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Gov. Brown Signs Paid Sick Leave Bill

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The Bill caps a 6 year effort by Dems, it will make it a requirement next July 1, to provide and pay most employees for at least 3 sick days each year

Well, there never seems to be a shortage of bad news if you’re an employer, and this month is no exception. Along with the new employee cell phone reimbursement requirements here (See page 9), virtually all employers will now be saddled with a requirement to provide non-union employees with a minimum of 3 paid sick days if they work 90-days or more in California.

If you pay hourly or even percentage (as some do in transportation) below is the guiding language on how to calculate what you will need to pay each employee. You cannot pay a minimum wage unless that’s what you pay your employees.

CA Labor Code 246 (k) The rate of pay shall be the employee’s hourly wage. If the employee in the 90 days of employment before taking accrued sick leave had different hourly pay rates, was paid by commission or piece rate, or was a nonexempt salaried employee, then the rate of pay shall be calculated by dividing the employee’s total wages, not including overtime premium pay, by the employee’s total hours worked in the full pay periods of the prior 90 days of employment.

Incidentally, we did oppose this bill through the CalChamber. The Opposition list had just about every business and group in the state listed, it was over two pages long. The Bill has been a Democratic hot-button issue and this was the fourth attempt to pass this benefit package since 2008 – it defines the politics of this state. There were about 9 large union labor based organizations with the exception of the Consumers (Trial) Attorneys. This bill also typifies the power that labor unions both public and private and the liberal anti-business socialist movement has in this state. Again, more reasons why California is not a competitive state any longer.

It’s ironic that legislation like this does nothing to grow or help the middle class as claimed. In fact, it is doing the opposite. Businesses that are involved in competitive industries are finding it almost impossible to be competitive and profitable in this state and are quietly leaving, taking mostly middle class jobs with them. Apparently no one in Sacramento gets this. By the time the voters and workers do, it will probably be too late.

See more in related stories on pages 11 &17 September 2014 issue.