Effective January 01, 2024
Affects all Employers with California Employees
Overview:
On October 04, 2023, Governor Newsom signed Senate Bill (SB) 616 into law expanding Paid Sick Leave (PSL) in California. PSL has been in place since January 01, 2015, with an employee’s right to accrue and take Sick Leave effective July 01, 2015.
All Employers with CA Employees
Employers must provide no less than 5 days or 40 hours of Paid Sick Leave for any employee that works at least 30 days within a year.
The Paid Sick Leave expansion continues to allow one of two methods to accrue time off.
Front Load Method –
Provide 5 days or 40 hours of leave by the 90th day of employment, and each year thereafter at the beginning of each year of employment, calendar year, or 12-month period. The Front Load Method allows the employer to cap the annual accrual at 5 days or 40 hours with no carryover. Employers may choose to cap annual usage at 5 days or 40 hours.
Accrual Method –
Accrue 5 days or 40 hours of leave by the 200th calendar day of employment, and each year thereafter at the beginning of each year of employment, calendar year, or 12-month period. The accrual method must provide at least 1 hour of accrued sick time for every 30 hours worked. Carryover is required with the accrual method up to a minimum cap of 10 days or 80 hours. Employers may choose to cap annual usage at 5 days or 40 hours.
Employee protections for utilization of paid sick leave (e.g. retaliation), specific criteria of use (e.g. personal illness or taking care of a sick family member), and exclusions for employees covered by a valid collective bargaining agreement (CBA) remain in place.