The Vermont Labor Law Guide

The wage, hour, break, and scheduling rules that apply when you employ people in Vermont.

Last updated · February 1, 2026

Minimum Wage

The current rate is
$14.42 per hour

Vermont sets its own minimum wage above the federal rate.

Exceptions

  • Students: full-time high school students may be paid $14.12 per hour if the employer has a specific plan.
  • Small employers: employers with fewer than two employees are exempt from the state minimum wage law.

Tipped Minimum Wage

Tipped cash wage
$7.21 per hourservice rate

The tipped minimum wage is the lowest hourly cash wage an employer may pay employees who customarily and regularly receive tips, as long as their tips plus cash wages equal at least the applicable minimum wage.

Employers may pay this lower service rate only if the employee earns more than $120.00 per month in tips.

If the employee's direct cash wage ($7.21) plus tips does not equal at least the full minimum wage ($14.42), the employer must pay the difference.

Overtime Laws

Vermont overtime laws generally mirror the federal Fair Labor Standards Act (FLSA).

  • Standard rule: employers must pay non-exempt employees 1.5 times their regular rate for all hours worked over 40 in a workweek.
  • Exemptions: state law provides exemptions for certain retail and service establishment employees, as well as executive, administrative, and professional employees who meet salary thresholds.

Meal and Rest Breaks

Vermont law is more flexible than many states on specific break times but mandates reasonable opportunities.

Employers must give employees a reasonable opportunity to eat and use the restroom. This time can be unpaid if it is at least 30 minutes and the employee is completely relieved of duties. If the employee is required to work while eating, they must be paid.

Leave and Holidays

Earned sick time (paid)

Vermont requires employers to provide paid sick time to employees who work an average of 18 or more hours per week.

  • Accrual: employees earn 1 hour of paid sick time for every 52 hours worked.
  • Limits: employers may cap accrual and usage at 40 hours in a 12-month period.
  • Waiting period: employers may impose a waiting period of up to one year for new hires. During this time, employees accrue leave but cannot use it.
  • Carryover: unused time must carry over to the next year, unless the employer frontloads the full 40 hours at the start of the year or pays out unused time at the end of the year.
  • Usage: can be used for the employee's or a family member's illness or injury, medical appointments, or for safety, legal, or medical reasons related to domestic violence, sexual assault, or stalking.

Small employer note

Unlike the minimum wage law (which exempts employers with fewer than two employees), the earned sick time law generally applies to all private employers doing business in Vermont, provided the employee works the minimum average hours (18 or more hours per week). New employers in business less than one year are exempt for that first year.

Vermont Parental and Family Leave Act (VPFLA)

Under the VPFLA, covered employers must provide eligible employees with unpaid, job-protected leave. The amount and type of leave depend on the employer's size.

Parental, safe, and bereavement leave

Covered employers: employers with 10 or more employees who work an average of 30 or more hours per week.

Parental benefit: up to 12 weeks of unpaid leave in a 12-month period for:

  • The birth of a child or to care for a newborn.
  • The placement of a child for adoption or foster care.
  • Pregnancy, miscarriage, or recovery from childbirth.

Safe leave benefit: up to 12 weeks of unpaid leave to address the effects of domestic violence, sexual assault, or stalking (for example, seeking legal or medical aid, or relocating).

Bereavement benefit: up to 2 weeks (10 workdays) of unpaid leave following the death of a covered family member.

Family leave

Covered employers: employers with 15 or more employees who work an average of 30 or more hours per week.

Benefit: up to 12 weeks of unpaid leave in a 12-month period.

Reason: for the employee's own serious health condition or to care for a covered family member with a serious health condition. Covered family members include a spouse, domestic partner, civil union partner, child, parent, sibling, grandparent, grandchild, or parent-in-law.

Employee eligibility

To qualify for any of the leaves above, an employee must have worked for the employer for at least 12 months and averaged 30 or more hours per week during that year.

Short-term family leave

Covered employers: employers with 15 or more employees who work an average of 30 or more hours per week.

Benefit: up to 4 hours of unpaid leave in any 30-day period, not to exceed 24 hours in a 12-month period.

  • To participate in preschool or school activities (for example, parent-teacher conferences).
  • To accompany a family member to routine medical or dental appointments.
  • To accompany a family member to other professional appointments related to their care or well-being (for example, legal or social services).
  • To respond to a medical emergency involving a family member.

Child Labor Laws

Minors under 14

Generally prohibited from working. Exceptions exist for newspaper delivery, acting, or agricultural work.

Minors ages 14-15

  • School days: max 3 hours per day / 18 hours per week.
  • Non-school days: max 8 hours per day / 40 hours per week.
  • Time: 7:00 AM to 7:00 PM (extended to 9:00 PM from June 1 through Labor Day).
  • Limit: maximum 6 days per week.

Minors ages 16-17

  • Hours: there are no specific daily or weekly hour caps under state law (this aligns with federal law).
  • Hazardous work: prohibited from working in hazardous occupations (for example, explosives, mining, power-driven machinery, or exposure to radioactive substances).
Disclaimer

This guide is for general information only and is not legal advice. Labor laws change often, and how they apply depends on your specific situation. Always confirm current requirements with the relevant state labor agency or your own legal counsel before you rely on them.

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