Small Businesses in San Fransisco aren't looking forward to a new paid sick leave law that goes into effect this February.
A slim majority of San Fransisco voters (61%) passed Proposition F this past election. San Francisco became the first city in the state to require all employers to provide paid sick leave. The new law is tough to swallow.
The new requirements start on February 5, 2007. Employers must provide paid sick leave to almost all employees working in San Francisco, including temps and part-time employees.
Under the law a full-time employee could accrue 69.33 hours of paid sick leave per year! Accrual for small businesses (less than 10 employees) is capped at 40 hours. There is no cap for part-time employees. The sick leave is carried over year to year but employers cannot enforce a “use it or lose it” policy. There is no payout requirement when the job ends.
The law is quite sweeping. Not only can employees take the time if they are sick, but also for family members or even domestic partners or a child of a domestic partner. It goes so far as even covering sick leave as a "designated person".
Businesses who violate the law or who threaten, demote, or take action against an employee for taking sick leave can suffer penalties up to three times the amount of paid sick leave, and legal and other fees.
Employers must post a notice from The San Francisco Office of Labor Standards Enforcement in San Francisco workplaces. They must also keep records up to 3 years.
Combined with the shortage of workers in California right now, and an increase in the state mimimum wage, this is a triple whammy. In fact, thinking of it is making me feel a little sick mysefl! I don't know about you but this is making a one-man (or woman) shop all the more appealing!
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