Local businesses react to repeal of Prop A

Governor Mike Kehoe's repeal of Prop A removes the paid sick leave mandate, while keeping the $15 minimum wage, which will increase to $15 an hour but not rely on the Consumer Price Index to change the wage.

Jul 18, 2025 - 05:00
 0  5
Local businesses react to repeal of Prop A

SPRINGFIELD, Mo. — OzarksFirst is speaking to local businesses about the repeal of Prop A by Governor Mike Kehoe. 

In November 2024, nearly 60% of voters passed Prop A, which required businesses to provide sick paid leave while also increasing the state minimum wage. 

Kehoe’s repeal undoes all of the proposition except the minimum wage, which will continue to increase to $15 an hour but not rely on the Consumer Price Index to change the wage, which would have begun in 2027. 

Many owners told Ozarks First off-camera they thought the repeal was ridiculous, some commenting they didn’t want to discuss the politics of Kehoe’s decision, and some owners didn’t even know Kehoe repealed Prop A. 

“I kind of think that's disgraceful. I mean, we're in a time politically where it just seems like whoever we vote on top can make any decision against the people's will,” Joe Gidman said. “It doesn't make sense for a democracy. If the people voted for it, then the vote should stand.” 

Gidman owns several businesses on Commercial Street and has been providing paid sick leave for all workers since 2021. 

“We’ve been doing it since 2021, actually. My father passed away from COVID and I had a lot of time to think about that and just decided that we were going to actually start our own program before it was ever even on the ballot or in law,” Gidman said. “We actually are a little bit ahead of the game. I kind of had a feeling that this industry, especially the restaurant industry, was going to be heading that way at some point anyways. I had actually a decent amount of employees that worked for me that were single parents, and they were kind of struggling with not being able to take off work if their kid was sick or if they got sick, and then they were coming in to work, especially during the pandemic, you know, where they were trying to decide whether or not they need to be honest about how they felt or pay their bills. So we actually started a PTO program during the pandemic.”

In the years since, Gidman has no regrets. 

“We made the choice several years ago and we've survived. I mean, I've never had to close my businesses down. We never had to lower our hours. We've actually cut our turnover and employees close to 60%, you know, so people stay longer and and the longer they stay, the more efficient they are, the harder they work, the more money we actually save in the end,” Gidman said. 

One group applauding the repeal is the Missouri Chamber of Commerce. 

Ozarks First spoke to the Chamber in 2024, ahead of the vote and reached out for a response to the repeal. 

CEO Kara Corches sent Ozarks First a statement that says:

“JEFFERSON CITY, Mo. – Gov. Mike Kehoe signed legislation today that will help businesses burdened by Proposition A’s paid sick leave mandate. At the State Capitol, Gov. Kehoe signed HB 567, sponsored by Rep. Sherri Gallick (R-Belton) and handled by Sen. Mike Bernskoetter (R-Jefferson City). 

HB 567 provides targeted relief by removing Proposition A’s onerous paid sick leave mandate while maintaining the $15 minimum wage. It eliminates annual wage increases tied to the Consumer Price Index (CPI), giving employers greater predictability in managing labor costs. The legislation will take effect on August 28.  

HB 567 was the Missouri Chamber of Commerce and Industry’s top priority during the 2025 legislative session. The Missouri Chamber organized a grassroots coalition of more than 550 businesses from across the state that advocated for Proposition A reform. 

“Business owners were clear: Proposition A’s paid leave and minimum wage policies were a job killer,” said Kara Corches, president and CEO of the Missouri Chamber. “Missouri employers value their employees and recognize the importance of offering competitive wages and benefits, but one-size-fits-all mandates threaten growth. We thank Gov. Kehoe for signing this legislation that safeguards jobs and supports Missouri’s overall economic competitiveness.” 

Although HB 567 addresses current concerns, additional threats to Missouri’s business climate are on the horizon. Proponents of Proposition A have already filed paperwork to place a constitutional amendment on the ballot during the 2026 election cycle. If passed, it would reinstate the paid sick leave mandate and CPI-based wage increases. 

“Employers’ ability to implement policies that best fit their unique needs is the cornerstone of our free enterprise system,” Corches said. “With new mandates already being proposed for the 2026 ballot, Missouri’s business community needs to stay engaged to ensure our state continues to support job growth and economic opportunity.”

Gidman believes giving workers sick pay helps grow business, not threaten it. 

“I think it's an ethical issue. I think it's unfair not to offer the ability to go home, be sick, or deal with the death of a family or have a mental health day or or just any reason, you know, you shouldn't work in this industry. I feel like you can never take a vacation. You know, it creates burnout, it creates exhaustion. And so I think it's it's an ethical issue more than it is a financial issue. So, yeah, I'm 100% in support of it and I feel like it can be done. We've done it now for four years,” Gidman said. “The reason why we're hiring people is because we have people that move on to better jobs or we're opening a new business. So we hire now because of growth, not because we can't keep people.”

Kehoe’s repeals take effect on August 28. 

What's Your Reaction?

like

dislike

love

funny

angry

sad

wow