{"id":3883,"date":"2015-07-15T15:40:20","date_gmt":"2015-07-15T15:40:20","guid":{"rendered":"http:\/\/www.youngwooldridge.com\/?p=3883"},"modified":"2015-07-15T15:40:20","modified_gmt":"2015-07-15T15:40:20","slug":"californias-sick-leave-law-amendments","status":"publish","type":"post","link":"https:\/\/themediabeast.com\/resources\/californias-sick-leave-law-amendments\/","title":{"rendered":"California’s Sick Leave Law | Amendments"},"content":{"rendered":"

On July 13, 2015, California Governor Jerry Brown\u00a0signed\u00a0emergency legislation amending certain aspects of California\u2019s\u00a0Healthy Workplaces, Healthy Families Act of 2014<\/em><\/strong>, also known as the California Paid Sick Leave Law. The amendments included in Assembly Bill 304 went into effect immediately and include calculation of the rate of pay, method of accrual and record keeping.<\/p>\n

Calculation of Paid Sick Leave<\/u><\/strong><\/p>\n

The amendment allows employers to use different accrual methods, other than providing one hour per every 30 hours worked. Such accrual methods may be calculated by day, by week, by month, by payroll period, or other accrual method, provided that sick leave or paid time off (\u201cPTO\u201d) is earned on a regular basis and that an employee accrues at least 24 hours of sick leave or PTO by the 120th calendar day of employment.<\/p>\n

Rate of Pay for Paid Sick Leave for Nonexempt Employees<\/u><\/strong><\/p>\n

Employers may calculate the rate of pay for sick leave or PTO for non-exempt employees by:<\/p>\n

    \n
  1. Using the calculation for the regular rate of pay for the workweek in which the employee uses paid sick time; or<\/li>\n
  2. Dividing the employee\u2019s total wages, not including overtime premium pay, by the employee\u2019s total hours worked in the full pay periods of the prior 90 days of employment.<\/li>\n<\/ol>\n

    Rate of Pay for Paid Sick Leave for Exempt Employees<\/u><\/strong><\/p>\n

    AB 304 allows employers to calculate the rate of pay for the sick leave or PTO for exempt employees \u201cin the same manner as the employer calculates wages for other forms of paid leave time.\u201d<\/p>\n

    Grandfather Clause for Policies Implemented Prior to January 1, 2015<\/u><\/strong><\/p>\n

    The new bill provides a \u201cgrandfather\u201d clause for sick leave and PTO policies that were in place prior to January 1, 2015, and either:<\/p>\n

      \n
    1. Satisfied the accrual, carry over, and use requirements of this section; or<\/li>\n
    2. Provided paid sick leave or PTO to a class of employees before January 1, 2015, pursuant to a sick leave policy or PTO policy that used an accrual method different than providing one hour per 30 hours worked, provided that the accrual was on a regular basis so that an employee, including an employee hired into that class after January 1, 2015, has no less than one day or eight hours of accrued sick leave or PTO within three months of employment, and the employee was eligible to earn at least three days or 24 hours of sick leave or PTO within nine months of employment.<\/li>\n<\/ol>\n

      The grandfather clause provides that if an employer modifies the accrual method in the policy it had in place prior to January 1, 2015, the employer shall comply with any accrual method set forth in Labor Code Section 246(b), or frontload the full amount of leave.<\/p>\n

      The grandfather clause also establishes that the sick leave law may be satisfied for certain state employees by providing: (1) sick leave benefits provided pursuant to Government Code Sections 19859 to 19868.3, or (2) annual leave benefits provided pursuant to Government Code Sections 19858.3 to 19858.7, or by provisions of a memorandum of understanding reached pursuant to Government Code Section 3517.5 that incorporate or supersede the above provisions of the Government Code.<\/p>\n

      AB 304 makes numerous other clarifications to the law, including:<\/p>\n

      Eligibility<\/u><\/strong><\/p>\n

      Specifying that the law applies to an employee \u201cwho works in California for the same employer for 30 or more days within a year.\u201d \u00a0The previous version of the law applied to an employee \u201cwho works in California for 30 or more days within a year from the commencement of employment.\u201d<\/p>\n

      Providing that the definition of \u201cemployee\u201d does not include retired annuitants.<\/p>\n

      Specifying that an \u201cemployee in the construction industry\u201d means an employee \u201cperforming work associated with construction\u201d\u00a0\u2014 deleting the reference to \u201consite\u201d from the previous version of the law.<\/p>\n

      Unlimited Sick Leave<\/u><\/strong><\/p>\n

      Clarifying that if an employer provides unlimited paid sick leave or unlimited PTO to an employee, the employer may satisfy the existing law\u2019s requirement regarding notice to the employee of the amount of sick leave available by indicating \u201cunlimited\u201d on the notice or the employee\u2019s itemized wage statement.<\/p>\n

      Recordkeeping<\/u><\/strong><\/p>\n

      Delaying, until January 21, 2016, application of provisions related to the inclusion of the amount of paid sick leave available on itemized wage statements or separate writings for employers in the broadcasting and motion picture industries.<\/p>\n

      Providing that the employer is not obligated to inquire into or record the purposes for which an employee uses paid sick leave or PTO.<\/p>\n

      Sick Leave Balance Reinstatement<\/u><\/strong><\/p>\n

      Providing that if an employee separates from an employer and is rehired by the employer within one year from the date of separation, the employer is not required to reinstate accrued PTO to an employee that was paid out at the time of termination.<\/p>\n

      If you have questions about California’s Paid Sick Leave Law or how these amendments might impact your business, contact the\u00a0<\/strong>Employment Law Department<\/strong>\u00a0at Young Wooldridge, LLP.\u00a0<\/strong><\/p>\n

      Photo Credit: <\/strong>Ken Lund<\/strong><\/a> via <\/strong>Flickr<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

      On July 13, 2015, California Governor Jerry Brown\u00a0signed\u00a0emergency legislation amending certain aspects of California\u2019s\u00a0Healthy Workplaces, Healthy Families Act of 2014, […]<\/p>\n","protected":false},"author":1,"featured_media":3877,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","footnotes":""},"categories":[843,844],"tags":[],"class_list":["post-3883","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-law","category-employment-law"],"yoast_head":"\nCalifornia's Sick Leave Law | Amendments - MMG Resources<\/title>\n<meta name=\"description\" content=\"Sick Leave | Young Wooldridge, LLP handles CA bankruptcy, labor law, oil and gas law, agricultural law and personal injury cases. 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