If the recently proposed mandate for paid sick leave and family care leave had not been rescinded, what would the effects have been on our economy, our levels of employment and unemployment, and the economic future of Ohio? What is to say that the support for the proposal will not gain strength and the issue find itself in front of the public once again?
The Likely Impact of Mandated Paid Sick and Family-Care Leave on the Economy and Economic Development Prospects of the State of Ohio analyzes the potential impact of such legislation on the economy of the state of Ohio, the economic development prospects of the state, and the management of production processes that depend on highly integrated teams. The report also reviews the literature on the effect of mandated paid sick and family care leave on the industrial relations system—workplace performance and worker retention.
The Report was prepared Ohioans to Protect Jobs by The Urban Center at Maxine Goodman Levin College of Urban Affairs Cleveland State University. The report concludes that there would have been a net cost associated with the paid sick leave and family-care initiative proposed in Ohio of between $102.9 million dollars per year and $420.0 million dollars per year.
This estimated range is the minimum impact on the state. It does not include the dynamic, economic development impacts. The cost benefit analysis in the report looks at the short run impacts and does not include longer-term negative effects that result from Ohio losing investment to border states as companies seek to avoid the mandates.
This research was conducted in anticipation that the initiative petition would go to the ballot. With its withdrawal, the research team at Cleveland State University’s Urban Center took additional time to review its findings in anticipation that advocates for mandated paid sick and family care leave will introduce similar legislation in other states and before the U.S. Congress.
The Likely Impact of Mandated Paid Sick and Family-Care Leave on the Economy and Economic Development Prospects of the State of Ohio, concludes that the proposal to mandate paid sick and family-care leave days would have been bad for Ohio’s economy and bad for some of Ohio’s workers. The entire report is located at http://urban.csuohio.edu/urban_center/sick_leave/.
For additional information about the report or for interviews with the report research team, please call Kevin E. O'Brien, Director, Center for Public Management, 216.687.2188
The Urban Center of the Maxine Goodman Levin College of Urban Affairs of Cleveland State University was engaged by Ohioans to Protect Jobs, a nonprofit organization organized under Section 501(c)(4) of the Internal Revenue Code, to analyze a proposal that all employers in Ohio employing 25 or more people provide seven paid sick and family-leave days for all employees working 30 hours or more. The proposal also required that part-time employees be provided similar benefits on a pro rata basis. The conclusions reached by the Urban Center research team are that, if passed, the proposed legislation would in all likelihood have the following outcomes:
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