California's Expanded Paid Sick Leave Requirements Take Effect January 1, 2024

In October, Governor Newsom approved SB 616, which changes California’s sick pay law. These modifications, slated to take effect on January 1, 2024, impact various facets of the Healthy Workplaces, Healthy Families Act of 2014.

The changes introduced by SB 616 encompass an increase in the allowable paid sick leave, rising from 24 hours or three days to 40 hours or five days, whichever is greater. Simultaneously, the accrual cap on paid sick leave sees an upward adjustment from 48 hours or six days to 80 hours or ten days.

Changes in accrual requirements now mandate that, for employers utilizing a different accrual system than one hour per 30 hours worked, employees must accumulate a minimum of 24 hours or three days by their 120th day of employment and 40 hours or five days by their 200th day of work.

Moreover, adjustments to conditions for paid leave or time-off policies specify that eligibility for at least 40 hours or five days of paid sick leave or time off must occur within six months of employment. Extending paid sick leave provisions to employees covered by a collective bargaining agreement eliminates the previous exemption for such employees.

In addition, SB 616 establishes a statewide standard, preempting any local ordinances with less generous leave requirements than those stipulated in the bill. California employers must ensure that their policies align with these new changes to guarantee compliance.