Checklist for Compliance with new Sick Leave Law
Jul 01, 2015
By Amy Kelemen, on Jun 29, 2015
SharedHR has been communicating with our clients about this important development throughout the past year via bulletins, blogs and webinars. Good news: if we are outsourcing your HR function, your SharedHR consultant is taking care of this already!
As the time is now upon us, we are pleased to provide you a checklist for compliance:
Check Volumes: Make sure your rate of accrual for sick time or PTO equates to 1 hour for every 30 hours worked, including overtime hours worked. On a 40-hour week, this means 1.34 hours per week. Alternatively, grant a lump sum of 24 hours or 3 days (whichever is greater) each year.
Ensure Cap Levels: If you are accruing this time for employees, instead of using the lump sum method, your maximum balance “cap” must be at least 48 hours. Despite this cap, the use of CA sick time may be limited to 24 hours or 3 days per year.
Start on Hire Date: Accrual should start (or lump sum given) on July 1, 2015 or the employee’s hire date, whichever is later. New hires can be required to wait 90 days before using it.
Include All Employees: CA sick time must be given to categories of employees that may not have had any paid time off previously (part time, temporary, on-call, for example). There are exceptions for employees who will work fewer than 30 days per year, or are covered by a collective bargaining agreement, or work in a very limited list of industries.
Keep Records: Keep records of sick time earned and taken for three years, including policies and notifications you give employees.
Plan for Rehires: Maintain balances of accrued time for separating employees. If you rehire the employee within 1 year, that balance needs to be reinstated.
Communicate Balances each Payday: Employees must receive notice of their time available, either on their paystub or other written notice. For clients using SharedHR Central to track time off, we have a new function you may use to email this to employees each pay period in lieu of a paystub notification.
Notify Employees Now: Provide written notice to California employees by July 8, 2015. This can be in the form of a “Wage Theft Prevention: 2810.5 notice (which you must already must give to non-exempt employees upon hire and in writing whenever the information contained in it changes). Or, communicate this via email or memo, as long as it contains the information about CA sick time and how your organization is providing it.
Consider Your Location: San Francisco, Emeryville, Oakland and Long Beach (San Diego is pending a vote in June 2016) have their own sick leave laws so the most generous provisions of each should be followed.
Watch Attendance Policies: Employees must not be reprimanded or otherwise retaliated against for taking the time this Act provides. In the absence of clear guidance on the issue, attorneys have also recommended employers do not require a doctor’s note to justify use of CA sick time.
Train Managers and Supervisors: Anyone who might receive requests for time off should be aware that CA sick time can be used under a variety of situations (including domestic violence and stalking) and for to care for family members.
Update your Handbook: If you don’t already have a new employee handbook with this language included, we strongly recommend you start working on one. We have been doing lots of handbook updates at SharedHR this year, and would be happy to help you with this project.
Verify Poster and Form: Posters regarding CA sick time were required January 1st 2015, along with the updated version of the Form 2810.5.
Review the FAQ: This is just an overview, so please make sure you have read the surprisingly-helpfulFAQ from the CA Department of Industrial Relations: http://www.dir.ca.gov/dlse/Paid_Sick_Leave.htm