Important Update: As of January 1, 2024, California law requires employers to provide at least 40 hours (or 5 days) of paid sick leave per year, increasing the minimum from 24 hours (or 3 days) previously. This applies to all employees who work in California for 30 or more days within a year from the beginning of employment.
Many dental, optometry, and veterinarian practice owners have questions about California’s sick leave laws. Here’s a comprehensive guide to help you understand how sick leave should be paid out. While this topic can be complex, there’s no need to stress. We’ve broken down both options into simple terms, providing you with all the essential information you need about California’s sick leave laws.
Understanding the requirements of paid sick days is crucial for California employers, including dental, optometry, and veterinary practice owners.
Under the amended Healthy Workplaces, Healthy Families Act, effective January 1, 2024, California employers – including dental, optometry, and veterinary practice owners – must provide their employees with at least 40 hours (or 5 days) of paid sick leave per year once the employee has worked over 30 calendar days. Keep in mind this is only California’s sick leave laws at the state level. Your practice may be subject to local laws and regulations if you’re based in a municipality such as San Francisco, Emeryville, Oakland, Berkeley, San Diego, Santa Monica or Los Angeles.
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Are Paid Sick Days Required?
Yes, paid sick leave is required by law in California for most employees.
Effective January 1, 2024, California employers must provide their employees with at least 40 hours (or 5 days) of paid sick leave per year. This applies to employees who work in California for 30 or more days within a year from the beginning of their employment.
It’s important to note that this is the minimum requirement under California state law. Some local municipalities within California may have additional or stricter sick leave requirements. It’s crucial to check the specific regulations in your area to ensure you comply with all applicable laws.
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The law only requires you to pay your employees within these parameters. The method that works best for your practice for carrying that out is up to you. Below are some options.
Rollover (aka Per Hour Accrual)
Per California law, your employees need to have enough sick leave banked to cover 5 workdays or 40 hours, whichever is greater. If you’re providing sick leave to your employees based upon the Per Hour Accrual Method, then you need to provide 1 hour of leave time for every 30 hours worked. At the end of the year, you must ensure each employee is able to roll over up to 80 hours (or 10 days) worth of sick leave if they have this time remaining.
How Per Hour Accrual May Look for Your Team
If your employee accrues 60 sick leave hours over the course of the year, you would roll over only 48 of those hours to the next benefit year. If they accrue less than 48 hours, it will all roll over.
Advantages of Per Hour Accrual
Extremely accurate accrual as a reflection of service hours. Employees will only receive sick leave hours as they work.
Pitfalls of Per Hour Accrual
Tracking can be difficult. Luckily, our digital time and attendance tracking systems make this easier!
Lump Sum (aka Annual Accrual)
Your other option is to use the Lump Sum Method. With this method, you front-load the 40 hours (or 5 days) to employees upfront. You cannot have a “use it or lose it” policy, and any unused hours at the end of the year must be carried over to the following year.
How Annual Accrual May Look for Your Team
If your employee has 12 hours of sick leave remaining at the end of the year, they carry over all 12 hours to the new benefit year. They will then start the new year with an additional 40 hours (or 5 days) of sick leave, bringing their total available leave to 52 hours (or 7 days). This is because “use it or lose it” policies are no longer allowed under the updated law.
For More Help With California’s Sick Leave Laws
If understanding California’s sick leave laws seems daunting, don’t worry! At HR for Health, we closely monitor your practice’s relevant laws and regulations. Our all-in-one HR software solution is dedicated to assisting the dental, optometry, and veterinary industries. Our human resources platform features all the tools practice owners need to efficiently manage payroll, timekeeping, 401(k), and more with total integration and ease.
Whether you’re seeking HR support for a small business or you’re a large group dental practice, HR for Health has a solution tailored to fit your practice and budget. Reach out to an HR for Health account representative today to learn more.
