California's Mandatory Paid Sick Leave Law Overview

California’s Healthy Workplaces, Healthy Families Act requires employers to provide employees working in California up to 40 hours or five days’ worth of paid sick leave (PSL) annually — whichever is greater.

Employers can choose from a few different accrual methods that comply with PSL requirements. Accrual begins on the first day of employment, and employees may begin using this leave once they’ve worked for an employer for 90 days. For more information on accrual options, see Calculating Leave - Employer Options.

Unlike other leave laws, such as state or federal family and medical leave (CFRA/FMLA), there is no employer size requirement for the PSL law to apply to your company. The law applies to all employers, big and small, with only a few limited exceptions.

PSL is a form of protected time off. PSL, unlike vacation, is not considered a form of wages.

Employers should maintain a written policy showing compliance with the mandatory PSL law. A written policy can help you clearly communicate your company’s approach to providing the mandatory benefit. A written policy should also be used if you place any limits on paid sick leave that are allowed within the law, such as a cap on accrual.

The law establishes minimum requirements pertaining to paid sick days. It does not preempt, limit, or affect the applicability of other laws, regulations, requirements, policies, or standards that provide for greater accrual or use by employees of sick days, whether paid or unpaid, or that extend other protections to an employee, with the exception of preempting certain local ordinance provisions, discussed below. The provisions of this law are in addition to, and independent of, any other rights under any other law. Employers can provide more generous leave than what the law provides.

Use the Paid Sick Leave Checklist to assist you in reviewing business practices.

The state Labor Commissioner’s office has published a list of answers to frequently asked questions about the mandatory PSL law. The answers are not binding, but do offer guidance as to the Commissioner’s enforcement position.

Local Ordinances and Other Laws Providing Mandatory Paid Sick Leave

In addition to California’s mandatory PSL law, multiple jurisdictions also provide mandatory paid sick leave benefits — on both the local and the national level.

There can be significant differences between the state law and the local laws. Moreover, you may have employees moving between various cities for work which causes an even bigger compliance challenge.

The state PSL law generally provides a more generous benefit when compared to local ordinances; however, there are still some differences between state and local PSL requirements. When there is a difference, employers must provide employees the more generous benefits.

California’s PSL law preempts local ordinances in several respects. The provisions preempted include:

  • No requirement to compensate employees for unused sick time at termination of employment;
  • The ability of employees to lend paid sick leave time to another employee only upon employer discretion and proper documentation;
  • The employer’s requirement to display available paid sick leave time on an employee’s wage statement;
  • How the employer may calculate the payment of paid sick leave;
  • Employee notice requirements for using paid sick leave; and
  • The timing of payment of used paid sick leave.

This means that when a local ordinance differs from the state law on any of the above six provisions, you must follow the state law.

  • Consult with legal counsel to develop a plan for complying with PSL laws in other jurisdictions. Review laws where employees are located or travel for business. Certain local PSL ordinances may provide more generous benefits and protections in some areas, while the Healthy Workplaces, Healthy Families Act is more generous in others. You will have to give whichever provision or benefit is more generous to the employee.

The following cities have paid sick leave ordinances:

  • Berkeley
  • Emeryville
  • Los Angeles City
  • Oakland
  • San Diego
  • San Francisco
  • Santa Monica
  • Visit HRCalifornia’s Local Ordinances section for detailed information on local employment-related ordinances in California, including paid sick leave ordinances. The Local Ordinances section covers the ordinances that may apply and offers a convenient map and wizard to help employers determine which local ordinances they might need to comply with.

If your company has operations or employees in other states outside of California, see if there are any paid sick leave laws in those jurisdictions.

Certain federal contractors and subcontractors are required to provide up to 56 hours of paid sick leave per year to their employees. You can find more information on the Department of Labor’s website.