Employment Laws in Vermont.

Prohibits employment discrimination based on race, color, religion, ancestry, national origin, sex, sexual orientation, gender identity, place of birth, crime victim status, age, and disability. Applies to all employers with 1 or more employees — broader than federal law.

Vermont's minimum wage is $14.42 per hour as of January 1, 2026. The tipped minimum wage is $7.21 per hour. The rate is adjusted annually based on the lesser of 5% or the CPI-U increase, and may not decrease.

Employees earn 1 hour of paid sick time for every 52 hours worked, up to 40 hours per year. Applies to employers with more than 6 employees. Employees may use earned sick time for their own illness or to care for a family member.

Vermont requires employers with 10 or more employees to provide unpaid parental leave of up to 12 weeks and family leave of up to 12 weeks. Significantly expanded by Act 32 of 2025 effective July 1, 2025. A voluntary paid family and medical leave insurance program is also available.

Employers may not discriminate between employees on the basis of sex, race, national origin, sexual orientation, or gender identity by paying wages at a lower rate for equal work requiring equal skill, effort, and responsibility.