Small business owners in Virginia are voicing concerns over House Bill 5, which would require all employers to provide paid sick leave. Julia Hammond, the state director for the National Federation of Independent Business (NFIB), stated that members of the organization are asking their delegates to oppose the legislation.
According to Hammond, while the bill may be well-intentioned, it places a significant financial and administrative burden on small businesses. “Small business owners want to take care of their employees,” she said. “But this bill goes far beyond what most small employers can realistically absorb. Mandates of this size tie owners’ hands while raising costs and making it even harder to keep the doors open.”
The proposed legislation would expand existing paid sick leave requirements to cover all employers, regardless of size. It also broadens the definition of family members eligible for coverage, increases reporting and recordkeeping obligations, and introduces new civil penalties and litigation risks.
“Small businesses already operate on notoriously thin margins,” Hammond said. “One lawsuit could be enough to put a small business out of business for good.” She added that startups, home-based businesses, and companies with only a few employees would be especially affected by these changes.
Hammond pointed out that unlike large corporations, smaller companies do not have dedicated human resources or legal departments to handle complex compliance requirements. “If the General Assembly really wants to help workers, they should focus more on creating an environment where Main Street businesses can grow, create jobs, and retain the people who already work for them. That means reducing regulatory burdens, controlling costs, and giving small businesses the flexibility to meet the needs of their employees.”
