Paid Sick Leave Ordinance Is Passed By Jersey City

31 Oct 2013

Imposing new burdens on employers in New Jersey's second-largest city, the Paid Sick Leave Ordinance takes effect on 23^rd January, 2014.

The City Council of Jersey City, passed an ordinance that necessitates employers to provide their employees with paid sick leave. With the ordinance’s adoption, Jersey City has joined a fast-growing list of municipalities and states around the US which now necessitate mandatory paid sick leave for most employees. Jersey City is New Jersey’s 1^st city to enact such a provision and a similar law covering employees throughout New Jersey was introduced in the State Assembly.

What will the ordinance provide to employees?

Under the ordinance, immediately after being hired, employees will start accruing sick leave. However, they must be employed for at least 90 days to be eligible to avail it. The rate at which Sick leave is accrued is: 1 hour for every 30 hours worked.

Per calendar year, employees can accrue a maximum of 40 hours of sick leave and will also be able to carry over their leave to the next year. However, at any given time, employees cannot accrue more than 40 hours and per calendar year, cannot use more than 40 hours. The law does not necessitate employers to ‘cash out’ unused accrued sick leave if the employee is terminated, unless the employer has a contractual obligation or policy to do so.

According to the law, employers should provide written notice about their mandates and rights to new hires. Also, employers must also post a notice about sick leave benefits.

Employers who are already providing their employees with sick leave beyond the mandated one by the new ordinance are not required to provide additional sick leave.

Who is covered?

All the employees working within Jersey City are covered by the ordinance.

Also, employees who are not based in Jersey City themselves but are employed by a Jersey City–based business are covered by the ordinance provided they work within the city limits for at least 80 hours per year.

Businesses based in Jersey City with 10 or more employees must provide paid sick leave, irrespective of the fact that the employees are located within Jersey City or not.

Businesses with less than 10 employees need not provide sick leave but must provide unpaid leave.