California’s paid sick-leave law: what you should know

The Assembly is scheduled to vote this week on a bill, AB304, that would provide some clarity and a little more flexibility around sick-leave accrual methods.

An estimated 40 percent of California workers get no paid sick leave today; most will be covered by the new law.

Most employers that already offer paid sick leave provide more than the minimum number of days required under the new law.

[...] they will have to comply with new notice and record-keeping requirements and will have to cover part-time and temporary workers if they don’t already.

Under the Healthy Workplace, Healthy Families Act of 2014, employers must provide a minimum amount of paid sick leave to any employee who works in California for at least 30 days within a year.

The only exceptions are for employees covered by a union contract that provides comparable sick pay, In-Home Supportive Services employees, and airline flight deck or cabin crew employees who have equivalent benefits.

AB304 would exempt certain public-sector retirees who are getting a government pension and have returned to work part time.

The law does not apply to freelancers or independent contractors, but does cover temporary employees from a staffing agency.

What makes the law “mind-boggling” is the different rates that apply to the accrual, use and banking of sick leave, said Jacqueline Breslin, a director with TriNet of San Leandro, which provides benefits and payroll services to small and midsize companies.

Unused sick pay can be carried over to the next year, but employers can still limit you to three days per year and cap your sick-leave bank at 48 hours or six days.

Instead of the accrual method, employers can give all employees at least 24 hours (three days) of paid sick leave at the beginning of each year.

Employers must display a poster notifying employees of the sick leave law and give written notice of their rights when hired.

If an employer provides paid time off that can be used for vacation or sick leave, it does not have to provide additional sick leave as long as it provides at least 24 hours per year that can be used for health reasons.

AB304 would clarify that if a company offers unlimited vacation or paid time off, it can satisfy the written notice requirement by indicating on the notice or pay stub that such leave is unlimited.

In a webinar, the Department of Industrial Relations said that requiring documentation could interfere with an employee’s right to take leave and employers should “be cautious” about requesting it.