Paid Leave Laws By State: What Businesses Need To Know for 2024

Is your small business up-to-date on the latest paid sick leave laws? Paid sick leave laws are a must-know for businesses, especially as regulations are always evolving. You want to make sure your business is always compliant with both federal and state laws. We’ve put together a comprehensive guide to paid sick leave laws—from defining what paid sick leave means to detailing the specific requirements in various states. You’ll also get an in-depth look at paid leave laws by state, offering insights into what businesses need to know to manage sick leave effectively.Whether you're a small business owner developing a sick leave policy or an HR professional wanting to make sure your business stays compliant, this article will help you navigate the complexities of paid sick leave laws in 2024.

Are sick days required by law?

Yes, sick days are required by law in many states. Although federal law doesn’t mandate paid sick leave, several states and localities have their own paid sick leave laws.These state-specific laws vary widely on aspects such as accrual rates, usage, and carryover policies. You need to stay informed about the specific requirements in your state to help ensure your business remains compliant. That way, you can make sure you’re providing the necessary support for your employees around sick leave. Understanding these laws is crucial for maintaining legal and operational standards for your business.

Federal sick leave laws.

The federal government doesn’t mandate paid sick leave for private sector employees. However, the Family and Medical Leave Act (FMLA) requires eligible employers to provide unpaid, job-protected leave for specified family and medical reasons, including the birth of a child, and serious health conditions in the family.While the FMLA ensures unpaid leave, it does not cover paid sick leave. What does this mean? Many states and localities have their own paid sick leave laws to fill this gap, making it essential for businesses to understand and comply with both federal and state regulations. We’ll explore this in more detail below.

Are sick days paid?

So are sick hours paid? For many employees, the good news is: yes, in many states, sick days are paid. Paid sick leave laws require employers to compensate employees for the time they take off due to illness. These laws ensure that employees do not lose income while addressing health issues.The specifics of paid sick leave vary by state. Some states have specific accrual rates, usage limits, and carryover provisions. Your business needs to be aware of the paid sick leave laws in your state to comply with legal requirements and ensure your employees get their entitled paid sick days.

Paid leave laws by state (2024).

We’ve established that understanding the paid sick leave laws by state is crucial for ensuring compliance and supporting employee well-being. How many sick days per year employees get in each state differs, so here's a detailed look at the states with mandatory paid sick leave laws for 2024. Note that if a state isn’t listed below, that means it doesn’t have specific paid sick leave laws at this time. Knowing which states have mandatory paid sick leave may be especially important if you’re considering starting or expanding your business in a particular state.We also recommend that you always review state and local regulations regularly to help you remain compliant. Keep in mind that for most sick time requirements by state, paid sick leave for hourly employees will be dependent on hours worked.

Arizona

Employees earn one hour of paid sick leave for every 30 hours worked, up to 40 hours annually for employers with 15 or more employees, and 24 hours for smaller businesses. Employees carry over unused sick leave to the next year, although accrual caps apply. 

California

California mandates that employees accrue one hour of paid sick leave for every 30 hours worked, with a minimum of 24 hours or three days per year. Some cities, like Los Angeles and San Francisco, have more extensive requirements. Employers must allow carryover of unused leave, but may cap the total accrual at 48 hours or six days.

Colorado

Colorado sick time laws stipulate that employees accrue one hour of paid sick leave for every 30 hours worked, up to 48 hours per year. This applies to all employers, and unused sick leave must be carried over to the next year, with usage capped at 48 hours annually. 

Connecticut

Service workers in companies with 50 or more employees accrue one hour of paid sick leave for every 40 hours worked, up to 40 hours annually. Employees carry over unused sick leave to the next year, with an annual cap of 40 hours. .

Illinois

Chicago and Cook County require employers to provide paid sick leave, with employees accruing one hour for every 40 hours worked, up to 40 hours annually. Employers must allow unused leave to carry over, subject to caps. 

Maine

Employers with 10 or more employees must offer one hour of paid leave for every 40 hours worked, up to 40 hours per year. This leave can be used for any purpose, including sickness, and unused leave must be carried over to the next year. 

Maryland

Employees earn one hour of paid sick leave for every 30 hours worked, up to 40 hours annually. Employers with fewer than 15 employees may provide unpaid sick leave. Employees carry over unused leave to the next year, with an annual cap of 40 hours. . 

Massachusetts

Employees accrue one hour of paid sick leave for every 30 hours worked, up to 40 hours per year. Employers with fewer than 11 employees may provide unpaid leave. Employees carry over unused leave to the next year, with an annual cap of 40 hours. . 

Michigan

Employers with 50 or more employees must provide one hour of paid sick leave for every 35 hours worked, up to 40 hours per year. Employees carry over unused leave to the next year, with an annual cap of 40 hours. . 

Minnesota

All employers in Minnesota must provide employees with up to 48 hours of earned sick and safe time annually. Employees accrue one hour for every 30 hours worked. The pay rate for sick and safe time is the same as if they’re working.

Nevada

Employers with 50 or more employees must provide 0.01923 hours of paid leave for each hour worked, which can be used for any purpose. Employees carry over unused leave to the next year, with an annual cap of 40 hours. . Part-time employees also accrue sick leave prorated based on their full-time equivalent employment.

New Jersey

Part-time and full-time employees earn one hour of paid sick leave for every 30 hours worked, up to 40 hours per year. Employees carry over unused leave to the next year, with an annual cap of 40 hours. . 

New Mexico

Employees accrue one hour of paid sick leave for every 30 hours worked, with an annual cap of 64 hours. Employees carry over unused leave to the next year, with no cap on the total accrual. 

New York

Employers with 5-99 employees  must provide up to 40 hours of paid sick leave per year. For employers with 100 or more employees, they must provide up to 56 hours of paid sick leave. Employers with fewer employees must provide unpaid leave. For employers with net income of $1 million or less, they must provide up to 40 hours of unpaid sick leave. Employees carry over unused leave to the next year, with an annual cap of 40 hours. . 

Oregon

Employees earn one hour of paid sick leave for every 30 hours worked, up to 40 hours annually. Employers with fewer than 10 employees (or fewer than 6 in Portland) may provide unpaid sick leave. Employees carry over unused leave to the next year, with an annual cap of 40 hours. . 

Rhode Island

Employers with 18 or more employees must provide one hour of paid sick leave for every 35 hours worked, up to 40 hours per year. Smaller businesses must provide unpaid leave. Employees carry over unused leave to the next year, with an annual cap of 40 hours. 

Vermont

Employees who work an average of at least 18 hours per week earn one hour of paid sick leave for every 52 hours worked, up to 40 hours per year. Employees carry over unused leave to the next year, with an annual cap of 40 hours. . 

Washington

Employees earn one hour of paid sick leave for every 40 hours worked, with no annual cap on usage. Employees carry over unused leave to the next year. 

Washington, D.C.

Employers must provide paid sick leave based on the size of their workforce, with accrual rates ranging from one hour for every 37 hours worked (for large employers with 100 or more employees) to one hour for every 87 hours worked (for small employers with 24 or less employees).

How to create a small business sick leave policy.

Being aware of sick leave laws is one thing—but understanding how to implement a sick leave policy for your small business that benefits your business and employees is also a must. Here are the steps you can take to create a small business sick leave policy:

• Understand legal requirements: The first step is to research federal, state, and local paid sick leave laws applicable to your business. Compliance with local sickness pay law is essential to avoid legal issues and ensure employees receive their entitled benefits.
• Define accrual and usage: Determine how sick leave will accrue (e.g., one hour per 30 hours worked) and specify how and when employees can use their accrued sick leave. Clarify any waiting periods before new hires can begin using sick leave.
• Outline notification procedures: Establish a clear process for employees to notify their supervisors when they need to take sick leave. Include acceptable forms of communication and required notice periods, if any.
• Specify documentation requirements: Indicate if employees need to provide documentation—such as a doctor's note—for sick leave. Specify when documentation is required and any limitations on the type of acceptable documentation.
• Address carryover and payout: Decide whether unused sick leave will carry over to the next year and if there are any limits. Also, clarify your policy on paying out unused sick leave upon termination of employment.
• Communicate the policy: Ensure all employees are aware of the sick leave policy. Include it in the employee handbook, discuss it during onboarding, and provide regular reminders.
• Review and update regularly: Regularly review your sick leave policy to ensure it complies with current laws and meets your business needs. Update the policy as necessary and communicate changes to employees promptly.

Understanding paid leave laws by state.  

Navigating paid sick leave laws by state can be challenging, but there’s no escaping it—it's crucial for ensuring compliance and supporting employee well-being. Understanding the states with mandatory sick leave, from accrual rates to usage policies, helps businesses create effective and compliant sick leave policies. Staying informed about federal and state-specific regulations, like those in California, New York, and Massachusetts, allows employers to provide necessary benefits while adhering to legal standards.In 2024 and beyond, businesses like yours must remain vigilant about changes in paid sick leave laws and continuously update your policies to reflect new regulations. By doing so, companies can foster a supportive work environment that values employee health and well-being, ultimately leading to higher employee satisfaction and productivity. Following new regulations can be challenging if you don’t have an easy way to track employee sick leave hours. With the Homebase time clock tool, you can automatically track hours worked, breaks, and corresponding hours of paid leave. Our time clock integrates directly with scheduling and payroll tools,  so you can go straight from time tracking to paying out your team on time and correctly. Get started with Homebase for free. 

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