HR4763119th CongressWALLET

PTO Act

Sponsored By: Representative Magaziner

Introduced

Summary

Would guarantee a federal minimum of paid annual leave (PAL) for covered employees. It sets accrual, carryover, pay, notice, and enforcement rules so employees can use paid vacation or personal leave for any reason.

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  • Workers and families: Employees would earn at least 1 hour of PAL for every 25 hours worked, up to 80 hours per year. PAL could be used as it accrues and must be paid at the employee’s regular rate with protections for tipped workers.
  • Employers: Businesses would have to notify workers of PAL policies at hire, keep visible records of balances, allow at least 40 hours of carryover, and may loan leave in advance but can seek reimbursement for unused loaned leave. On separation employers must pay unused PAL at the higher of the prior 3-year average rate or the final rate.
  • Enforcement and public entities: The Secretary of Labor would enforce the law and employees would have a private right of action with damages and equitable relief. Special enforcement roles apply to the Government Accountability Office and the Library of Congress and States that take federal funds waive sovereign immunity for claims under the Act.

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Bill Overview

Analyzed Economic Effects

7 provisions identified: 4 benefits, 0 costs, 3 mixed.

Job protections and right to sue for leave

If enacted, employers could not fire, punish, or treat you worse for using or asking to use paid annual leave. They could not count that leave against you in hiring, promotions, discipline, or attendance policies. You could sue to recover lost wages or benefits. If no wages were denied, you could recover your actual losses up to 80 hours of pay, plus interest, possible liquidated damages, and attorney and expert fees. You would generally have 2 years to sue, or 3 years if the violation was willful.

Public employees and states: how claims work

If enacted, some covered federal employees would use Congressional Accountability Act procedures, and others would use Title 5 procedures to enforce rights. For GAO and Library of Congress matters, enforcement would be handled by the Comptroller General and the Librarian of Congress. A State that receives or uses federal funds for a program would waive immunity for suits by employees of that program under this Act. Employees could seek injunctive relief against State officials, with courts allowed to award costs under 42 U.S.C. 1988. The waiver would apply to conduct on or after the day the State first receives or uses the federal funds.

Which employers must offer paid time off

If enacted, this would set who counts as a covered employer. An employer would be covered if it had at least 1 employee on each working day in 20 or more workweeks this year or last. Public agencies would count, and the Government Accountability Office and the Library of Congress would be included. Carriers under the Railway Labor Act and carriers by air would also be covered. These rules would start 180 days after enactment.

How your paid time off accrues

If enacted, you would earn at least 1 hour of paid time off for every 25 hours worked. Employers could cap accrual at 80 hours in any 12-month period. Accrual would start on your first day. For exempt staff without tracked hours, each week would count as 40 hours for accrual. Paid annual leave would mean vacation or personal leave only; it would not include sick leave, FMLA leave, bereavement, adoption or foster leave, domestic violence or public health emergency leave, disability or workers’ comp leave, holidays, jury duty, civic duty, or voting leave.

New notice and record rules for leave

If enacted, employers would need to give you written notice of their paid annual leave policy by your first day, post it, and include it in any handbook. Employers would also need to tell you how much paid leave you have earned, such as on a portal or pay stub. The Labor Department would get FLSA-like powers to investigate and subpoena records. Employers would have to keep leave records, but the Department could not require submitting the same records more than once in 12 months unless there is reasonable cause or an active charge. These rules would start 180 days after enactment.

Public campaign about paid time off rights

If enacted, the Labor Department would run a public awareness campaign within one year. It would explain your rights to paid annual leave and where to get help. Congress would need to approve the funds, which are authorized as “such sums as are necessary.”

Union contracts: timing and grievance options

If enacted, the Act would start 180 days after enactment. If you are under a union contract in effect on that date, the Act would apply when the contract ends, when it is amended after that date, or 18 months after the effective date, whichever comes first. You or your union could also use your contract’s grievance and arbitration process to enforce paid annual leave terms.

Sponsors & CoSponsors

Sponsor

Magaziner

RI • D

Cosponsors

  • Adams

    NC • D

    Sponsored 7/25/2025

  • Budzinski

    IL • D

    Sponsored 7/25/2025

  • Carson

    IN • D

    Sponsored 7/25/2025

  • Casar

    TX • D

    Sponsored 7/25/2025

  • Cleaver

    MO • D

    Sponsored 7/25/2025

  • Crockett

    TX • D

    Sponsored 7/25/2025

  • Davis (IL)

    IL • D

    Sponsored 7/25/2025

  • Deluzio

    PA • D

    Sponsored 7/25/2025

  • Dingell

    MI • D

    Sponsored 7/25/2025

  • Evans (PA)

    PA • D

    Sponsored 7/25/2025

  • Fields

    LA • D

    Sponsored 7/25/2025

  • Frost

    FL • D

    Sponsored 7/25/2025

  • Garcia (CA)

    CA • D

    Sponsored 7/25/2025

  • Garcia (TX)

    TX • D

    Sponsored 7/25/2025

  • Garcia (IL)

    IL • D

    Sponsored 7/25/2025

  • Goldman (NY)

    NY • D

    Sponsored 7/25/2025

  • Gomez

    CA • D

    Sponsored 7/25/2025

  • Hayes

    CT • D

    Sponsored 7/25/2025

  • Del. Norton, Eleanor Holmes [D-DC-At Large]

    DC • D

    Sponsored 7/25/2025

  • Hoyle (OR)

    OR • D

    Sponsored 7/25/2025

  • Jayapal

    WA • D

    Sponsored 7/25/2025

  • Khanna

    CA • D

    Sponsored 7/25/2025

  • Krishnamoorthi

    IL • D

    Sponsored 7/25/2025

  • Lynch

    MA • D

    Sponsored 7/25/2025

  • McGovern

    MA • D

    Sponsored 7/25/2025

  • Menendez

    NJ • D

    Sponsored 7/25/2025

  • Meng

    NY • D

    Sponsored 7/25/2025

  • Mullin

    CA • D

    Sponsored 7/25/2025

  • Nadler

    NY • D

    Sponsored 7/25/2025

  • Neguse

    CO • D

    Sponsored 7/25/2025

  • Ocasio-Cortez

    NY • D

    Sponsored 7/25/2025

  • Omar

    MN • D

    Sponsored 7/25/2025

  • Pocan

    WI • D

    Sponsored 7/25/2025

  • Ramirez

    IL • D

    Sponsored 7/25/2025

  • Sanchez

    CA • D

    Sponsored 7/25/2025

  • Schakowsky

    IL • D

    Sponsored 7/25/2025

  • Stansbury

    NM • D

    Sponsored 7/25/2025

  • Titus

    NV • D

    Sponsored 7/25/2025

  • Tlaib

    MI • D

    Sponsored 7/25/2025

  • Watson Coleman

    NJ • D

    Sponsored 7/25/2025

  • Williams (GA)

    GA • D

    Sponsored 7/25/2025

  • Tonko

    NY • D

    Sponsored 7/25/2025

  • Lee (PA)

    PA • D

    Sponsored 8/5/2025

  • Brownley

    CA • D

    Sponsored 8/5/2025

  • Simon

    CA • D

    Sponsored 8/19/2025

  • Tokuda

    HI • D

    Sponsored 9/2/2025

  • Friedman

    CA • D

    Sponsored 9/8/2025

  • McIver

    NJ • D

    Sponsored 9/18/2025

  • McBride

    DE • D

    Sponsored 9/23/2025

  • Ansari

    AZ • D

    Sponsored 10/14/2025

  • Harder (CA)

    CA • D

    Sponsored 11/25/2025

  • Lieu

    CA • D

    Sponsored 2/11/2026

  • Huffman

    CA • D

    Sponsored 3/16/2026

  • Jackson (IL)

    IL • D

    Sponsored 4/6/2026

Roll Call Votes

No roll call votes available for this bill.

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