Indiana Paid Sick Leave Laws: Your Entitlements

Federal law does not mandate paid sick leave for private sector employees. The Family and Medical Leave Act (FMLA), 29 U.S.C. § 2601, requires covered employers (those with 50+ employees) to provide up to 12 weeks of unpaid leave for certain qualifying medical and family reasons, but this leave is unpaid unless the employer's policy or collective bargaining agreement provides otherwise. The Americans with Disabilities Act (42 U.S.C. § 12101 et seq.) may require reasonable accommodations for medical needs, which could include unpaid leave, but does not mandate paid sick leave.

The FMLA applies to private employers with 50 or more employees and covers conditions such as the employee's own serious health condition, care for a family member, childbirth, or adoption. Remedies include reinstatement, back pay, and attorney fees in cases of violation. The Department of Labor enforces FMLA. Several states and localities have enacted stronger paid sick leave requirements than federal law. Indiana state law does not impose a paid sick leave mandate, but some Indiana municipalities do.

Indiana state law does not mandate paid sick leave for any private sector employer. Indiana Code § 22-2-27-1 et seq. addresses general employment protections but contains no paid sick leave requirement. This means Indiana employers have no statewide obligation to provide paid sick leave, making Indiana significantly weaker than federal law in states with local mandates and far weaker than states like California or New York that mandate paid sick leave statewide.

However, Indiana municipalities may enact their own paid sick leave ordinances. The City of Indianapolis has adopted a paid sick leave requirement under Indianapolis Municipal Code § 431-801 et seq., which applies to employers with 15 or more employees within city limits. Under the Indianapolis ordinance, covered employers must provide a minimum of one hour of paid sick leave per 30 hours worked, up to a minimum of 40 hours per year (or 50 hours for hazardous work).

Other Indiana municipalities, including Bloomington and a small number of others, have adopted similar ordinances, but coverage is limited to those specific cities. Employers not covered by a municipal ordinance have no state or federal obligation to provide paid sick leave. If an Indiana employer voluntarily adopts a paid sick leave policy, that policy becomes a contractual obligation and must be honored as written. Remedies under Indianapolis municipal law include back pay, damages, and attorney fees for willful violations, enforced by the Indianapolis Department of Business and Neighborhood Services and through civil action.

Indiana state law contains no exceptions to a paid sick leave requirement because no statewide requirement exists. Employers in Indiana counties and unincorporated areas outside municipal ordinances are not required to provide paid sick leave under state law, and federal law (FMLA) only requires unpaid leave for qualifying reasons.

Under the Indianapolis ordinance, important exceptions exist. The ordinance does not apply to employers with fewer than 15 employees in Indianapolis. Additionally, employers may exclude paid sick leave earned for absences caused by the employee's own gross negligence or willful misconduct. Some employers in Indianapolis may use paid time off (PTO) to satisfy the paid sick leave requirement if their PTO policy meets or exceeds the accrual and use requirements.

At-will employment is preserved in Indiana. Employers may still discharge employees at will, including for unrelated reasons, even if they have called in sick. However, termination specifically in retaliation for taking paid sick leave, where an ordinance applies, is unlawful. Collective bargaining agreements that exceed the paid sick leave requirement are permitted and enforceable. Additionally, employers may require medical certification for absences exceeding three consecutive days, though this must be applied consistently and reasonably.

Step 1: Document Your Sick Leave Use. Keep detailed records of all instances when you used or requested paid sick leave, including the date, hours used, reason (if disclosed), and the employer's response. Save emails, text messages, pay stubs, and any written policy documents provided by your employer. Note whether your employer denied a request for paid sick leave or retaliated after you used it.

Step 2: Review Your Employer's Policy and the Applicable Law. Determine whether you work in a jurisdiction with a paid sick leave mandate. If you work in Indianapolis, Bloomington, or another Indiana municipality with an ordinance, you are likely covered if your employer has 15+ employees. Review your employer's written paid sick leave policy, if one exists, and compare it to the legal requirement. If your employer promised paid sick leave, document that promise.

Step 3: Attempt Internal Resolution. Notify your employer in writing (email is acceptable) that you believe your paid sick leave rights have been violated. Describe the specific incident: dates you requested or used paid sick leave, how much was denied or miscalculated, and any retaliatory actions. Request correction and reinstatement of improperly denied hours. Keep a copy of this communication. Give your employer 10-14 business days to respond.

Step 4: File an Administrative Complaint (If Local Ordinance Applies). If you work in Indianapolis, file a complaint with the Indianapolis Department of Business and Neighborhood Services. You have up to 300 days from the violation to file. Provide your name, employer details, dates of violations, hours denied, and copies of your documentation. You can file online, by mail, or in person at the department office (address and phone available on the city website). The department will investigate, typically within 30-60 days. You will be contacted if an investigation begins.

Step 5: Consult an Attorney If Needed. If your employer fails to respond or the administrative process stalls, or if you experience retaliation, consult an employment attorney licensed in Indiana. Many offer free initial consultations. An attorney can assess whether you have a claim for unpaid wages (under Indiana wage law), breach of contract (if a written policy was violated), or retaliation. If you worked in a covered municipality, your attorney may pursue damages under the municipal ordinance. Consider this step if the amount owed exceeds several hundred dollars or if retaliation is involved.