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Wisconsin Sick Leave: Stuck at the Federal $7.25 Floor

Wisconsin lawmakers have never written a paid sick leave requirement into the state code, and its minimum wage sits at the federal floor of $7.25 an hour, with no scheduled increase on the books. Accrual, carryover and payout on sick time are entirely a matter of the employer's written policy, since no Wisconsin agency sets a minimum.
Wisconsin at a glance
| Paid sick leave mandate | None statewide for private employers |
|---|---|
| Governing rule | Your written policy, enforced as written |
| State paid family and medical leave | None. Federal FMLA only, unpaid, at 50+ employees |
| Minimum wage | $7.25 |
| Overtime | Weekly over 40 |
| Coverage below the 20-employee COBRA line | Wisconsin Group Health Continuation Coverage, up to 18 months [Wis. Stat. section 632.897 (Hospital and medical coverage for persons insured under individual and group policies)] |
Everything below FMLA's line is company policy alone
Wisconsin runs no state-level paid family and medical leave program, which pushes everything back onto federal FMLA, unpaid leave rather than a wage benefit. Eligibility has a size gate and a tenure gate: the employer needs 50 or more employees within 75 miles, and the employee needs both 12 months on the job and 1,250 hours actually worked in that period. Plenty of Wisconsin small businesses never clear the 50-employee line, and for their workers the written handbook, not FMLA, is the only leave protection that exists. See the U.S. Department of Labor's FMLA overview.
Eighteen months of continuation coverage, regardless of headcount
Unlike most of its neighbors, Wisconsin does not restrict its continuation statute to small groups: Wis. Stat. section 632.897 covers group health policies at employers of any size. Federal COBRA still takes over once an employer reaches 20 employees, but the state law is the backstop underneath it. Three months of prior coverage is the qualifying period, and it buys up to 18 months of continued coverage for anyone who loses eligibility, a former spouse after divorce included, or a surviving spouse and dependents after a covered member's death. See Wis. Stat. 632.897.
Illinois requires paid leave for any reason at all
Wisconsin borders Illinois, which runs one of the country's broadest sick leave mandates. Illinois's Paid Leave for All Workers Act reaches employers of every size, accrues at one hour for every 40 hours worked up to a 40-hour annual cap, and does not require the employee to state a reason, which functions as paid leave rather than sick leave specifically. Illinois employers may front-load the full 40 hours instead of accruing it. A Wisconsin company with a remote employee living in Illinois owes that employee Illinois's accrual and no-reason-required rule, on top of a $15.00 minimum wage more than double Wisconsin's $7.25, even while the rest of the Wisconsin-based team stays under the company's own policy.
Where a Wisconsin employer gets this wrong is assuming Wis. Stat. 632.897's continuation right, unlike most neighboring statutes, is limited to small groups. It is not: the law reaches employers of any size, with federal COBRA simply taking over once an employer crosses 20 employees, so a Wisconsin employer never actually escapes a continuation obligation of one kind or another.
FMLA, remote-hire exposure and voluntary policy drafting: paid leave fundamentals.
For Wisconsin specifically: nothing above is statutory in Wisconsin, so your written policy is the enforceable rule, the wage floor those hours are paid at is $7.25, and below the federal 20-employee COBRA threshold Wisconsin still requires continuation coverage for up to 18 months. HR outsourcing in Wisconsin keeps that in the handbook and in payroll.
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Frequently Asked Questions
Does Wisconsin require paid sick leave?
No. Wisconsin has no statewide requirement for private employers, so whatever your handbook says is the enforceable rule, including on carryover and payout. Hours you do pay are paid at $7.25.
What pay rate applies to leave hours in Wisconsin?
Minimum wage in Wisconsin is $7.25. Overtime: Weekly over 40. Paid leave hours generally do not count toward the overtime threshold because they are not hours worked.
Does health coverage continue after separation in Wisconsin?
Federal COBRA applies at 20 or more employees. Below that, Wisconsin has its own continuation law, the Wisconsin Group Health Continuation Coverage, running up to 18 months (Wis. Stat. section 632.897 (Hospital and medical coverage for persons insured under individual and group policies)).
Does Wisconsin run a paid family and medical leave programme?
No. Federal FMLA is the only family and medical leave floor in Wisconsin: 12 workweeks, unpaid, at employers with 50 or more employees.
Is this a PEO?
No. No co-employment and no employer-of-record change: your company stays the employer. HR outsourcing, powered by isolved.
Anthony leads HR outsourcing strategy at Business Executive Group, a national HR outsourcing firm serving employers across every state. BEG HR outsourcing is powered by isolved, with certified HR professionals building and maintaining state-correct leave policy as laws change.
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