Effective January 1, 2025, changes to Connecticut's Paid Sick Leave (PSL) program include:
On May 21, 2024, Governor Lamont signed HB 5005 into law, which greatly expands Connecticut's existing Paid Sick Leave (PSL) law. The amendments range from employer coverage to accrual rate requirements to acceptable uses of leave.
Connecticut's PSL currently applies to employers who employ at least 50 employees within the state. Beginning January 1, 2025, the amendments will annually adjust the employer size requirements that mandate an employer provide their employees with PSL coverage to the following:
Currently, the law applies to "service workers." Beginning January 1, 2025, the “service worker” requirement will be removed from the law entirely, and covered employers will be required to provide PSL to all employees, with limited exceptions for "seasonal employees" (i.e., employees who work 120 days or fewer in any plan year).
Certain unionized employees whose employers participate in a multiemployer health plan pursuant to a collective bargaining agreement (CBA) may also be exempt.
The amendments state that employees become eligible to use PSL after 120 calendar days. This new mandate will replace the current requirement that a service worker must have worked at least 680 hours before being eligible to use PSL.
The amendments expand acceptable PSL use to now include all of the following:
The amendments also expand the definition of ”family member” to include:
Also, effective January 1, 2025, employers will be prohibited from the following:
Under the new amendments, eligible employees will accrue 1 hour of PSL for every 30 hours worked, instead of 1 hour for every 40 hours worked.
Employers that already offer other paid leave, including vacation, personal days, or PTO, that meet or exceed the requirements will be deemed to comply with the new PSL requirements.
In lieu of any carryover of unused PSL from the current year to the following year, an employer may provide an employee with an amount (i.e., a bank) of PSL that meets or exceeds the requirements of this subsection and is available for the employee's immediate use at the beginning of the following year.
The amendments require, in addition to postings, individual notice to employees of their rights on January 1, 2025, or at their time of hire, whichever is later. The Connecticut Department of Labor has been directed to make acceptable posters and notices available on its website.
Employers should review their current policies and practices to ensure compliance before any applicable effective dates.
Thank you for choosing Paylocity as your Payroll Tax and HCM partner. This information is provided as a courtesy, may change and is not intended as legal or tax guidance. Employers with questions or concerns outside the scope of a Payroll Service Provider are encouraged to seek the advice of a qualified CPA, Tax Attorney or Advisor.
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