California State and City Paid Sick Leave Laws Updated June 2016

Transcription

1 State and City Laws Updated June 2016 Interaction of Laws Where a conflict exists between the PSL laws, employers should follow the requirement that is more generous to employees. Effective Date 7/1/2015 2/5/2007 3/2/2015 7/2/2015 7/1/2016 i July 2016 ii 1/1/2017 Covered Employers Covered Employees works at least 30 days in for the employer. performs work in the City. works at least two hours in the City in a particular week. works at least two hours in the City in a particular week. works at least two hours in the City in a particular week and at least 30 days within a year in the City from the start of employment. All employees who perform at least two hours of work in the City in one or more calendar weeks of the year. works at least two hours in the City in a particular week. Excluded Employees (1) Employees covered by a collective bargaining agreement (CBA) that provides paid sick days or a paid time off policy that permits the use of sick days. (2) In-home support services workers; (3) Airline flight deck and cabin crew; and (4) Certain public sector workers. (1) Employees covered by a CBA containing an explicit waiver of some or all of the ordinance s benefits written in clear and unambiguous terms. (2) Those who work in the City on an occasional basis not exceeding 55 hours in a calendar year. Employees covered by a CBA containing an explicit waiver of some or all of the ordinance s benefits written in clear and unambiguous terms. Employees covered by a CBA containing an explicit waiver of some or all of the ordinance s benefits written in clear and unambiguous terms. None. (1) Employees paid a sub-minimum wage under a specific license; (2) Employees of a publicly subsidized summer or short-term youth employment program; and (3) Student employees, camp counselors, and program counselors of an organized camp. (1) Employees covered by a CBA containing an explicit waiver of some or all of the ordinance s benefits written in clear and unambiguous terms; and (2) Employees of government agencies. Los Angeles and Long Beach Hotel Workers: This chart does not include two laws applicable to hotel workers only. In 2007, the adopted an ordinance requiring hotels with 150+ rooms within the Airport Hospitality Enhancement Zone to at least 96 paid hours off per year for any purpose, and a proportional amount of hours to part-time hotel workers. (L.A. Mun. Code ) The L.A. ordinance is available here: In 2012, Long Beach voters approved Measure N, which requires hotel employers to provide at least five days of PSL to certain employees. (Long Beach Mun. Code ) The Long Beach Ordinance is available here: State and City Laws June Page 1 of 9

2 Permitted Uses (1) Medical need of the employee or the employee s family member; and (2) Purposes related to domestic violence, sexual assault or stalking suffered by an employee. (1) Medical need of the employee or the employee s family member; and Effective 1/1/17: (2) Purposes related to domestic violence, sexual assault or stalking suffered by an employee; and (3) Bone marrow or organ donation by the employee or a family member. Medical need of the employee or the employee s family member. (1) Medical need of the employee or the employee s family member; and (2) To provide care for a guide dog, signal dog or service dog of the employee or family member. permitted uses under state law, PSL can be used when the employee s place of business, or his or her child s care provider or school, is closed due to a public health emergency. Covered Family Members (1) Child iii,iv (2) Parent iii,v (3) Spouse or registered domestic partner (4) Grandparent (5) Grandchild (6) Sibling (1) Child iii,vi (2) Parent vii (3) Spouse, registered domestic partner, or designated person (4) Grandparent iii (5) Grandchild iii (6) Sibling iii (1) Child iii,vi (2) Parent viii (3) Spouse, registered domestic partner, or designated person (4) Grandparent iii (5) Grandchild iii (6) Sibling iii law, with the addition of individuals related by blood or affinity whose close association with the employee is the equivalent of a family relationship. (1) Child iii,vi (2) Parent ix (3) Spouse, registered domestic partner, or designated person (4) Grandparent (5) Grandchild (6) Sibling x Start of Accrual First day of work or 7/1/2015, whichever is later. First day of work. First day of work. First day of work or 7/2/2015, whichever is later. Employers with 26 or more employees: First day of work or 7/1/2016, whichever is later. Employers with 25 or fewer employees: For day of work, or 7/1/2017, whichever is later. First day of work. First day of work. State and City Laws June Page 2 of 9

3 First Day PSL Can Be Used Employers with 26 or more employees: On the 90th day of employment or 7/1/2016, whichever is later. Employers with 25 or fewer employees: On the 90th day of work or 7/1/2017, whichever is later. Accrual Methods Option 1: Provide one hour of PSL for every 30 hours worked. Option 2: Provide a lump sum of three days or 24 hours of PSL at the start of each employment year, calendar year, or 12-month period. Option 3: Accrual on a regular basis, with no less than 24 hours of PSL provided by the 120th calendar day of employment, calendar year, or 12-month period. Option 4: For new hires, accrual that provides no less than three days or 24 hours of PSL available for use by completion of the 120th calendar Option 1: Provide one hour of PSL for every 30 hours worked in the City. Option 2: Starting 1/1/2017, employers can provide any lump sum of PSL at the start of each month period, so long as the employee can accrue additional PSL after working enough hours to have accrued the amount allocated upfront. Provide one hour for every 30 hours worked in the City. Option 1: One hour for every 30 hours worked in the City; Option 2: Provide full amount of required PSL at the start of each employment year, calendar year, or 12-month period: 72 hours for employers with 55 or more employees; 48 hours or 6 days for employers with 55 or fewer employees. Option 3: Provide a partial amount of required PSL at the start of each month period, and allow accrual for the remainder at one hour of PSL for every 30 hours worked. Option 1: One hour for every 30 hours worked in the City. Option 2: Provide a lump sum of 48 PSL hours at the start of each employment year, calendar year, or 12-month period. One hour for every 30 hours worked in the City. Option 1: One hour for every 30 hours worked in the City. Option 2: Provide full amount of required PSL at the start of each employment year, calendar year, or fiscal year: Employers with 26 or more employees: 1/1/2017: 40 hours 1/1/2018: 72 hours Employers with 25 or fewer employees: 1/1/2017: 32 hours 1/1/2018: 40 hours State and City Laws June Page 3 of 9

4 Accrual Caps Permitted under the Law 48 hours or 6 days per year Employers with 10 or more employees in any location: 72 hours Employers with fewer than 10 employees in any location: 48 hours or 6 days If an employee uses PSL and falls below the cap, even during the same year, the employee starts accruing PSL again. Employers with 10 or more employees in any location: 72 hours Employers with fewer than 10 employees in any location: 48 hours or 6 days If an employee uses PSL and falls below the cap, even during the same year, the employee starts accruing PSL again. Employers with more than 55 employees: 72 hours Employers with 55 or fewer employees: 48 hours or 6 days 72 hours There is no provision in the ordinance allowing accrual caps. Employers with 26 or more employees: 40 hours as of 1/1/2017; 72 hours as of 1/1/2018. Employers with 25 or fewer employees: 32 hours as of 1/1/2017; 40 hours as of 1/1/2018. Caution: allows lower accrual caps than the 48 hours permitted under Use Caps 24 hours or three days (whichever is more for the particular employee) per month period Not permitted. Not permitted. Not permitted. 48 hours per month period 40 hours per month period. Employees can use up to the applicable accrual cap annually. Carry Over carries over into the next year but is limited by the employer s accrual cap. carries over into the next year but is limited by the employer s accrual cap. carries over into the next year but is limited by the employer s accrual cap. carries over into the next year but is limited by the employer s accrual cap., including unused front-loaded PSL, carries over year to year but is limited by the employer s accrual cap. carries over year to year. carries over year to year but is limited to the employer s accrual cap. Employers who provide PSL up front do not need to roll over unused PSL from year to year. Use Increments larger than 2 hours. larger than 1 hour. larger than 1 hour. larger than 2 hours. larger than 2 hours. State and City Laws June Page 4 of 9

5 When PSL Pay Is Due On the payday for the next regular payroll period after PSL is taken. On the payday for the next regular payroll period after PSL is taken. On the payday for the next regular payroll period after PSL is taken. On the payday for the next regular payroll period after PSL is taken. Rate of Pay Nonexempt employees: PSL is paid either (1) the regular rate of pay for the workweek in which PSL is used; or (2) calculated by dividing total wages (excluding overtime premium pay) by the total hours worked during the full pay periods of the prior 90 days. Exempt employees: The rate of pay is calculated by the same method as any other form of paid leave time provided by the employer. Nonexempt hourly employees: PSL is paid at the employee s regular hourly rate. Non-exempt salaried employees: The rate of pay is calculated by dividing the annual salary by 52 weeks, and dividing that amount by the number of hours the employee is regularly scheduled to work up to 40 hours. Exempt employees: The rate of pay is calculated by dividing the annual salary by 52 weeks, and dividing that amount by 40 hours. If the employee s regular work week is less than 40 hours, divide the weekly salary by the number of hours worked during a regular work week. PSL is paid at the same hourly rate or other measure of compensation as the employee earns at the time PSL is used. Cash Out of PSL State and City Laws June Page 5 of 9

6 Effect of Interruption of Employment If the employee is rehired within one year from the date of separation, any previously accrued and unused PSL must be reinstated and can be used immediately upon rehire. If the employee is rehired within six months from the date of separation, any previously accrued and unused PSL must be reinstated and can be used immediately upon rehire. Amount of Notice Employees Must Provide If the need for PSL is foreseeable, the employee must provide reasonable advance notice of absence. If the need is unforeseeable, the employee must provide notice as soon as practicable. Employers may require at least two hours notice of absence before the start of a shift, except for accidents, emergencies, or sudden illnesses for which advance notice would be unreasonable. Employers may require at least two hours notice of absence before the start of a shift, except for accidents, emergencies, or sudden illnesses for which advance notice would be unreasonable. An employer may require reasonable notice of a PSL absence. If the need for PSL is foreseeable, the employer may require reasonable advance notice, not to exceed seven days before the absence. If the need is unforeseeable, the employee must provide notice as soon as practicable. Employers Notice Obligations Employers must: (1) Display the state s official poster; (2) For non-exempt employees, include PSL information in their wage notices (see /LC_2810.5_Notice.pdf); and (3) Include the amount of available PSL in employees wage statements. official poster; and (2) Include the amount of available City PSL in employees wage statements. official poster; and (2) At the time of hire, telephone number. official poster; (2) Provide the City s official notice of rights to current employees and new employees at the time of hire; and (3) At the time of hire, telephone number. official poster; and (2) At the time of hire, telephone number. official poster; and (2) At the time of hire, telephone number, and the employer s duties under the official bulletin; and (2) At the time of hire, telephone number. State and City Laws June Page 6 of 9

7 Requiring Doctor s Note or Other Documentation Requiring documentation is not permitted under the Labor Requiring documentation is presumptively reasonable (1) for a PSL absence exceeding three consecutive work days; (2) a doctor s appointment; or (3) where there is a pattern or clear instance of abuse. Caution: On this issue, the ordinance is inconsistent with the Labor Requiring documentation is presumptively reasonable (1) for a PSL absence exceeding three consecutive work days, or (2) to verify a subsequent absence where abuse is suspected. Caution: On this issue, the ordinance is inconsistent with the Labor Permitted. Caution: On this issue, the ordinance is inconsistent with the Labor Permitted for an absence exceeding three consecutive work days. Caution: On this issue, the ordinance is inconsistent with the Labor Record Retention maintained for four maintained for four State and City Laws June Page 7 of 9

8 Paid Time Off Policies are required if the paid time off can be used for the same purposes and under the same conditions required by the law, and: (1) the policy meets the law s accrual, carry-over, and use requirements; (2) the policy applied before 1/1/2015, and provides at least one day or eight hours of paid leave within three months of employment, and at least three days or 24 hours can be accrued within nine months of employment; or (3) the policy provides sick leave or annual leave benefits to certain public sector employees. are required if the paid leave can be used for the same purposes and meets the minimum accrual requirements of the are required if the paid leave can be used for the same purposes and meets the minimum accrual requirements of the are required if the policy provides at least 48 hours of paid time off. Where the policy does not meet all of the ordinance s requirements, the City may still determine that additional benefits are not required if the policy is overall more generous to employees. are required if the paid leave can be used for the same purposes and meets the minimum accrual requirements of the State and City Laws June Page 8 of 9

9 Enforcement The law does not directly permit a private right of action by an aggrieved employee. It remains unclear, however, if an can file suit under the Private Attorney General Act of 2004 (PAGA). violations, settle complaints, and impose fines and penalties. local violations, and to award the same relief in its proceedings as a court of law could. violations, and to award the same relief in its proceedings as a court of law could. violations, settle complaints, and impose fines and penalties. violations, settle complaints, and impose fines and penalties. The City will contract with Los Angeles County to process and investigate claims. A violation can result in fines, penalties and criminal liability. An aggrieved employee can bring a civil action in court to enforce the i PSL: The effective date depends on the size of the employer. Employers with 26 or more employees must comply by July 1, Employers with 25 or fewer employees have until July 1, 2017 to comply. ii : On June 7, 2016, voters approved Proposition I, the measure to provide PSL benefits and increase the minimum wage for City workers. The Registrar of Voters will have 30 days to certify the election results, which must then be adopted by the City Council before the law takes effect. iii Includes biological, adoptive, step- and foster relationships. iv Child includes a legal ward and a child to whom the employee stands in loco parentis, regardless of age or dependency status. v Parent includes a legal guardian of the employee, spouse or domestic partner, and a person who stood in loco parentis when the employee was a minor child. vi Child includes a legal ward, a child to whom the employee stands in loco parentis, and a child of a domestic partner. vii Parent includes biological, adoptive, step- and foster relationships, and a guardian of the employee s spouse or registered domestic partner. viii Parent includes biological, adoptive, step- and foster relationships, and the employee s legal guardian. ix Parent includes biological, adoptive, step- and foster relationships, employee s legal guardian, and a person who stood in loco parentis when the employee was a minor child. x Sibling includes a brother or sister, whether related through half blood, whole blood or adoption, or one who is a step-sibling. For more information contact: Tyreen G. Torner ttorner@foxrothschild.com 2016 Fox Rothschild LLP. All rights reserved. This publication is intended for general information purposes only. It does not constitute legal advice. The reader should consult with knowledgeable legal counsel to determine how applicable laws apply to specific facts and situations. This publication is based on the most current information at the time it was written. Since it is possible that the laws or other circumstances may have changed since publication, please call us to discuss any action you may be considering as a result of reading this publication. Attorney Advertising State and City Laws June Page 9 of 9