NFIB State Director Julia Hammond says small business owners are urging lawmakers to reject legislation that would mandate one-size-fits-all paid leave and increase lawsuit abuse on Main Street.

Hammond said the legislation would place a heavy burden on small businesses already battling tight margins. “This one-size-fits-all approach simply doesn’t work for small businesses,” she said. “They already bring their best flexibility and benefits to the table while competing with their large corporate competitors to hire and retain great employees.”

She also warned that the bill creates a complicated enforcement system that exposes small businesses to new legal risks.

Under legislation being hammered out in conference committee, complaints could be filed with the Virginia Department of Labor and Industry, which would investigate alleged violations and could impose fines on employers.

Worse, the bill allows workers to bypass that process and sue their employers directly in court, Hammond said. The legislation would permit lawsuits seeking double damages, reinstatement, lost wages, attorney fees, and court costs.“Small businesses run on thin margins,” she said. “The cost of defending themselves against one frivolous lawsuit can be enough to put them out of business.”

Hammond said the timing of the legislation is especially troubling given the latest federal jobs report, which showed signs of a weakening labor market.

“With the economy already showing signs of stress, lawmakers should be focused on helping small businesses create jobs, not saddling them with costly new mandates and more exposure to lawsuit abuse,” she said.