In response to an overwhelming number of employees in the state of California, Governor Jerry Brown signed the California paid sick leave bill, Assembly Bill 1522, into law. This new paid sick leave bill take effect on July 1, 2015. If you are a California employer, it’s important to understand this law and how it will affect your company.
Under this bill, nearly every California employer will be mandated to provide a minimum of three paid sick days to employees. This is a huge win for employees as 40 percent of California’s work force does not receive paid sick days.
The California paid sick leave bill, known as the Healthy Workplaces, Healthy Families Act of 2014 applies to both full-time and part-time employees of both large and small businesses. Employees will accrue one hour of sick leave for every 30 hours worked. Employers can cap that paid time off to three days per year.
This type of law is not unheard of. The California paid sick leave bill is modeled after several other paid sick leave laws, however, Connecticut is the only other state to have a requirement statewide.
This bill is just one more thing for California businesses to consider when hiring employees, and it may force some to make difficult hiring choices. The California paid sick leave bill is a benefit to employees but is being viewed as a burden to employers.
As we head in to 2015, it’s important for all California based companies to review their employee guidelines and policies to make sure this law is explained and included in HR manuals, as well as their hiring guidelines. The California paid sick leave bill will definitely impact an employer’s bottom line, but will also be another target for litigation if not met with full compliance.