Important notice for California clients

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Important notice for California clients

California’s Paid Sick Leave Law went into effect on January 1, 2015. However, employees were not eligible to accrue or take paid sick leave until July 1, 2015. Employees qualify for the paid sick leave by working for the same employer on or after January 1, 2015, for at least 30 days within a year in California. Employees are entitled to take any paid sick leave if they have worked for the same company after a 90 day period. Part-time, per diem and temporary employees are covered by this law if they work at least 30 days for the same employer within a year in California.

The law requires employers to allow employees to receive at least 24 hours or three days of paid sick leave per year. If an employer already offers paid sick time off or has sick leave policies in place that meet the requirements of the new law, then the amount of paid sick leave will not change for those employees under that existing policy.

If the employer does not have a policy that meets these requirements, then the employer can adopt either an accrual policy or no accrual/up front policy. The accrual policy is set up so that employees earn one hour of paid sick leave for every 30 hours worked. The no accrual/up front policy is designed so that the employer must provide at least 24 hours or three days of paid sick leave per year upon the beginning of each year of employment, calendar year or 12-month period.

Under the accrual method employees can carry over unused sick leave from one year to the next; however, the employer may limit the amount of paid sick leave an employee can accrue to six days or 48 hours per year. Under the no accrual/up front method carry over is not required.

Our system has the ability to handle both the accrual and no accrual/up front policies. Please inform your payroll specialist which policy you want to utilize for your company and they can assist you in setting up your plan.  

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