• California law provides for mandatory paid sick leave under the Healthy Workplaces, Healthy Families Act (the state law). As of January 1, 2024, state law requires that employers provide employees with 40 hours or five days of paid sick leave (an increase from the 24 hours/three days previously required under state law). You are required to comply with both the state law and West Hollywood’s leave provisions.

• If California and West Hollywood's paid sick leave laws differ, employers must follow the law that is the more beneficial to the employee unless otherwise specifically pre-empted by state law.

You can find more information regarding the city of West Hollywood leave ordinances, including Administrative Regulations and Frequently Asked Questions, on the City’s Minimum Wage website or by emailing business@weho.org or calling (323) 848-6460.

Employers Covered Under the Ordinance

The ordinance applies to all employers, regardless of size. The employer doesn’t have to be physically located within the city for the leave provisions to apply. 3

Employer is defined as “any person, including a corporate officer or executive, association, organization, partnership, business trust, and limited liability company or corporation, who directly or indirectly, or through an agent or any other person,” employs a covered “employee.” 4

These provisions also apply to employment through an agent, temporary service agency, staffing agency or other similar entity. 5

Employees Entitled to the Benefit

A covered employee is an individual who performs at least two hours of work per week within the geographic boundaries of the city for an employer, including full-time and part-time employees. The employee must also be entitled to minimum wage under state law to be covered by these leave provisions. 6

A remote employee who lives in the city and performs work for an employer from home is subject to these leave provisions. Employees who work outside the city but travel through the city without stopping for the purposes of their work are not subject to the West Hollywood Minimum Wage. 7

An employee is eligible to use accrued leave after the 90th day (3rd month) of employment or consistent with company policies, whichever is sooner. 8

The leave provisions do not apply to employees of government agencies. 9 The leave provisions also don’t apply to employees participating in a collective bargaining agreement that supersedes the minimum wage requirement in clear and unambiguous terms. 10 The ordinance also contains limited exemptions for “transitional employers,” which are nonprofits certified by the city who provide transition jobs for the long-term unemployed. 11

Compensated and Uncompensated Leave

Covered employers must provide 96 hours of “compensated leave” and 80 hours of “uncompensated leave” to full-time employees. Part-time employees must accrue compensated and uncompensated time off in increments proportional to someone who works 40 hours a week. 12

“Compensated leave” is paid time off for sick, vacation or personal necessity leave. 13 Employers may provide compensated leave for sick, vacation or personal necessity separately as long as the total combined number of compensated hours is at least 96 hours for full-time employees. At least 50 percent of the compensated leave (at least 48 hours), must be provided to employees for the purpose of vacation or personal necessity leave. 14 If an employer already provides compensated leave, it only has to provide additional leave up to 96 hours for full-time employees. 15

Once employees fully exhaust all compensated leave, they may begin to use uncompensated leave. Employers must provide at least 80 hours of uncompensated leave for full-time employees, and part-time employees receive a prorated number of hours based on the number of hours worked. 16

“Uncompensated leave” is unpaid time off to be used for sick leave for the employee or a member of the employee's “immediate family,” as defined by the California Family Rights Act (CFRA). 17 Though the CFRA doesn’t specifically define “immediate family,” it defines “family member” as a parent, spouse, parent-in-law, child, registered domestic partner, grandparent, grandchild, sibling or a designated person (any individual “related by blood or whose association with the employee is the equivalent of a family relationship”). 18

Calculating Leave

Employers have the flexibility to decide whether hours are front loaded or whether they are accrual-based.

Front-Loading Method

If the hours are front loaded, this means all leave is available for use starting at the beginning of the year or on another type of anniversary date in a 12-month period, as defined in company policy. On the selected date, the employer would provide all 96 hours of compensated leave. 19

The distribution of front-loaded compensated leave depends on if the compensated leave is classified as vacation/personal necessity, or if it is classified as paid sick leave:

• Compensated leave classified as vacation or personal necessity leave: An employer can choose to front-load the hours each year for full time employees so long as this leave is not less than 48 hours for the purpose of providing an employee with vacation or personal necessity leave. Part-time and temporary employees may receive compensated and uncompensated hours on a pro-rate basis, as determined by the employer. 20
• Compensated leave classified as paid sick leave: Each year, an employer may front-load the hours — a minimum of 24 hours of sick leave for all employees, including full-time, part-time and temporary employees, in accordance with Labor Code section 246. 21

• As of January 1, 2024, California law requires employers to provide at least 40 hours or five days of paid sick leave annually.

• Employers must ensure that their sick leave policies provide no less than the minimum required under California law.

Uncompensated leave becomes available when an employee has fully exhausted their compensated leave or is ineligible to accrue compensated leave. 22

Accrual Method

For employers who choose the accrual method, employees must start to accrue compensated and uncompensated leave on their first day of employment; however employers can have a policy stating the leave cannot be used until up to the 90th day of employment. 23 If an employer provides compensated leave on an accrual basis throughout the year, those hours must be provided each pay period to employees (e.g., every two weeks). 24

The distribution of compensated leave under the accrual method will also depend on whether the leave is classified as vacation/personal necessity or paid sick leave:

• Compensated leave classified as vacation or personal necessity: The employer may allow the accrual to be at any rate for full-time employees so long as all required hours will be accrued by or before the end of a one-year period. Part-time and temporary employees must receive compensated and uncompensated hours on a pro-rate basis, as determined by the employer. 25
• Compensated leave classified as paid sick leave: An employee shall accrue no less than 0.033 hours of compensated leave for each hour worked (i.e., one hour of paid sick leave for every 30 hours worked) until an employee reaches 24 hours of paid sick leave. Employers must provide a minimum of 24 hours of sick leave for all employees, including part-time and temporary. Any hours beyond the requisite 24 hours of leave for sick leave purposes must be provided on a pro rata basis to part-time and temporary employees. 26

• As of January 1, 2024, California law requires employers to provide at least 40 hours or five days of paid sick leave annually.

• Employers must ensure that their sick leave policies provide no less than the minimum required under California law.

A full-time employee shall accrue at least “96/52” hours of compensated time off each week in a calendar year that the employee has been employed by the employer (meaning approximately 1.846 hours per week, which is 96 divided by 52 weeks in a year). 27

Compensated time off doesn't accrue for work in excess of 40 hours a week. Full-time employees who work less than 40 hours a week will receive the compensated time off in proportional increments. 28

Carry Over

The manner in which leave is carried over depends on whether it's compensated or uncompensated leave.

An employee’s unused, accrued compensated leave, whether by accrual or front loading, must carry over up to a maximum of 192 hours — unless the company's policy is more generous. 29 An employer may not implement any policy to count accrued compensated time off taken under these provisions as an absence that may result in discipline, discharge, suspension or any other adverse action. 30

Unused, accrued uncompensated time will carry over until a maximum of 80 hours is reached for full-time employees. 31 Just as with compensated leave, an employer may provide more generous time off but may not implement any policy to count uncompensated time off under these provisions as an absence that may result in discipline, discharge, suspension or any other adverse action. 32

When an employee reaches the maximum accrued compensated and uncompensated leave (if a cap is set by the employer), the employee cannot accrue additional compensated or uncompensated leave until a portion of the leave is used. 33

Separation of Employment

The manner in which leave is paid out upon separation of employment or reinstated upon rehire depends on whether it's compensated or uncompensated leave.

Unused, accrued compensated vacation or personal necessity leave shall be paid out at the employee's regular wage rate upon termination. Compensated leave classified as sick leave is not required to be paid out upon termination. However, if an employee is rehired by the employer within one year of the date of separation of employment, any previously accrued and unused compensated sick leave must be reinstated. An employer is not required to reinstate an employee's compensated sick leave if the employee received payment for this leave upon separation of employment. 34

Employers are not required to pay out unused uncompensated leave upon separation of employment. However, if an employee is rehired by the employer within one year of the date of separation of employment, any previously accrued and unused uncompensated leave shall be reinstated. 35

Waiver Applications

A one-year, one-time waiver may be granted to businesses who are able to demonstrate that compliance with the leave provisions of the citywide minimum wage would force the business to:

• File bankruptcy or a shutdown;
• Reduce its workforce by more than 20 percent; or
• Curtail its employees’ total hours by more than 30 percent. 36

Alternatively, a three-month waiver may be granted to businesses who are able to demonstrate that compliance with the leave provisions of the citywide minimum wage would cause an implementation hardship due to the business' existing payroll and human resources processes, and platforms the business has in place. Businesses may apply for up to two three-month waivers (not to exceed a total of six months for each waiver). 37 The total combined length of all waivers cannot exceed one year. 38

To file your waiver application, please follow these steps:

• Notify all your employees, in writing, of the business' intent to file a Waiver Application; 39
• Compile all required documents (incomplete applications will be denied); 40 and
• Submit the Waiver Application and all required documents by selecting the waiver for payment of leave provisions at citygrows.com.41

Within three business days of the waiver determination, the employer will need to again provide written notice to all employees of the decision. 42

For questions regarding the Waiver Application, please email business@weho.org. Please note that there’s a separate waiver application process for relief from the minimum wage portions of the ordinance. 43

Posting, Notice and Recordkeeping Requirements

Every employer in the city of West Hollywood shall post the city’s bulletin informing employees of the current minimum wage rate and of their rights under the ordinance. This posting must be in a clear and conspicuous place at any workplace or job site where any employee works. Every employer shall post notices in English, Spanish and any other language spoken by at least 5 percent of the employees. 44

At the time of hire, every employer must also provide the employer's name, address and telephone number in writing to each employee. 45

Every employer must retain payroll records for at least three years. 46

Enforcement and Remedies

The city enforces the Minimum Wage Ordinance and its leave provisions, and may issue and serve administrative subpoenas as necessary to obtain specific information regarding benefits provided to employees. 47

The remedies are cumulative and shall not be interpreted as restricting, precluding or otherwise limiting a separate or concurrent criminal prosecution under the code or state law. 48 All violations of any provision of the ordinance will be considered a strict liability offense, except for violations of unlawful practices and retaliation. 49 Any employer violating the ordinance will be subject to the administrative penalty procedure and will be required to reimburse the law enforcement agency that investigated the violation for the full investigative costs. 50

An aggrieved employee may also file a civil action in court against any employer violating this chapter. 51 Upon prevailing, any aggrieved employee shall be entitled to legal or equitable relief, including, without limitation:

• Payment of any back wages unlawfully withheld;
• Payment of any sick leave unlawfully withheld;
• Payment of penalties up to the amount of $100 to each person whose rights under this chapter were violated for each day that the violation occurred or continued;
• Reinstatement in employment and/or injunctive relief; and
• Awarding of reasonable attorneys' fees and costs. 52

For willful violations, the amount of monies and penalties to be paid under this subdivision may be trebled. 53 Any person or entity enforcing this chapter on behalf of the public, upon prevailing, shall be entitled only to equitable, injunctive or restitutionary relief, and reasonable attorneys' fees and costs. 54

Retaliation

The city's Minimum Wage Ordinance, which these leave provisions are under, protects employees against retaliation for exercising any rights under the ordinance. 55

If an employer takes adverse action against an employee within 90 days after the employee asserted rights protected by the ordinance and its leave provisions, it will be presumed that this action was unlawful retaliation. The employer will have to offer evidence to rebut this presumption. 56

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1. West Hollywood Mun. Code secs. 5.130.030(a) and (b)

2. West Hollywood Mun. Code secs. 5.130.030(a) and (b)

3. City of West Hollywood MWO Admin. Reg. pgs. 1-2 (May 12, 2023)

4. West Hollywood Mun. Code sec. 5.130.010(4)

5. West Hollywood Mun. Code sec. 5.130.010(4)

6. West Hollywood Mun. Code sec. 5.130.010(3)

7. City of West Hollywood MWO Admin. Reg. pg. 2 (May 12, 2023)

8. City of West Hollywood MWO Admin. Reg. pg. 3 (May 12, 2023)

9. West Hollywood Mun. Code sec. 5.130.060

10. West Hollywood Mun. Code sec. 5.130.090

11. West Hollywood Mun. Code sec. 5.130.070

12. West Hollywood Mun. Code secs. 5.130.030(a) and (b)

13. West Hollywood Mun. Code sec. 5.130.030(a)

14. City of West Hollywood MWO Admin. Reg. pgs. 2-3 (May 12, 2023)

15. City of West Hollywood MWO Admin. Reg. pg. 3 (May 12, 2023)

16. West Hollywood Mun. Code sec. 5.130.030(b)

17. West Hollywood Mun. Code sec. 5.130.030(b); City of West Hollywood MWO Admin. Reg. pg. 3 (May 12, 2023)

18. Gov't. Code sec. 12945.2(b)

19. City of West Hollywood MWO Admin. Reg. pg. 4 (May 12, 2023)

20. City of West Hollywood MWO Admin. Reg. pg. 3 (May 12, 2023)

21. City of West Hollywood MWO Admin. Reg. pg. 3 (May 12, 2023)

22. City of West Hollywood MWO Admin. Reg. pgs. 4-5 (May 12, 2023)

23. City of West Hollywood MWO Admin. Reg. pg. 4 (May 12, 2023)

24. City of West Hollywood MWO Admin. Reg. pg. 3 (May 12, 2023)

25. City of West Hollywood MWO Admin. Reg. pg. 3 (May 12, 2023)

26. City of West Hollywood MWO Admin. Reg. pg. 3 (May 12, 2023)

27. West Hollywood Mun. Code sec. 5.130.030(a)(1)

28. West Hollywood Mun. Code sec. 5.130.030(a)(1)

29. West Hollywood Mun. Code sec. 5.130.030(a)(3)(C); City of West Hollywood MWO Admin. Reg. pg. 4 (May 12, 2023)

30. West Hollywood Mun. Code sec. 5.130.030(a)(3)(D)

31. West Hollywood Mun. Code sec. 5.130.030(b)(3)(C); City of West Hollywood MWO Admin. Reg. pg. 4 (May 12, 2023)

32. West Hollywood Mun. Code sec. 5.130.030(b)(3)(D)

33. City of West Hollywood MWO Admin. Reg. pg. 4 (May 12, 2023)

34. City of West Hollywood MWO Admin. Reg. pg. 4 (May 12, 2023)

35. City of West Hollywood MWO Admin. Reg. pg. 4 (May 12, 2023)

36. West Hollywood Mun. Code sec. 5.130.080(b); City of West Hollywood MWO Admin. Reg. pg. 6 (May 12, 2023)

37. West Hollywood Mun. Code sec. 5.130.080(b)

38. West Hollywood Mun. Code sec. 5.130.080(b)

39. West Hollywood Mun. Code sec. 5.130.080(c)

40. City of West Hollywood MWO Admin. Reg. pg. 6 (May 12, 2023)

41. Minimum Wage, City of West Hollywood, https://www.weho.org/business/operate-your-business/minimum-wage (last visited Feb. 27, 2024)

42. West Hollywood Mun. Code sec. 5.130.080(c); City of West Hollywood MWO Admin. Reg. pg. 6 (May 12, 2023)

43. City of West Hollywood MWO Admin. Reg. pgs. 5-6 (May 12, 2023).

44. West Hollywood Mun. Code sec. 5.130.020(e)

45. West Hollywood Mun. Code sec. 5.130.020(e)

46. West Hollywood Mun. Code sec. 5.130.020(f)

47. West Hollywood Mun. Code sec. 5.130.140(b)

48. West Hollywood Mun. Code sec. 5.130.150(d)

49. West Hollywood Mun. Code sec. 5.130.140(e)

50. West Hollywood Mun. Code sec. 5.130.140(c) and (d)

51. West Hollywood Mun. Code sec. 5.130.150(a)

52. West Hollywood Mun. Code sec. 5.130.150(b)

53. West Hollywood Mun. Code sec. 5.130.150(b)

54. West Hollywood Mun. Code sec. 5.130.150(c)

55. West Hollywood Mun. Code sec. 5.130.120(a)

56. West Hollywood Mun. Code sec. 5.130.120(b)