New Jersey is set to join several other states in a growing trend mandating employer-paid sick time. The New Jersey sick time law goes into effect on October 29th, 2018 and employees will begin accruing sick time on that date. The new law creates one statewide standard and preempts any previously enacted municipal sick leave ordinances.
Sick Time Law Around the US
Federal law does not require that employers pay employees when they take off sick from work. However, many states have begun making their own laws so that employees can have this benefit. As of this writing, New Jersey is the 10th state in the nation to enact a paid sick time law. The states include:
- New Jersey
- Rhode Island
Several cities, such as New York, also have sick time laws. The list of cities and states is rapidly growing.
New Jersey’s Paid Sick Leave Law
The New Jersey law is comparable to other state laws.
- Every employer must offer the paid sick leave benefit to every employee. No employers are exempt and all employees are eligible.
- Employers must offer employees 1 hour of sick time for every 30 hours worked. This can be capped at 40 hours. The time cannot be cleared out at the end of the year but it can be capped so that it stops accruing once it reaches 40 hours.
- The sick time can accrue by hours worked or can be front loaded.
- The law does not have to replace a company’s current PTO policy. If the company has a PTO, vacation, or sick time policy which offers at least 40 hours, then the company is in compliance with the law.
- Employees can begin using the sick time after they have been with the company for 120 days.
- Tipped employees must be paid at least the regular minimum wage for sick time, rather than the lower minimum wage for tipped employees.
For more information about what reasons qualify for sick pay and for other details, refer to the fact sheet.
For answers to common questions about the law refer to this FAQ.
Staying Compliant With the Law
The paid sick time law requires that employees accrue 1 hour for every 30 hours worked, with a max of 40 hours. Employers can front-load that 40 hours but this method will overcompensate part-time employees. The best way to ensure you’re not overcompensating your employees is to track the sick time by their actual hours worked.
How to Simplify Sick Time Tracking
Tracking by hours worked would be a time-consuming process without an online time-off tracking system. Timesheets.com accruals tracking system tracks paid sick time automatically so you don’t have to do any conversions and calculations. It stores all the numbers too so a separate file for recordkeeping isn’t needed.
At Timesheets.com, we know that accruals can be confusing so we’re happy to help you understand the numbers and set up time off tracking for your employees. When you start your free trial, we will be in touch!