November 16, 2018
Today, the Austin Court of Appeals held that the Austin paid sick leave ordinance, which would require private employers to provide an hour of paid sick leave to employees for every 30 hours worked beginning on the first day of employment, violates the Texas Constitution because it is preempted by the Texas Minimum Wage Act.
The City of Austin enacted the ordinance in February 2018. A group of employers and business associations filed a declaratory judgment action seeking injunctive relief and the district court denied a temporary injunction. The appeals court reversed and remanded to the district court to issue the requested temporary injunction, prohibiting the City from enforcing the ordinance, and for further proceedings.
Although there may be more paid leave legislation on the horizon, for now private Texas employers have no obligation to provide paid sick leave.
Janet A. Hendrick, Director
Phillips Murrah P.C. – Dallas