ensure systems can track expanded leave usage and properly display balances on pay statements
  • Update Occurrence Tracking: Modify attendance policies to exclude sick leave from absence control calculations

Post-Implementation Activities (May 27, 2025 onward)

  • Distribute Updated Notices: Provide all employees with the new sick leave policy
  • Post Updated Workplace Notices: Display the new notice in conspicuous locations in each workplace
  • Monitor Compliance: Conduct regular audits of your sick leave administration processes
  • Document Everything: Maintain thorough records of notices provided to employees and policy implementations
  • Stay Informed: Watch for regulatory guidance or clarifications from the Philadelphia Department of Labor

Additional Considerations

  • Multi-jurisdiction employers should review how this ordinance interacts with state and other local sick leave laws
  • Consider providing specialized training to supervisors on handling sick leave requests appropriately
  • Review PTO policies if using a combined leave approach to ensure compliance with all aspects of the ordinance
  • Evaluate collective bargaining agreements to ensure compliance with the amended requirements

Additional Resources

For more information regarding Philadelphia's amended Paid Sick Leave Ordinance, visit:

If you have any questions, please contact your HUB Advisor. We will continue to monitor and provide updates as more information becomes available. View more Workforce Absence Management updates in our WAM Bulletins page.

NOTICE OF DISCLAIMER
Neither Hub International Limited nor any of its affiliated companies is a law or accounting firm, and therefore they cannot provide legal or tax advice. The information herein is provided for general information only and is not intended to constitute legal or tax advice as to an organization’s specific circumstances. You should consult an attorney, accountant, or other legal or tax professional regarding the application of the general information provided here to your organization’s specific situation in light of your organization’s particular needs.