Takeaways

• A new Virginia law expands paid sick leave to nearly all employees, with phased coverage beginning 07/01/27.
• Employees accrue at least one hour of paid sick leave for every 30 hours worked (up to 40 hours annually), with carryover required and expanded permissible uses.
• Employers should review and update leave policies and payroll systems as well as prepare for new notice and compliance requirements.

Virginia’s 2026 General Assembly was one of the busiest seasons for employers. A bill expanding paid sick leave requirements to nearly all Virginia employees by 2029 was signed by Gov. Abigail Spanberger on May 20, 2026.

Virginia first adopted paid sick leave requirements in 2021 (Virginia’s Paid Sick Leave Law) for home health workers. Now, SB199/HB5 will significantly expand coverage to all employees of private employers and state and local governments as follows:

• Beginning July 1, 2027 – Employers with at least 50 employees
• Beginning Jan. 1, 2028 – Employers with at least 25 employees
• Beginning Jan. 1, 2029 – All employers with at least one employee

Accrual, Carryover, Permitted Uses

Covered employees must accrue a minimum of one hour of paid sick leave for every 30 hours worked, beginning at hire. Although accrued but unused leave must carry over to the following year, employers need not allow employees to accrue or use more than 40 hours of paid sick leave in a year, unless the employer elects to offer a higher cap. The reasons for the use of leave are...

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