How to Calculate Sick Pay in California

There are 2 Methods You Can Use to Calculate Sick Pay Hours:

1. Accrual – employees get 1 hour for each 30 hours worked. Employees get to rollover any unused sick time to the next year –up to a cap of 48 hours.
2. Fixed – employees get 3 days of paid sick days at the beginning of each year. There is no rollover allowed if employers use the “fixed” method. The 3 days simply reset every year.

*Things to Note:
• A 90-days probationary period is allowed – meaning you do not have to pay for sick leave until they have been employed for at least 90 days. However the accrual starts as of the first date of employment.
• These benefits are for ALL employees – even part time and seasonal employees.
• You may require that employees take a minimum of 2 hours for sick leave for easier record keeping.
• You cannot require that employees find a replacement in order to take their sick leave.
• You may limit the days employees can take for sick leave to 3 days a year.
• If you have existing policies that already provide for at least 3 days of paid leave – you already satisfy this requirement. You do not need to give ADDITIONAL days.

*Things You Must Do by July 1, 2015:
• Display poster on paid sick leave where employees can read it easily.
• Provide written notice to employees with sick leave rights at the time of hire.
• Allow eligible employees to use accrued paid sick leave upon reasonable request.
• Show how many days of sick leave an employee has available. This must be on a pay stub or a document issued the same day as a paycheck.
• Keep and retain records showing how many hours have been earned and used for at least three years.

*Things You Should Do Now:
Decide if you would like for us to provide a free evaluation for this new law.

As always, please feel free to contact us with any questions.

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