All employers are subject to the law (
A.R.S. § 520-426-3824), which provides for a minimum accrual of one hour of leave for every 30 hours worked, up to the limits noted above. Accrual starts with the first day of employment or July 1, 2017, whichever is later. Employers can have policies restricting employees from using leave within the first 90 days of employment.
If an employer is already providing enough paid time off to cover the minimum amount of paid sick time, and if the employer allows its workers to use that time off in the same way and for the same purposes as paid sick leave, then the employer does not need to provide additional paid sick time.
Employees are allowed to use their accrued paid sick leave for their own illness and for the illnesses of family members. At the end of a year, any unused paid sick leave carries over to the next year, unless the employer chooses to pay them for their unused sick time. (Any unused leave does not need to be paid out when the employee resigns or is terminated.)
Employers that want to require employees to provide notice prior to taking foreseeable leave must have a written policy that spells out how the notice is to be given.
Employers may not retaliate against employees for using or requesting paid sick leave. The new law provides that, if any discipline occurs to an employee within 90 days of them taking sick leave, there is a presumption that the discipline is retaliatory.
Failure to Comply
The first violation carries a minimum $250 fine; for each subsequent violation, the fine is a minimum $1,000. Also, non-compliant employers must pay the employee the unpaid balance of the earned paid sick leave owed, plus interest, plus an additional amount equal to twice the unpaid sick leave.
Employers should ensure that employee handbooks and policies are consistent with the new law and that their payroll systems are able to track the accrual and payment of sick leave.