State Does Not Add a Payroll Tax to Fund Healthcare

This weekend’s ending of the Legislative Session saw significant changes to some of the proposed bills, including some important items for the Vermont business community:

Payroll Tax Rejected

“Lawmakers and the governor reached a deal to pass a health care package that, as one senator put it, will “keep the lights on” for health care reform… Six months ago Vermont was poised to move forward with an ambitious single payer health care plan.  In December, Gov. Peter Shumlin pulled the plug on the initiative, which would have been largely funded through a payroll tax, because he said Vermont couldn’t afford to pay for a publicly financed health care program. Lawmakers rejected the payroll tax, and struggled to find funding for a greatly diminished health care bill.” Read the full article from Vermont Digger here.

Paid Sick Leave Passes

On April 24th, Vermont House of Representatives passed a bill that would mandate that employers provide at least three days of paid time off by 2016. The minimum requirement increases to five days of paid leave on Jan. 1, 2018. Part-time workers are covered. Read the full article from Vermont Digger here.