Philadelphia Employer Compliance Guide

Last updated: By Glen Wilson

Several Philadelphia employment ordinances apply from the first employee. Two more depend on how many people work for you in the city. Find your headcount below.

Every threshold is sourced to the Philadelphia Code, a bill on the City Council record, or the City's own regulations. Where something has not been settled, we say so rather than filling the gap.

Coverage at a glance

Who enforces

Which agency enforces an ordinance decides where a complaint goes.

OWP
Office of Worker Protections, within the Department of Labor. Department of Labor
PCHR
Philadelphia Commission on Human Relations, a separate agency.
Board
Philadelphia Retirement Savings Board, which establishes the Program under Ch. 19-4700.
Designated by the Mayor
Chapter 9-6000 assigns the commuter benefit to "the office or agency designated by the Mayor". We have not found a published designation naming which office that is.

From the first employee

OrdinanceCodeEnforcerWho countsSource
Fair Practices Ordinanceanti-discriminationCh. 9-1100PCHRAn employer that "does business in the City of Philadelphia through employees" or "employs one or more employees", not counting parents, spouse, Life Partner or children.Phila. Code ch. 9-1100
Wage equitysalary history ban§ 9-1131PCHRSame employer definition as the Fair Practices Ordinance: one or more employees.Phila. Code ch. 9-1100
Fair Criminal Record Screening Standardsfair chance hiringCh. 9-3500PCHRAny employer that "employs any persons within the City of Philadelphia". No headcount floor. Independent contractors and gig workers are covered.Amendments effective January 6, 2026.Phila. Code ch. 9-3500
Menstruation, perimenopause and menopauseadded to the Fair Practices OrdinanceBill 250849PCHRSame employer definition as the Fair Practices Ordinance: one or more employees.From January 1, 2027.Bill 250849, Legistar
Retirement savings programpayroll deductionCh. 19-4700BoardAt least one covered employee whose "regular duties occur in the city", in business in the city for at least 24 months, and no qualified retirement plan.Phila. Code ch. 19-4700
Sick leaveunpaidCh. 9-4100OWPEmployees who work at least 40 hours a year in Philadelphia accrue sick leave (independent contractors, seasonal workers, interns and some others are excluded). Below the paid threshold, it is unpaid.Phila. Code ch. 9-4100
Wage theftCh. 9-4300OWPNo headcount threshold. Covers work performed in Philadelphia, or an employment contract made there.Phila. Code ch. 9-4300

From 10 employees working in Philadelphia

OrdinanceCodeEnforcerWho countsSource
Sick leavepaidCh. 9-4100OWPTen or more employees. The Code exempts an employer with "fewer than ten (10) employees for at least forty (40) weeks in a calendar year". Only employees who work 40 or more hours a year in Philadelphia count.A chain of 15 or more establishments under one trade name must provide paid leave at any size.Phila. Code ch. 9-4100
2016 Regulations, Reg. 2

From 50 employees working in Philadelphia

OrdinanceCodeEnforcerWho countsSource
Commuter transit benefitsCh. 9-6000
Bill No. 220337
Designated by the MayorFifty or more employees who each averaged at least 30 hours a week in Philadelphia over the previous 12 months. Government employers excluded.Phila. Code ch. 9-6000

As of October 27, 2026. Thresholds are as the Code states them. Each ordinance has its own exclusions, set out in its section below.

The remote employee

A single employee working remotely from Philadelphia can bring an employer with no Philadelphia office within reach of city ordinances.

From that first employee, the Fair Practices Ordinance, the salary history ban and the fair chance hiring rules apply. The Fair Practices Ordinance covers any employer that "does business in the City of Philadelphia through employees"; the fair chance hiring rules cover any employer that "employs any persons within the City of Philadelphia". From January 1, 2027, the new protections for menstruation, perimenopause and menopause apply as well.

Paid sick leave works differently. That one employee accrues sick leave if they work at least 40 hours a year in the city, but it is unpaid until ten or more employees work in the city. Commuter benefits require fifty.

The retirement savings ordinance does not say whether a single remote Philadelphia employee makes an out-of-town employer "in business in the City" for that program.

Paid sick leave

Who it covers

An employee is anyone who works in Philadelphia for at least 40 hours a year. Independent contractors, seasonal workers, adjunct professors, employees hired for less than six months, interns, pool employees, government employees and non-probationary employees under a collective bargaining agreement are excluded (§ 9-4103(4)).

Every covered employee accrues sick leave. Whether it is paid depends on size: "All employers that employ ten or more employees shall provide paid sick time"; everyone else gets unpaid sick time (§ 9-4104(1)). The Code exempts an employer that "employs fewer than ten (10) employees for at least forty (40) weeks in a calendar year", and counts full-time, part-time and temporary workers alike (§ 9-4103(5)).

The count is Philadelphia only. The City's regulations say "only Employers who employ ten or more Employees who work within the City of Philadelphia for 40 or more hours per year must provide paid sick time" (Regulation 2, 2016).

Chains are the exception. An establishment trading under a name used by 15 or more establishments must provide paid sick time "regardless of the number of employees in that establishment" (§ 9-4103(1), (5)).

What it requires

  • Accrual of "one hour of sick time for every 40 hours worked in Philadelphia", up to 40 hours a calendar year "unless the employer selects a higher limit" (§ 9-4104(2)).
  • Use from the 90th calendar day of employment. Unused time carries over unless the employer front-loads 40 hours at the start of each year, and use is capped at 40 hours a year unless the employer sets more (§ 9-4104(5), (6)).
  • Documentation may be required only "For sick time of more than two (2) consecutive days" (§ 9-4105(5)).

What it costs to get wrong

  • A civil penalty of "two thousand dollars ($2,000) for each violation", plus liquidated damages to the employee equal to the other damages owed (§ 9-4110(3)).
  • A complaint can be filed with the Office of Worker Protections within three years (§ 9-4110(2)). An employee can also sue, with a three-year limitation period, after giving the employer 15 days' written notice to put it right. The notice period does not apply to willful misconduct or retaliation (§ 9-4110(5)).

The City's own page is out of date on this. The City's paid sick leave page states that complaints must be filed within one year (City paid sick leave page). Section 9-4110(2) of the Code provides three years. The Code governs.

Records and notice

Employers must keep "contemporaneous, true, and accurate records" of hours worked, with dates, and of sick time taken and paid, and "retain these records for a period of three years". If records are missing, or not produced within 30 days of a request, the law presumes a violation (§ 9-4108). The period was two years until the POWER Act (Bill 250065). Employees must be told of their rights in the form the POWER Act sets; see the POWER Act.

Dates

The three-year records rule took effect with the POWER Act on May 27, 2025. The regulations the City has posted date from April 2016. The Office of Worker Protections said in August 2025 that it expected updated regulations "by early 2026"; as of October 27, 2026 only the 2016 set is posted.

The POWER Act

"On May 27, 2025, the Protect Our Workers, Enforce Rights (POWER) Act was signed into law and became effective immediately" (OWP memo). It did not change which employers are covered. It added two chapters that now apply across the City's worker protection ordinances: paid sick leave, wage theft, domestic workers, Fair Workweek, parking employment, and retaliation itself (§ 9-6601(8)). The Fair Practices Ordinance, fair chance hiring and commuter benefits are not on that list.

Retaliation

Adverse action within "ninety (90) days" of a worker exercising a protected right is presumed to be retaliation. The employer can overcome the presumption only with "clear and convincing evidence" (§ 9-6503(4)). The penalty is "two thousand dollars ($2,000) for each violation", plus liquidated damages equal to the damages owed (§ 9-6504(5)).

Notice

Employers must tell workers their rights under each ordinance that applies, either by written notice to each employee or by posters "in English and in any language that is the first language spoken by at least five percent (5%) of the employer's workforce" (§ 9-6607(2)). The penalty is up to $2,000 per violation, and while notice is not given, the deadline for a worker's complaint or lawsuit is paused (§ 9-6607(4), (5)).

Enforcement

  • The Office of Worker Protections can open an investigation on its own initiative, without a complaint (§ 9-6603(3)).
  • A Bad Actors Database, published by May 30 each year, lists employers with three or more final determinations against them, or who have not complied with one (§ 9-6608(2)).
  • Employers on that list can have business licenses denied or revoked by Licenses and Inspections, and can be barred from City contracts (§ 9-6609).

Wage theft

Who it covers

There is no headcount threshold. The ordinance uses the state and federal definitions of employer and employee, and covers a violation of state or federal wage law "where the work is performed in Philadelphia or the employment contract underlying the violation is made in Philadelphia" (§ 9-4301). A complaint must involve unpaid wages "equal to or greater than" $100 (§ 9-4301(5), § 9-4303(1)(b)).

What it costs to get wrong

  • "Each week during which an employee has suffered wage theft is a separate violation" (§ 9-4301.1).
  • A civil penalty of $2,000 for each violation, plus liquidated damages to the employee "equal to the unpaid wages or five hundred dollars ($500), whichever is greater" (§ 9-4307(1)).
  • A complaint can be filed within three years (§ 9-4303(1)(c)). An employee can also sue, after 15 days' written notice except for willful misconduct or retaliation, within three years, and recover attorney's fees (§ 9-4305).

Records and notice

The chapter sets no record-retention period. What it does say is that if an employer cannot produce records within 30 days of a request, there is a "presumption that the wages complained of were not paid" (§ 9-4303(2)(c)). Notice follows the POWER Act rules above.

Dates

"This Chapter shall take effect July 1, 2016" (§ 9-4310), as amended by the POWER Act in 2025.

Wage equity: the salary history ban

Who it covers

Any employer with "one or more employees", under the Fair Practices Ordinance definition (§ 9-1102(1)(h)).

What it requires

  • No asking about a candidate's wage history, "in writing or otherwise"; no requiring it; no making an interview or offer conditional on it; and no retaliating against a candidate who refuses.
  • No relying on wage history to set pay, "unless such applicant knowingly and willingly disclosed" it.
  • "Wages" include fringe benefits (§ 9-1131(2)).

In 2020 the Third Circuit vacated the injunction against the inquiry ban and upheld the denial of an injunction against the reliance ban (Third Circuit, No. 18-2175 (2020)). Both are enforceable.

Penalties, notice and dates

As for the Fair Practices Ordinance, below. The fair practices notice employers must post covers this section too (§ 9-1103(1)(i)). Added by Bill 160840, approved January 23, 2017, effective May 23, 2017.

Fair chance hiring

Who it covers

Any employer that "employs any persons within the City of Philadelphia", with no headcount floor. Independent contractors, rideshare drivers and other gig workers are covered (§ 9-3502).

What it requires

  • No question about criminal convictions on an application or during the hiring process, including "any question regarding the Applicant's or Employee's willingness to submit to a background check". Where federal or state law requires a check, it comes only after a conditional offer (§ 9-3504(1)).
  • No consideration of arrests that did not lead to a conviction and are not pending, or of juvenile records (§ 9-3503, § 9-3510).
  • Felony convictions count only if the underlying arrest or release from incarceration, whichever is later, was "fewer than seven (7) years" ago; misdemeanors, "fewer than four (4) years". Summary offenses and expunged or sealed records cannot be considered (§ 9-3504(4)–(6)).
  • No blanket exclusion. Each decision needs an individualized assessment: the offense, the time since, employment history, the job's duties, references and evidence of rehabilitation (§ 9-3504(3)).
  • Before rejecting someone, written notice of the provisional decision and its basis, with a copy of the record used, and "ten (10) business days" for the person to respond (§ 9-3504.1).

What it costs to get wrong

  • Each violation is a "Class III" offense, with a maximum fine of $2,000 (§ 9-3506(2); § 1-109(3)). PCHR can also order civil penalties "not to exceed two thousand dollars ($2,000) per violation", plus liquidated damages (§ 9-3506(5)).
  • A person must report to PCHR "within 300 calendar days" to keep the right to sue (§ 9-3506(3)). In court, liquidated damages are capped at $5,000 (§ 9-3508(3)).
  • Adverse action within 90 days of someone exercising these rights is presumed to be retaliation, which the employer can rebut by "a preponderance of evidence" (§ 9-3511).

Notice

Employers must post PCHR's summary "in a conspicuous place on the employer's website and premises" (§ 9-3509).

Dates

The current rules came from Bill 250373-A, approved October 8, 2025 and effective January 6, 2026 (Code notes; PCHR notice).

Commuter benefits

Who it covers

An employer with "fifty (50) or more Covered Employees", government employers excluded. A covered employee is one who "performed an average of at least thirty (30) hours of work per week, for compensation, within the geographic boundaries of Philadelphia for the same employer within the previous twelve (12) months" (§ 9-6001). Only Philadelphia-based employees count toward the fifty.

The Code counts employees who averaged 30 or more hours a week in Philadelphia over the previous 12 months. It does not address whether a full-time teleworker based in the city counts differently.

What it requires

The benefit must be made available "to all of its Covered Employees". There is no request trigger. The employer offers at least one of (§ 9-6002(1)):

  • a pre-tax payroll deduction for mass transit or qualified bicycle expenses, at the maximum the Internal Revenue Code allows;
  • an employer-paid transit pass or fare card, at the maximum allowed under § 132(f)(2) of the Internal Revenue Code; or
  • a combination of the two.

What it costs to get wrong

On a complaint, the agency mediates for 30 days, then issues a written warning. After 30 more days without compliance, the City can go to court, with fines under the Code's general penalty, § 9-105(1). "Each day that the Covered Employer fails to comply with this Chapter shall constitute a separate violation" (§ 9-6003). That fine is currently $150 to $300 per violation (§ 9-105(1)). A bill amending § 9-105 takes effect on November 12, 2026, and we will re-check the amount then.

Records, notice and dates

The chapter sets no record-keeping or posting requirement. It was added by Bill 220337, approved June 22, 2022 and effective December 31, 2022 (Code note).

Who enforces it: the chapter assigns enforcement to "The office or agency designated by the Mayor" (§ 9-6001(1)). We have not found a published designation naming which office that is.

Fair Practices Ordinance

Who it covers

"Any person who does business in the City of Philadelphia through employees or who employs one or more employees exclusive of parents, spouse, Life Partner or children" (§ 9-1102(1)(h)).

What it requires

No employment discrimination based on race, ethnicity, color, sex (including pregnancy, childbirth, or a related medical condition), reproductive health autonomy, sexual orientation, gender identity, religion, national origin, ancestry, citizenship or immigration status, age, disability, marital status, familial status, genetic information, domestic or sexual violence victim status, or human trafficking victim status (§ 9-1103(1)). Age means over 40, and race includes hairstyles (§ 9-1102(1)). Human trafficking victim status was added in February 2026 and citizenship or immigration status in May 2026.

  • Reasonable accommodation for pregnancy, childbirth, reproductive health autonomy and related conditions, with written notice of these rights "to all new and existing employees" (§ 9-1128).
  • Break time to express breast milk and "a private, sanitary space that is not a bathroom" (§ 9-1103(1)(m)).
  • Posting "any fair practices notice prepared and made available by the Commission" (§ 9-1103(1)(i)).

What it costs to get wrong

  • A fine of "not more than two thousand dollars ($2,000) for each violation"; repeat violations carry up to $2,000, 90 days' imprisonment, or both (§ 9-1121).
  • PCHR can also order punitive damages "not to exceed two thousand dollars ($2,000) per violation" (§ 9-1105(1)).
  • A complaint must reach PCHR "within three hundred (300) days" (§ 9-1112(3)). A complainant can go to court if PCHR dismisses the case or there is no conciliation within a year, and then has two years to file (§ 9-1122).

Retirement savings

Who it covers

An employer that "employs, and during the previous calendar year employed, at least one covered employee and that has been in business in the City for at least 24 months", nonprofits included. A covered employee is one "whose regular duties occur in the city"; employees under 18 are excluded. Any employer that maintains a qualified retirement plan, such as a 401(k) or 403(b), is excluded (§ 19-4701).

What it requires

  • Facilitating employees' contributions "through payroll deduction unless the covered employer offers a qualified retirement plan" (§ 19-4704(1)(b)).
  • Automatic enrollment, with employees free to opt out, at a default rate "between three and six percent (3%-6%)" set by the Board, never above 10% (§ 19-4704(1)(c), (d)).
  • Employer contributions are prohibited, and the Program imposes no ERISA duties on employers (§ 19-4704(1)(g), (o)).

When

The Retirement Savings Board must enable worker contributions by July 1, 2027 (§ 19-4710). That is the Program's deadline, not an employer's. No employer registration date and no penalty have been published; the ordinance leaves enforcement to the Board (§ 19-4705(2)). The ordinance does not address whether a single remote Philadelphia employee makes an out-of-town employer "in business in the City" for this program.

Council passed the ordinance on December 11, 2025 and the Mayor signed it on January 20, 2026 (Bill 250651-A, Legistar). Voters approved the charter change creating the Board on May 19, 2026 (City Council, 21 May 2026).

Menstruation, perimenopause and menopause

Bill 250849 adds menstruation, perimenopause and menopause to the Fair Practices Ordinance from January 1, 2027, for employers with one or more employees. It passed City Council 15–0 on November 20, 2025 and was signed on December 3, 2025 (Bill 250849, Legistar).

Employers must provide reasonable accommodation "if the symptoms of menstruation, perimenopause, or menopause substantially interfere with an employee's ability to perform one or more job functions, provided (i) the employee requests such accommodations and (ii) such accommodations will not cause an undue hardship to the employer" (§ 9-1128(1) as amended). Penalties follow the Fair Practices Ordinance.

The bill does not amend the notice provision, and PCHR has published no guidance on whether the pregnancy-rights notice must mention these conditions from 2027. We will update this page when it does.

Records and notices, ordinance by ordinance

Only one of these ordinances sets a record-retention period. Do not apply its three years to the others.

OrdinanceRecordsNotice or posting
Paid sick leaveThree years: hours worked with dates, sick time taken and paid. Two years before May 27, 2025. § 9-4108Written notice to each employee, or posters, in English and any language that is the first language of at least 5% of the workforce. § 9-6607
Wage theftNo period set. Records not produced within 30 days create a presumption that wages were not paid. § 9-4303(2)(c)As for sick leave. § 9-6607
Fair chance hiringNo period set.PCHR summary on the employer's website and premises; written notice before rejecting a candidate. § 9-3509, § 9-3504.1
Fair Practices and wage equityNot reviewed.Fair practices notice posted; written notice of pregnancy accommodation rights to all new and existing employees. § 9-1103(1)(i), § 9-1128(4)
Commuter benefitsNo period set.None in the chapter. Ch. 9-6000
Retirement savingsNone in the ordinance. Board rules not yet published.None in the ordinance. Ch. 19-4700

"Not reviewed" means we have not checked Chapter 9-1100 for a retention rule, not that it has none.

What we're still waiting on

As of October 27, 2026:

  • Commuter benefit enforcement. Chapter 9-6000 assigns enforcement to an office or agency designated by the Mayor. We have not found a published designation naming which office that is.
  • Menopause notice. Whether the pregnancy-rights notice must mention menstruation, perimenopause and menopause from 2027. PCHR has published no guidance.
  • Sick leave regulations. The Office of Worker Protections expected updated regulations by early 2026. Only the 2016 set is posted.
  • Retirement savings and remote employees. Whether one remote Philadelphia employee makes an out-of-town employer "in business in the City" for the program.
  • Fair Practices record retention. We have not reviewed Chapter 9-1100 in full and cannot say whether the Fair Practices Ordinance sets a record-retention period.
  • Commuter benefits and teleworkers. Whether a full-time teleworker based in Philadelphia counts differently toward the fifty. The Code does not address it.
  • The § 9-105(1) fine. A bill amending § 9-105 takes effect on November 12, 2026. We will re-check the $150 to $300 amount then.

We update this page as each is settled rather than guessing.

Not covered here

These also exist. We have not verified their details for this page.

Questions

Which Philadelphia ordinances apply if I have one employee in the city?

From the first employee: the Fair Practices Ordinance, the wage equity rules on salary history, the fair chance hiring rules on criminal records, and the wage theft ordinance, which has no headcount threshold. An employee who works at least 40 hours a year in Philadelphia also accrues sick leave, unpaid until ten or more employees work in the city; a chain of 15 or more establishments under one trade name must pay it at any size. From January 1, 2027, the protections for menstruation, perimenopause and menopause apply too. The retirement savings program reaches an employer with at least one covered employee that has been in business in the city for 24 months and has no qualified retirement plan.

Does a remote Philadelphia employee trigger city ordinances?

Yes, for several. The Fair Practices Ordinance covers an employer that "does business in the City of Philadelphia through employees", and the fair chance hiring rules cover any employer that "employs any persons within the City of Philadelphia". Sick leave works differently: a remote employee who works at least 40 hours a year in Philadelphia accrues it, but it is unpaid until ten or more employees work in the city. Commuter benefits need fifty. The retirement ordinance does not say whether one remote employee makes an out-of-town employer "in business in the City".

How much paid sick leave must Philadelphia employers provide?

One hour for every 40 hours worked in Philadelphia, up to 40 hours in a calendar year unless the employer sets a higher limit (Philadelphia Code § 9-4104(2)). Employers with ten or more employees must pay for it; below that it is unpaid. Some published summaries give 80 hours for employers with 50 or more employees and 56 hours for 10 to 49. We could not find an ordinance supporting those figures.

Is the Philadelphia sick leave headcount Philadelphia-only or company-wide?

Philadelphia only. The City's sick leave regulations say "only Employers who employ ten or more Employees who work within the City of Philadelphia for 40 or more hours per year must provide paid sick time." Those regulations date from 2016, before the 2025 POWER Act. The Office of Worker Protections said in August 2025 that it expected to update them by early 2026; as of October 27, 2026, only the 2016 set is posted.

Who enforces Philadelphia employment ordinances?

It depends on the ordinance. The Office of Worker Protections, within the Department of Labor, enforces sick leave, wage theft and the POWER Act retaliation rules. The Philadelphia Commission on Human Relations, a separate agency, enforces the Fair Practices Ordinance, wage equity, fair chance hiring and the 2027 menopause protections. The Philadelphia Retirement Savings Board runs the retirement program. The commuter benefit chapter assigns enforcement to an office or agency designated by the Mayor, and we have not found a published designation.

How long must Philadelphia employers keep records?

It depends on the ordinance, and only one sets a period. Sick leave records must be kept for three years: hours worked with dates, sick time taken, and payments for it. That has been the rule since the POWER Act took effect on May 27, 2025; it was two years before. The wage theft chapter sets no retention period, but if an employer cannot produce records within 30 days of a request, the law presumes the wages were not paid. The fair chance hiring, commuter benefit and retirement savings chapters set no retention period.

What changes for Philadelphia employers in 2027?

Two things. From January 1, 2027, the Fair Practices Ordinance adds menstruation, perimenopause and menopause, including reasonable accommodation where symptoms substantially interfere with an employee's ability to perform one or more job functions. And the Retirement Savings Board must enable worker contributions to the City's retirement program by July 1, 2027. That is the Program's deadline, not an employer's; no employer registration date has been published.

Do I have to offer a retirement plan in Philadelphia?

Not your own plan. The ordinance excludes any employer that maintains a qualified retirement plan, such as a 401(k) or 403(b). An employer without one, with at least one covered employee and 24 months in business in the city, must facilitate payroll deductions into the City's program. Workers are enrolled automatically and can opt out, and employer contributions are prohibited. No employer registration date and no penalty have been published.

What to do with this

Count your Philadelphia headcount the way each ordinance counts it, not the way your payroll report does. Check which agency each obligation answers to. Then check your application form, your sick leave policy and your posters against the Code, not against a summary, including the City's own.

If your people work in more than one state, see multi-state HR compliance.

Start with a question, not a contract

Bring us something you're stuck on and we'll answer it. If we can help, we'll say how. If you need someone else, we'll say that too.

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