Home/Employment/VT

Vermont

Employment Law & Compliance

high
Overall Complexity
high
Wage & Hour
high
Leave Programs
high
Hiring Rules
low
Local Law Exposure
$14.31
Min Wage/Hr
Required
Paid Sick Leave
Yes
PFML Program
Required
Pay Transparency

Vermont maintains a progressive, high-complexity employment compliance framework. Key obligations include an inflation-adjusted minimum wage ($14.31), universal earned sick leave, pay transparency posting rules for employers with 5+ workers, and rolling implementation of the VT-FLI family leave program. Employers must also execute final pay turnarounds within 72 hours for terminations.

Wage & Hour

State Minimum Wage$14.31/hr
Effective Date2026-01-01
Wage IndexedYes — Adjusted annually based on changes to the Consumer Price Index (CPI-U) or specific statutory percentage formulas.
Next Scheduled Change2027-01-01
Tipped Minimum Wage$7.16/hr
Tip Credit AllowedYes
Youth/Training WageNone
Local Minimum Wage PossibleNo

Vermont's minimum wage stands at $14.31 per hour, subject to annual inflation adjustments.

Leave Programs

Paid Sick Leave RequiredYes
Sick Leave LawVermont Earned Sick Time Law
Employer Threshold1+ employees
Accrual Rate1 hour per 52 hours worked
Annual Use Cap40 hours
Carryover RequiredYes
PFML ProgramVermont Family and Medical Leave Insurance (VT-FLI)
PFML Max Weeks6 weeks

Hiring & Workplace Rules

Pay Transparency RequiredYes
Job Posting DisclosureRequired
Salary History BanYes
Salary History RestrictedYes
Ban the BoxYes
Cannabis Off-Duty ProtectionYes
Worker Classification Testright to control
Harassment Training RequiredNo

Final Paycheck Rules

Termination: Involuntarily terminated workers must be paid within 72 hours (3 days) of discharge.
Resignation: Resigning employees must receive final pay within 72 hours of separation or by the next regular payday.
Vacation payout rules depend entirely on established company written policy or employment agreements.

Non-Compete Rules

Non-compete agreements face strict scrutiny and limitations, ensuring enforceability is restricted to specific high-level executive or specialized technical roles.

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How Vermont Compares to Neighboring States

StateMin WagePaid Sick LeavePFMLComplexity
Vermont ★$14.31YesYeshigh
Massachusetts$15YesYesvery high
New Hampshire$7.25NoYeslow
New York$16YesYesvery high

Frequently Asked Questions — Vermont Employment Law

What is the minimum wage in Vermont?

The minimum wage in Vermont is $14.31 per hour as of 2026-01-01. Vermont's minimum wage stands at $14.31 per hour, subject to annual inflation adjustments.

Does Vermont require paid sick leave?

Yes. Vermont requires employers to provide paid sick leave for employers with 1 or more employees. Employees accrue 1 hour per 52 hours worked. Universal paid sick leave requirement applying to all private employers, allowing up to 40 hours of annual use.

Does Vermont have a Paid Family and Medical Leave program?

Yes. Vermont has a Vermont Family and Medical Leave Insurance (VT-FLI) program. Eligible employees can take up to 6 weeks of paid leave. State-administered family and medical leave program rollout providing paid leave insurance coverage options.

Does Vermont require pay transparency?

Yes. Vermont has pay transparency requirements for employers with 5 or more employees. Employers must include pay ranges in job postings. Employers with 5 or more workers must include compensation ranges on job postings.

When must employers pay final wages in Vermont?

Involuntarily terminated workers must be paid within 72 hours (3 days) of discharge. For resignations: Resigning employees must receive final pay within 72 hours of separation or by the next regular payday. Vacation payout rules depend entirely on established company written policy or employment agreements.

Are non-compete agreements enforceable in Vermont?

In Vermont, non-compete agreements are restricted. Non-compete agreements face strict scrutiny and limitations, ensuring enforceability is restricted to specific high-level executive or specialized technical roles.

Is Vermont an at-will employment state?

Vermont is an at-will employment state, subject to statutory anti-discrimination laws, whistleblower protections, and strict judicial exceptions.

Official Source

Vermont Department of Labor (VDOL)

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More Vermont Resources

Vermont LLC Formation →Vermont Auto Insurance →Vermont Privacy Law →

Data Methodology

DataTactic researchers verify employment law data directly against official government sources — Vermont Department of Labor (VDOL) publications, state statutes, and agency websites. Each data point is cross-referenced against primary sources before publication. Records are reviewed and updated when laws or requirements change.

Last verified: 2026-09-18 · Statewide baseline only. Local rules may impose additional requirements. This is not legal advice.