A Healthy Standard:

1
A Healthy Standard
Policy Matters Ohio  

• Paid Sick Days in Ohio
• Policy Matters Ohio

2007
www.policymattersohio.org  
2
Policy Matters Ohio  

• Policy Matters Ohio is a not-for-profit,
  non-partisan policy research institute, dedicated
  to researching an economy that works better for
  everyone in Ohio.
• The full report, A Healthy Standard Paid Sick
  Days in Ohio, with footnotes and citations, is
  available online at http//www.policymattersohio.o
  rg/

www.policymattersohio.org  
3
International Exception
Policy Matters Ohio  

• In every other advanced industrialized nation in
  the world, employees are permitted to stay home
  when sick on limited occasions, without fear of
  losing their pay or their job.
• The U.S. is alone among the top 20 most
  competitive economies in failing to provide this
  healthy standard.

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4
Current Federal Law
Policy Matters Ohio  

• Federal law does not provide for paid sick days.
• Family Medical Leave Act
• Provides unpaid protection to employees facing a
  serious medical situation or life event.
• Can not be used for routine absences.
• Contrasts sharply with law in all other advanced
  industrialized nations.
• At least 145 nations require employees be
  provided with paid sick days (at least 1 week).
• Our economic competitors like Germany, France and
  Canada require paid sick days
• Developing nations also have requirements
  (Ethiopia, Zambia, and Mexico).

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5
Who Cares?
Policy Matters Ohio  

• Why does it matter?
• When workers can not earn paid sick days, several
  negative consequences can occur

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6
People go to work, despite being sick
Policy Matters Ohio  

• This exposes colleagues and customers, spreading
  illness.
• It increases likelihood of injury, particularly
  in physical jobs.
• It reduces productivity sick workers coming in
  costs more than absenteeism according to study in
  Harvard Business review.

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7
Kids care suffers
Policy Matters Ohio  

• Some children go to school sick, exposing
  classmates and teachers.
• Teachers and schools have to deal with kids who
  cant learn well when sick.
• Sometimes older children are pulled out of school
  to care for sick siblings.
• Childrens recoveries can be delayed.

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8
Families struggle economically
Policy Matters Ohio  

• Sometimes workers stay home even though their
  employers dont have a clear policy. This means
  they lose a day of pay, which many workers cant
  afford.
• Some workers who miss work are also putting their
  jobs at risk.

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9
Policy Matters Ohio  

• We need paid sick days more than ever.

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10
Working More
Policy Matters Ohio  

• Families are working more
• Women are more likely to be in the labor force
  than ever before.
• Two-parent families with children have increased
  their work hours more than 16 in past
  generation.
• Single parent families have also increased work
  hours.

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11
Policy Matters Ohio  
Source EPI analysis of CPS data, all women over
age 16
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12
Policy Matters Ohio  
Source Economic Policy Institute (EPI) analysis
of Current Population Survey (CPS) data
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13
Policy Matters Ohio  

• Despite increase in parental working, employers
  have not increased access to sick days.
• Numbers that can use sick days to care for sick
  children are even lower

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14
Policy Matters Ohio  
Source Analysis of Bureau of Labor Statistics
Employee Benefits Survey, 1980-2006, retrieved
July 2007 from http//data.bls.gov/PDQ/outside.jsp
?surveyeb
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15
Policy Matters Ohio  
Source Analysis of Bureau of Labor Statistics
Employee Benefits Survey, 1980-2006, retrieved
July 2007 from http//data.bls.gov/PDQ/outside.jsp
?surveyeb
www.policymattersohio.org  
16
Who can earn paid sick days?
Policy Matters Ohio  

• The majority of Ohio workers - 58 - can earn
  paid sick days.
• This standard works well for most workers in Ohio
  and their employers.
• However a large minority of Ohio workers 42 -
  can not earn paid sick days.
• More than 2.2 million Ohio workers must work when
  ill or forego pay.

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17
Used with caution
Policy Matters Ohio  

• Most workers never use a single paid sick day in
  a typical year.
• On average workers miss just 3.9 days for their
  own illnesses.
• Despite the very modest use, sick days are
  crucial to have when workers need them.

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18
Policy Matters Ohio  

• Coverage low in sectors with extensive public
  contact
• Retail trade (less than half)
• Arts, entertainment recreation (just over 1/3)
  
• Accommodation food service (less than 1/4).
• These three sectors combined have more than
  670,000 Ohio workers without sick days.
• This leads to spread of disease.

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19
Occupational Hazards
Policy Matters Ohio  

• Lots of uncovered workers in jobs involving
  dangerous equipment
• Just 25 percent of construction workers have paid
  sick days 170,000 Ohio construction workers
  unprotected
• Nearly half of manufacturing workers almost
  400,000 Ohioans cannot earn paid sick days.
• This can lead to more injury.

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20
Policy Matters Ohio  
21
Access to Paid Sick Days
Policy Matters Ohio  

• All told, more than 2.13 million private sector
  workers in Ohio can not earn paid sick days. If
  they or their children get a cold, flu, or
  something worse, they have to lose pay and
  possibly put their job at risk, or go to work
  despite their own or their childs illness.
• This isnt working.

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22
Policy Matters Ohio  

• Public sector workers are much more likely to be
  able to earn paid sick days in Ohio and
  nationwide. Who can?
• All U.S. government employees
• All Ohio state employees
• County and city coverage mixed we estimate that
  about 80,000 local employees in Ohio dont have
  paid sick days.

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23
Middle class struggle
Policy Matters Ohio  

• Those who can least afford to take an unpaid day
  (or lose their job) are most likely to be put in
  that position. Who can not earn sick days?
• 79 of those earning 9.23 an hour
• 46 of those earning 9.23 - 13.94 an hour
• 38 of those earning 13.50 - 21.65 an hour

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24
Across the spectrum
Policy Matters Ohio  

• While its certainly hardest for low- and
  middle-income workers, even among those in the
  top quarter of earners, nearly three in ten have
  no paid sick days.

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25
Policy Matters Ohio  
www.policymattersohio.org  
26
Quality of Plans
Policy Matters Ohio  

• When workers have paid sick days, plan quality
  can vary widely.
• Higher income workers are more likely to have
  paid sick days at all, to have more paid sick
  days, and to have a shorter waiting period before
  they are allowed to use those days.
• Middle income and lower-wage workers if they
  get sick days at all have fewer days and longer
  waiting periods, even after a number of years on
  the job.

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27
Policy Matters Ohio  
www.policymattersohio.org  
28
Caring for Kids
Policy Matters Ohio  

• Even workers with paid sick days are unlikely to
  be able to use those days to care for sick
  children.
• Only 30 of workers get paid days to care for
  sick children.
• More than 3.55 million Ohio workers would have to
  forego pay to care for a sick child.

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29
An Ounce of Prevention
Policy Matters Ohio  

• Paid sick days encourage workers to get
  preventive health care for themselves and their
  children. Preventive health care
• Prevents health problems
• Detects health issues early
• Reduces long term health costs
• Leads to better long-term health care outcomes.

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30
Ideal area for policy intervention
Policy Matters Ohio  

• Many employers do the right thing.
• Those who dont, dont bear full cost of their
  decision.
• Negative externality.

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31
Ohio Proposal
Policy Matters Ohio  

• In workplaces of 25 or more, employees would be
  able to earn paid sick days.
• Up to 7 paid sick days for full timers (30
  hours).
• Part-timers covered on a pro-rated basis
• Can be used to recuperate, see doctor, care for
  child or other family member

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32
Ohio Proposal
Policy Matters Ohio  

• Employers not required to allow sick day usage
  until employee has been employed for at least 90
  days.
• Employers could require employees to give reasons
  for absence, doctor note or expected length of
  absence.
• Employers not permitted to reduce existing leave
  policies in response to new law.

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33
Proposed Legislation
Policy Matters Ohio  

• Advocates currently circulating petitions to
  submit an initiated statute to the Ohio General
  Assembly.
• Assembly enacts proposal?
• no further action is needed.
• Assembly fails to enact proposal?
• additional petitions to place issue on 2008
  ballot.

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34
Net Savings
Policy Matters Ohio  

• Sick day policy would result in a net savings in
  Ohio.
• Cost for providing sick days would be 3.13 per
  worker per week.
• Savings for providing sick days would be 4.39
  per worker per week.
• Net savings of 1.25 per worker per week.

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35
Policy Matters Ohio  
Source IWPR analysis of BLS data. Measures
impact of federal Family Leave Act, which differs
slightly from Ohio proposal. Costs and savings
spread across entire Ohio workforce.
www.policymattersohio.org  
36
Summary
Policy Matters Ohio  

• Works well in all other advanced economies.
• Works well for majority of U.S. workers.
• Encourages preventive care.
• Shortens duration of illnesses.
• Reduces spread of disease.
• Helps kids recover quicker.
• Lets families meet responsibilities of work
  home.
• Is used when needed often not used at all.
• Saves money.

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37
Whats Up Elsewhere?
Policy Matters Ohio  

• Similar bills introduced in ten states plus D.C.
• Seven states now mandate that employees can use
  sick days to care for ill family members.
• City of San Francisco voted to provide residents
  with 9 paid sick days per year.
• Milwaukee aiming for April 2008 ballot
  initiative.
• Senator Ted Kennedy and Representative Rosa
  DeLauro have introduced federal bill - similar to
  Ohio proposal.

www.policymattersohio.org  
38
Conclusion
Policy Matters Ohio  

• A paid sick day standard would be good for Ohio.
  It would reduce the spread of disease, encourage
  preventive care and recovery, allow parents to be
  with sick children, and improve worker
  well-being. The cost is extremely modest and the
  savings exceed the costs. Most workers wont even
  take a sick day in a typical year, but having
  this basic standard will enable them to take this
  time when they need to.
• An economy as prosperous as ours, in which
  parents are expected to work, requires that we
  provide workers with the basic flexibility that
  allows them to manage their lives and their
  health.

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39
Policy Matters Ohio  

• To learn more, download the full report
• A Healthy Standard
• Paid Sick Days in Ohio
• www.policymattersohio.org
• Policy Matters Ohio
• Creating an economy that works better. For all

www.policymattersohio.org