Austin became the first Texas city to mandate paid sick leave in 2018, but the Third Court of Appeals enjoined the ordinance in 2018 and the Texas Supreme Court let that ruling stand in 2020. Texas HB 4 (2023) finalized preemption.
Austin City Council passed Ordinance 20180215-049 in February 2018, requiring private employers to provide one hour of paid sick leave per 30 hours worked, capped at 64 hours yearly for larger employers. The Texas Public Policy Foundation and others sued. In November 2018 the Third Court of Appeals enjoined enforcement on Texas Constitution Article XI Section 1(a) preemption grounds, holding the ordinance conflicted with the state minimum wage statute. The Texas Supreme Court declined review in June 2020, leaving the injunction in place. Texas HB 4 (2023), the Regulatory Consistency Act, broadly preempts municipal regulation of employer-employee relations including paid leave, hours, scheduling, and benefits. No private-sector paid leave mandate operates in Austin.
No enforceable Austin paid-leave penalty exists because the ordinance is enjoined and HB 4 preempts re-enactment. Federal FMLA violations carry back-pay, reinstatement, and civil penalties enforced by the U.S. Department of Labor and private suit.
Austin, TX
Texas Labor Code Chapter 62 reserves minimum-wage authority to the state and ties Texas to the federal $7.25 floor. Austin cannot enact a higher private-sect...
Austin, TX
The Texas Regulatory Consistency Act (HB 4, 2023) bars Texas cities from regulating employer scheduling practices. Austin has no fair-workweek or predictive-...
See how Austin's paid leave preemption rules stack up against other locations.
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