Pennsylvania employment rules for employers
Last verified Sep 24, 2026 · 12 verified rules · How we verify every rule
General information, not legal advice. This page is for general information only and isn’t legal, financial or tax advice. Laws vary by state and change; check the official source or talk to a qualified professional about your situation. Every rule on this page links to its official source.
Minimum wage
Pennsylvania minimum wage is $7.25 per hour. (U.S. DOL WHD, State Minimum Wage Laws (Pennsylvania))
What is the minimum wage?$7.25 per hourVerified Sep 24, 2026 · 2 official sources
Pennsylvania minimum wage is $7.25 per hour. (U.S. DOL WHD, State Minimum Wage Laws (Pennsylvania))
“Pennsylvania Basic Minimum Rate (per hour): $7.25”
“The minimum wage in Pennsylvania is $7.25 per hour.”
Used in: How to hire your first employee
Paydays
How often do you have to pay?Depends on the caseVerified Sep 24, 2026 · 2 official sources
Pennsylvania sets no fixed pay frequency: wages must be paid on regular paydays designated in advance by the employer. (U.S. DOL WHD, State Payday Requirements)
“Oregon X Pennsylvania Puerto Rico X X X”
“Every employer shall pay all wages, other than fringe benefits and wage supplements, due to his employes on regular paydays designated in advance by the employer.”
Used in: How to hire your first employee
Meal breaks
Do adult employees get a meal break?No state ruleVerified Sep 24, 2026 · 2 official sources
No general state meal break requirement for adult employees (18 and over) in private employment; separate rules apply to minors and to seasonal farm workers. (U.S. DOL WHD, Meal Period Requirements Under State Law for Adult Employees in Private Sector)
“Table of Meal Period Requirements Under State Law For Adult Employees in Private Sector”
“Employers are not required to give breaks for employees 18 and over.”
One more case for this topic is not verified yet. Check the official source.
Rest breaks
Do adult employees get paid rest breaks?No state ruleVerified Sep 24, 2026 · 2 official sources
No state rest break requirement for adult employees (18 and over) in private employment. (U.S. DOL WHD, Minimum Paid Rest Period Requirements Under State Law for Adult Employees in Private Sector)
“1 States not listed do not require paid rest periods.”
“Employers are not required to give breaks for employees 18 and over.”
Final paycheck
If you fire someone, when is the last paycheck due?Next regular paydayVerified Sep 24, 2026 · 2 official pages from the same agency
When an employer separates an employee from the payroll, earned wages are due no later than the next regular payday. (Pennsylvania Wage Payment and Collection Law, Act of July 14, 1961, P.L. 637, No. 329, Section 5(a) (43 P.S. § 260.5))
“(a) Separated Employes. Whenever an employer separates an employe from the payroll, or whenever an employe quits or resigns his employment, the wages or compensation earned shall become due and payable not later than the next regular payday of his employer on which such wages would otherwise be due and payable.”
“If you quit your job, are laid off, or are fired, your employer must pay you all monies you earned by the next scheduled pay day.”
If an employee quits, when is the last paycheck due?Next regular paydayVerified Sep 24, 2026 · 2 official pages from the same agency
When an employee quits or resigns, earned wages are due no later than the next regular payday. (Pennsylvania Wage Payment and Collection Law, Act of July 14, 1961, P.L. 637, No. 329, Section 5(a) (43 P.S. § 260.5))
“(a) Separated Employes. Whenever an employer separates an employe from the payroll, or whenever an employe quits or resigns his employment, the wages or compensation earned shall become due and payable not later than the next regular payday of his employer on which such wages would otherwise be due and payable.”
“If you quit your job, are laid off, or are fired, your employer must pay you all monies you earned by the next scheduled pay day.”
Final paycheck laws by state · Final paycheck date calculator
Used in: How to fire an employee in your state · Employee no call, no show: what to do · An employee resigned: what to do next
Unused vacation (PTO) at separation
Do you have to pay out unused vacation when someone leaves?Depends on your policyVerified Sep 24, 2026 · 2 official pages from the same agency
No Pennsylvania law requires an employer to provide vacation pay. An employer only has to pay vacation if it has a policy or a contract to pay it, and must follow its own rules. Vacation pay owed under an agreement is a 'fringe benefit or wage supplement' under the Wage Payment and Collection Law. (Pennsylvania Dept. of Labor & Industry, Wage FAQs)
“There is no Pennsylvania labor law which requires an employer to pay an employee not to work. Benefits like sick leave, vacation pay and severance pay are payments to an employee not to be at work. Therefore, an employer only has to pay these benefits if the employer has a policy to pay such benefits or a contract with you to pay these benefits. An employer must follow its own rules for these kinds of payments.”
“Act of 1974, 29 U.S.C. §1001 et seq.; as well as separation, vacation, holiday, or guaranteed pay; reimbursement for expenses; union dues withheld from the employes' pay by the employer; and any other”
Used in: How to fire an employee in your state · An employee resigned: what to do next
Paid sick leave
Do you have to give paid sick leave?No statewide lawVerified Sep 24, 2026 · 2 official pages from the same agency
Pennsylvania has no state law requiring employers to provide paid sick leave; employers must pay it only under their own policy or a contract. Local rules (e.g. Philadelphia) may apply. (Pennsylvania Department of Labor & Industry, Wage FAQs)
“There is no Pennsylvania labor law which requires an employer to pay an employee not to work. Benefits like sick leave, vacation pay and severance pay are payments to an employee not to be at work. Therefore, an employer only has to pay these benefits if the employer has a policy to pay such benefits or a contract with you to pay these benefits.”
“Paid sick leave, holiday pay, or other hours not actually worked are not protected under the Wage Payment and Collection Act unless expressly promised in official business documents, like an employee handbook or memo.”
At-will employment
Yes. Pennsylvania follows at-will employment, with these exceptions (McGee v. Procter & Gamble Distributing Co., No. 2:02-cv-01121 (E.D. Pa. Aug. 3, 2006), quoting Donahue v. Federal Express Corp., 753 A.2d 238, 243 (Pa. Super. 2000)):
- Public policy: Recognized, limited (Tanay v. Encore Healthcare, LLC, No. 2:10-cv-00792 (E.D. Pa. Aug. 26, 2011), citing McLaughlin v. Gastrointestinal Specialists, Inc., 750 A.2d 283, 287 (Pa. 2000))
- Implied contract: Recognized, limited (McGee v. Procter & Gamble Distributing Co., No. 2:02-cv-01121 (E.D. Pa. Aug. 3, 2006), citing Permenter v. Crown Cork & Seal Co., 38 F. Supp. 2d 372, 377 (E.D. Pa. 1999))
- Good faith and fair dealing: Not recognized (McGee v. Procter & Gamble Distributing Co., No. 2:02-cv-01121 (E.D. Pa. Aug. 3, 2006), quoting Donahue v. Federal Express Corp., 753 A.2d 238, 243 (Pa. Super. 2000))
Public policy exception: recognized?Recognized, limitedVerified Sep 24, 2026 · 2 official pages from the same agency
Pennsylvania recognizes a very narrow public policy exception to at-will employment: the firing must violate a clear public policy found in the constitution, legislation, a regulation or a judicial decision, and courts have applied it mainly where the employer required a crime, prevented compliance with a statutory duty, or fired the employee where a statute specifically prohibits it. (Tanay v. Encore Healthcare, LLC, No. 2:10-cv-00792 (E.D. Pa. Aug. 26, 2011), citing McLaughlin v. Gastrointestinal Specialists, Inc., 750 A.2d 283, 287 (Pa. 2000))
“An exception to this rule exists where the termination violates public policy.”
“In light of the extreme narrowness of the public policy exception to at-will employment”
Implied contract exception: recognized?Recognized, limitedVerified Sep 24, 2026 · 2 official pages from the same agency
Pennsylvania strongly presumes at-will employment; the presumption is overcome only by an express contract, an implied agreement supported by additional consideration, or clear and precise evidence of a contract for a definite term. Vague assurances or subjective expectations are not enough. (McGee v. Procter & Gamble Distributing Co., No. 2:02-cv-01121 (E.D. Pa. Aug. 3, 2006), citing Permenter v. Crown Cork & Seal Co., 38 F. Supp. 2d 372, 377 (E.D. Pa. 1999))
“Employment in Pennsylvania is presumed to be at-will unless there is an express contract, or an implied agreement with additional consideration, that allows the court to infer that the parties did not intend the employment to be at-will.”
“Evidence of a subjective expectation of a guaranteed employment period, based on employer practices or vague employer superlatives, is insufficient.”
Good faith and fair dealing exception: recognized?Not recognizedVerified Sep 24, 2026 · 2 official pages from the same agency
An at-will employee in Pennsylvania cannot sue for breach of the implied duty of good faith and fair dealing over the termination itself (Donahue v. Federal Express). (McGee v. Procter & Gamble Distributing Co., No. 2:02-cv-01121 (E.D. Pa. Aug. 3, 2006), quoting Donahue v. Federal Express Corp., 753 A.2d 238, 243 (Pa. Super. 2000))
““cannot as a matter of law maintain an action for breach of the implied duty of good faith and fair dealing, insofar as the underlying claim is for termination of an at-will employment relationship.””
“Without a contract, Shire cannot be held liable for breach of contract, or for breach of an implied covenant of good faith and fair dealing.”
Used in: How to write up an employee (the right way, in your state) · How to put an employee on a performance improvement plan · Employee no call, no show: what to do · Insubordination: what counts, and how to handle it
Service letter (reason for termination)
Do you have to give a written reason for the termination on request?Not verified yetCheck the official source
We have not verified this rule for Pennsylvania yet. Check the official source: pa.gov.
Used in: How to write up an employee (the right way, in your state) · How to fire an employee in your state
Separation notice
Do you have to give a separation notice when someone leaves?Yes: UC-1609Verified Sep 24, 2026 · 2 official pages from the same agency
Every Pennsylvania employer (whether or not liable for UC contributions) must notify employees of the availability of unemployment compensation at the time of separation from employment. The Department of Labor & Industry recommends its form 'Employer Information for Separating Employees', but another format may be used. (43 P.S. § 796.1 (Pa. UC Law § 206.1, added by Act 9 of 2020))
“Section 206.1. Unemployment Compensation Benefit Notification by Employers.-Each employer, whether or not liable for the payment of contributions under this act, shall provide notification of the availability of unemployment compensation to the employer's employes at the time of separation from employment.”
“EMPLOYERS: You are required by Section 206.1 of Pennsylvania UC Law to provide notification of the availability of Unemployment Compensation (UC) benefits to separating employees at the time of separation from employment. We recommend using this form to provide the required information, but you may use a different format.”
Used in: How to fire an employee in your state
Final pay after firing, neighbors
| State | Final pay after firing |
|---|---|
| Pennsylvania | Next regular payday |
| New York | Next regular payday |
| New Jersey | Next regular payday |
| Delaware | Next payday or 3 business days, whichever is later |
| Maryland | Next regular payday |
| West Virginia | Next regular payday |
| Ohio | Not verified |
Only verified rules are shown. "Not verified" means we have not checked that state's rule yet; open its rulebook for the official source.
What an employee costs in Pennsylvania
Beyond the salary, an employer pays these payroll taxes on each employee. Rates for 2026, from official sources:
- Social Security: 6.2% of wages, up to $184,500 per employee in 2026 (Publication 15).
- Medicare: 1.45% of all wages, with no wage base limit (Topic 751).
- Federal unemployment (FUTA): 6.0% of the first $7,000 of each employee's wages, with a credit of up to 5.4% for state unemployment taxes paid, so usually 0.6% (Topic 759).
- FUTA credit reduction: Pennsylvania is not on the DOL list for 2025 (final) or 2026 (potential), so the full 5.4% credit is available if state unemployment taxes are paid in full and on time (U.S. DOL, FUTA credit reductions; Topic 759).
- Pennsylvania unemployment insurance: taxes apply to the first $10,000 of each employee's wages. Rates for experience-rated employers run from 0.75% to 8.95%; the new-employer base rate is 3.8220%. Source: U.S. DOL, Significant Provisions of State UI Laws, effective July 2026, page 5. The DOL notes that higher rates may apply by industry and that the table "is not an official interpretation of state UI laws". Find the Pennsylvania unemployment agency.
A worked example: $40,000 salary
Estimate, before benefits and workers' comp; check with your payroll provider. It assumes a new employer, a full year of wages and the full FUTA credit.
| Tax on a $40,000 salary | Per year |
|---|---|
| Social Security, 6.2% (Topic 751) | $2,480 |
| Medicare, 1.45% (Topic 751) | $580 |
| Federal unemployment (FUTA), 0.6% of the first $7,000 (Topic 759) | $42 |
| Pennsylvania unemployment insurance, new-employer rate 3.8220% of the first $10,000 (DOL, July 2026) | $382 |
| Estimated total employer taxes | $3,484 |
Estimate: $3,484 is about 8.7% on top of the salary. It leaves out health insurance, retirement contributions, workers' compensation, state disability or paid leave programs and any local taxes.
Federal wage enforcement in Pennsylvania
In FY2021 to FY2025, the U.S. Department of Labor's Wage and Hour Division concluded 2,123 cases in Pennsylvania (n = 2,123), finding $45,914,686 in back wages owed to 37,807 employees (DOL enforcement data). Enforcement data is not a violation rate: it shows where federal investigators looked, and many states handle wage claims through their own agencies. Wage violations by industry.
Changes coming in 2027
We have not found an announced 2027 change for Pennsylvania employers in official sources yet. All 2027 changes by state.
Changelog
- Sep 24, 2026: first verified, 12 rules.
Questions about Pennsylvania employer rules
What is the minimum wage in Pennsylvania?
Pennsylvania minimum wage is $7.25 per hour. (U.S. DOL WHD, State Minimum Wage Laws (Pennsylvania))
Is Pennsylvania an at-will state?
Yes. Pennsylvania follows at-will employment, with exceptions. Of the 3 common exceptions, we have verified 3, and 2 are recognized in Pennsylvania (McGee v. Procter & Gamble Distributing Co., No. 2:02-cv-01121 (E.D. Pa. Aug. 3, 2006), quoting Donahue v. Federal Express Corp., 753 A.2d 238, 243 (Pa. Super. 2000)).
When is the final paycheck due after firing someone in Pennsylvania?
When an employer separates an employee from the payroll, earned wages are due no later than the next regular payday. (Pennsylvania Wage Payment and Collection Law, Act of July 14, 1961, P.L. 637, No. 329, Section 5(a) (43 P.S. § 260.5))
Sources (19)
- U.S. DOL WHD, State Minimum Wage Laws (Pennsylvania)
- Pennsylvania Department of Labor & Industry, Wage FAQs (Minimum Wage Act)
- U.S. DOL WHD, State Payday Requirements
- Wage Payment and Collection Law (Act of 1961, P.L. 637, No. 329), Section 3(a)
- U.S. DOL WHD, Meal Period Requirements Under State Law for Adult Employees in Private Sector
- U.S. DOL WHD, Minimum Paid Rest Period Requirements Under State Law for Adult Employees in Private Sector
- Pennsylvania Department of Labor & Industry, File a Wage Payment and Collection Complaint
- McGee v. Procter & Gamble Distributing Co., No. 2:02-cv-01121 (E.D. Pa. Aug. 3, 2006), quoting Donahue v. Federal Express Corp., 753 A.2d 238, 243 (Pa. Super. 2000)
- Hardee-Guerra v. Shire Pharmaceuticals, No. 2:09-cv-01547 (E.D. Pa. Aug. 25, 2010)
- Tanay v. Encore Healthcare, LLC, No. 2:10-cv-00792 (E.D. Pa. Aug. 26, 2011), citing McLaughlin v. Gastrointestinal Specialists, Inc., 750 A.2d 283, 287 (Pa. 2000)
- Donaldson v. Informatica Corp., No. 2:09-cv-00804 (W.D. Pa. May 31, 2011)
- 43 P.S. § 796.1 (Pa. UC Law § 206.1, added by Act 9 of 2020)
- PA L&I Form UC-1609
- IRS Publication 15 (2026), Circular E, Employer's Tax Guide
- IRS Topic no. 751, Social Security and Medicare withholding rates
- IRS Topic no. 759, Form 940, Employer's Annual Federal Unemployment (FUTA) Tax Return
- U.S. DOL, Employment and Training Administration: FUTA credit reductions
- U.S. DOL, Office of Unemployment Insurance: Significant Provisions of State Unemployment Insurance Laws, effective July 2026
- U.S. Department of Labor: State labor offices
Checked Sep 24, 2026 · How we verify every rule · Report an error