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Mandatory Paid Leave
August 25, 2009
Chamber Opposes
Mandatory Paid Leave Proposal
The Garden Grove Chamber of Commerce OPPOSES H.R. 2564 which
requires employers to issue at least one week of paid vacation
for employees at companies with at least 100 employees.
H.R. 2564 also includes that full- and part-time (25 hours per
week/1250 hours per year) workers will be eligible after one
year of service. After three years after enactment, companies
with at least 50 employees would be required to offer at least
one week of paid vacation, and companies with at least 100
employees would be required to offer at least two weeks of paid
vacation. We believe this is the type of mandate business cannot
afford at time when most are struggling to maintain their
current workforce and keep the doors open during this economic
downturn.
Furthermore, we believe H.R. 2564 would adversely affect
employees by forcing employers to cut other benefits such as
reductions in salaries and stalling performance review raises in
order to offset the mandated paid vacations. Companies may even
be forced to lower their hiring threshold, resulting in fewer
jobs with a particular company. In these tough economic times
and with the unemployment rate continuing to climb, business
cannot bear the brunt of another government mandate.
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