On May 2, 2018, Governor Phil Murphy signed the Earned Sick and Safe Days Act, which will allow specified employees to accrue sick leave at one hour per thirty hours worked, up to a maximum of 40 hours per year. The State of New Jersey is only the 10th state in the nation to enact sick leave legislation. The law goes into effect on October 29, 2018. Employers are free to create more generous policies that provide additional leave time beyond what is mandated; however, there are important caveats employers must be aware of.
What medical issues or conditions qualify for paid sick leave?
- Diagnosis, treatment, or recovery from a mental or physical illness or injury, or preventive care, for the employee or family member;
- Obtaining services if the employee or a family member is a victim of domestic or sexual violence;
- Circumstances arising from a public health emergency and
- A school-related meeting or event with regard to the employee’s child.
What employees are not covered by the law?
- Employees covered by a in a collective bargaining agreement in the construction industry;
- Public employees provided sick leave under any other law, rule, or regulation in the State of New Jersey and
- Healthcare workers.
As additional details unfold from a tax and compliance standpoint, we will keep you informed of the New Jersey Department of Labor and Workforce Development’s guidelines and regulations. Penalties will be outlined for employers who do comply with the forthcoming regulations.
To learn more about the new law, contact your Friedman LLP tax professional.