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16
T H E P R I M E R U S P A R A D I G M
Inoculate Your Company Against
Sick Leave Claims Before the Newest
Category of Class Actions Spreads
On September 10, 2014, California
Governor Jerry Brown signed into law the
Healthy Workplaces, Healthy Families
Act of 2014, making California the
second state to require its employers to
provide paid sick leave to employees.
Under this new and complex law, which
takes effect on July 1, 2015, most
employers of employees who work in
California for 30 or more days within a
year from the start of their employment
will be required to provide up to 24
hours or three days of paid sick leave
per year to their employees. Employers
in Long Beach, San Diego and San
Francisco, which already have their own
sick leave laws, will find it challenging
to comply with their multiple obligations.
The full text of the law can be found at
http://www.leginfo.ca.gov/pub/13-14/
bill/asm/ab_1501-1550/ab_1522_
bill_20140904_enrolled.pdf.
Who Are Covered Employers?
The law applies to most employers that
have even one California employee who
works 30 or more days in a year. This
includes domestics, part-time, temporary
and seasonal employees who may not
have been previously eligible for paid sick
leave under an employer's policies.
Which Employees Are Excluded
From Coverage?
The only exceptions to the obligation to
provide these sick leave benefits are:
1. when employees are covered by a
valid collective bargaining agreement
that provides for paid sick leave and
has other required provisions;
2. when certain employees in the
construction industry are covered by
valid collective bargaining agreements;
3. when employees are providers of
certain in-home supportive services;
and
4. when individuals are employed by an
air carrier as a flight deck or cabin
crew member and are covered by the
federal Railway Labor Act, provided
they receive compensated time off.
How Does Sick Leave Accrue?
Beginning on July 1, 2015, employees
who work in California 30 or more days
within a year from commencement of
employment are entitled to paid sick
days, to be accrued at a rate of no
less than one hour for every 30 hours
worked (inclusive of overtime). However,
employees will not begin to accrue
sick days until they have worked for
30 days from July 1, 2015 or from the
commencement of hire, whichever is
later. Exempt employees are deemed to
work the lesser of 40 hours per workweek
or the hours that reflect their normal
workweek.
Employers must allow employees to
carry over all accrued, unused sick days
to the following year of employment.
However, employers may limit the use
of paid sick leave to 24 hours, or three
days, in each year of employment.
Employers may cap the accrual rate to a
maximum bank of 48 hours, or six days,
of paid sick time. This limit appears
intended to ensure the employee has
North America ­ United States
Nancy A. Bertrando exclusively represents employers in all
aspects of employment law and employer relations.
Greenberg Glusker
1900 Avenue of the Stars, 21st Floor
Los Angeles, California 90067
310.734.1965 Phone
310.553.0687 Fax
nbertrando@greenbergglusker.com
greenbergglusker.com
Nancy A. Bertrando