Missouri Senate Passes Bill To Repeal Proposition A

Well, after our all our updates about Prop A  going into effect, the Missouri Senate passed a bill repealing the paid sick leave provisions of Proposition A. The passage of HCS House Bill 567, 546, 758 & 958 (Gallick) has sparked widespread reactions from lawmakers, workers, and the business community. This legislation marks a pivotal moment for labor and employer relations in Missouri, introducing significant changes to existing laws that affect businesses and employees alike.

A Legislative Battle Stretching Over Weeks

The road to passage was anything but smooth. For several weeks, Missouri lawmakers engaged in extensive negotiations and even filibusters while deliberating over modifications to the bill. Despite numerous compromises presented in hopes of bridging partisan divides, Democrat senators rejected all proposed versions.

Ultimately, the Republican-led Senate employed a rarely used procedural motion to overcome the filibuster and bring the bill to a vote. This maneuver enabled senators to pass the version previously approved by the Missouri House of Representatives, culminating in a hard-fought legislative victory for Republicans and business groups backing the measure.

What the Bill Changes

The most notable component of the bill is the repeal of the paid sick leave provisions established under Proposition A. This decision has been heralded as a win for businesses concerned about the law’s impact. According to Ray McCarty, president of Associated Industries of Missouri, the repeal addresses widespread concerns raised by employers.

“Missouri businesses are thankful the Missouri Senate has taken this bold action today,” McCarty stated. “We have talked with hundreds of business leaders that are extremely concerned about the implications of the paid sick leave law, including not being able to control the use of sick leave, frivolous lawsuit provisions allowing employees to sue their employer if they perceive the employer has used their use of sick leave against them in any employment decision, etc.”

McCarty praised the Missouri Legislature for listening to business leaders’ concerns and taking action, calling the repeal a top priority for Associated Industries of Missouri and other advocacy groups this legislative session.

Beyond repealing paid sick leave, the bill introduced additional notable changes. It eliminates the automatic inflation adjustment to Missouri’s minimum wage once it reaches $15 per hour, a threshold to be reached in January 2026. This adjustment was originally designed to ensure wages kept pace with rising costs of living. The bill also requires public employers to abide by the new minimum wage law, applying the same standards to public sector employers as to businesses in the private sector.

Implications for Missouri Businesses and Employees

For businesses, the repeal of the paid sick leave provisions removes certain legal risks while granting greater control over managing employee benefits. Advocacy groups like Associated Industries have long argued that Proposition A created administrative burdens and opened the door to potential abuses, including frivolous lawsuits. While businesses are cheering this repeal as a step toward more predictable operations, worker advocacy groups are concerned about the broader implications for employee rights.

Eliminating automatic inflation adjustments to the minimum wage also has wide-reaching effects. While employers may view this as an opportunity to better manage payroll costs, critics argue it undermines the living wage standard for Missouri workers. Additionally, public sector employers will now have to comply with minimum wage requirements previously exempted, likely triggering changes in local government budgets.

Looking Ahead: What Happens Next?

Before the bill officially becomes law, it must secure Governor Mike Kehoe’s signature. Given strong Republican support for the measure, it is widely expected that the governor will sign the bill into law. If approved, the repeal and other legislative changes will take effect on August 28, 2025.

Until then, employers are cautioned to adhere to Proposition A’s paid sick leave requirements, which will remain enforceable from May 1, 2025, to August 28, 2025. Businesses must ensure compliance during this period to avoid potential legal challenges.

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