Below, you'll find an easily understandable summary of the new paid sick leave law, Senate Bill (SB) 616, which enhances the provisions set by the Healthy Workplaces, Healthy Families Act of 2014.
Enhanced Paid Sick Leave Entitlement:
As per SB 616, employees are now entitled to five days, or a total of forty hours, of paid sick leave annually. This is an increase from the previous entitlement of three days or twenty-four hours.
Options for Accruing Sick Leave:
Employees may continue to accrue paid sick leave at a standard rate of one hour for every thirty hours worked.
By the 200th day of employment, employees must be able to accrue the full forty hours.
Employers must ensure that at least twenty-four hours of paid sick leave are available to employees by their 120th day of employment.
Alternatively, employers have the option to "frontload" the total amount of paid sick leave at the beginning of each year.
Increased Limits for Annual Usage and Accrual:
The new limit for an employee’s annual use of paid sick leave has risen to forty hours, from the previous cap of twenty-four hours.
Employers may now set an accrual cap at eighty hours or ten days — an increase from the former limit of forty-eight hours or six days.
These changes reinforce California's commitment to supporting employees’ well-being while providing employers with clear guidance on paid sick leave benefits. It’s essential for employers to understand and integrate these adjustments into their payroll and HR operations.
Should you have any questions or require assistance implementing these new regulations, please don’t hesitate to reach out for support.