Business and Commercial Law

EMPLOYER REQUIRED EARNED PAID SICK TIME EFFECTIVE JULY 1, 2017. ARE YOU READY?

Earned Paid Sick Time

Most employers are aware that Arizona’s minimum wage was increased due to the passage of the Fair Wages and Healthy Families Act (the “Act”).  However, most employers are not aware that they must now provide all employees, including but not limited to, salaried, hourly full-time and part-time employees, with earned paid sick time (“EPST”) effective July 1, 2017.  Below are just a few provisions in the Act related to EPST.

  1. All employees accrue one
  2. hour of EPST for every 30 hours worked.
  3. Salaried employees are presumed to work 40 hours per week.
  4. EPST begins to accrue immediately upon hiring an employee.
  5. Employers can require employees to wait 90 days after their start date before being able to use accrued EPST.
  6. Employers with 14 or less employees must provide a minimum accrual of 24 hours per year.
  7. Employers with 15 or more employees must provide a minimum accrual of 40 hours per year.
  8. Unused EPST is not required to be paid out upon termination of employee’s employment, but if employee is rehired within 9 months, such rehired employee’s accrued but unused EPST must be reinstated and the rehired employee must be able to use immediately.

Laura M. Trujillo
ltrujillo@mclawfirm.com
480-994-2000

Disclaimer: This blog is for information purposes only. Legal advice is provided only through a formal, written attorney/client agreement.

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