{"id":2122,"date":"2019-02-27T21:58:02","date_gmt":"2019-02-27T21:58:02","guid":{"rendered":"https:\/\/www.jacksonwhitelaw.com\/az-labor-employment-law\/?p=2122"},"modified":"2024-07-31T17:27:02","modified_gmt":"2024-07-31T17:27:02","slug":"sick-leave","status":"publish","type":"post","link":"https:\/\/www.jacksonwhitelaw.com\/az-labor-employment-law\/blog\/sick-leave\/","title":{"rendered":"What are the Sick Leave Laws in Arizona?"},"content":{"rendered":"
Over 58% of Arizona voters cast a vote in favor of Proposition 206 (AZ Prop 206) in November 2016. Though heavily contested, the Fair Wages and Healthy Families Act was ultimately affirmed by the Arizona Supreme Court. As a result, the state adopted an aggressive schedule to raise the minimum wage, and instituted a new program to require paid sick leave for Arizona workers.<\/p>\n
Earned paid sick leave<\/a> is defined as \u201cleave time that is compensated at the same hourly rate and with the same benefits, including health care benefits, as the employee normally earns during hours worked\u201d (ARS 23-371<\/a>). Under the Fair Wages and Healthy Families Act, there are seven qualifying circumstances where an employee may use earned paid sick leave:<\/p>\n For absences related to abuse, sexual violence, domestic violence, or stalking, the victim must be the employee or a family member. Furthermore, the absence must be for one of the following purposes:<\/p>\n The amount of paid sick time an employer must provide depends on the number of workers the company employs in Arizona. The Fair Wages and Healthy Families Act establishes two size-based groups:<\/p>\n Of course, employers are welcome to implement benefit programs that offer more paid sick leave than the state-imposed minimums. They are bound by the minimum provisions of the law, but there are no caps on how much earned paid sick time an employer may provide.<\/p>\n All full-time and part-time employees<\/a> are eligible for paid sick leave in Arizona. This includes on-call employees, though employers are permitted to restrict the use of earned paid sick time to periods of time where the on-call employee is scheduled (or would normally be scheduled) to work.\u00a0<\/span><\/p>\n Independent contractors are not eligible for paid sick leave under the Fair Wages and Healthy Families Act. Unfortunately, it\u2019s not uncommon for employers to misclassify an employee as an independent contractor to avoid obligations such as paid sick leave, minimum wage, and healthcare benefits. If you believe you are improperly classified as an independent contractor, you should discuss your case with an Arizona employment attorney<\/a> to determine if you can seek unpaid wages and\/or benefits from the employer.<\/p>\n While the Fair Wages and Healthy Families Act provides limited exceptions for small businesses when it comes to the minimum wage, all private employers in Arizona are subject to the paid sick leave provision. That includes associations, corporations, joint ventures, LLCs, partnerships, political subdivisions of the state, proprietorships, trusts, and any entity acting directly or indirectly in the interest of an employer in relation to an employee.\u00a0<\/span><\/p>\n The law does provide an exception for public employers. Workers employed by the state or federal government are exempt because they fall under other government-related employment laws.\u00a0<\/span><\/p>\n While most wage-based employees earn paid sick leave as they accumulate hours, many salaried employees receive their annual allotment of paid sick leave at the beginning of the year. This is referred to as front loading paid sick time, or front loading benefits. The practice of front loading paid sick time is perfectly acceptable under the Fair Wages and Healthy Families Act, provided the employer complies with the annual minimums imposed by the law.\u00a0<\/span><\/p>\n When an employer who front loads paid sick time hires a new employee after the start of the year, the employer may wait up to 90 days before awarding the new employee their annual allotment of earned paid sick leave. Furthermore, the employer may prorate the new employee\u2019s earned paid sick time based on the expected hours worked for the remainder of the year. For example, a new employee who is expected to work fifteen 40-hour weeks before the end of the year (600 hours) must receive a minimum of 20 hours of earned paid sick leave. If the employee ends up working more hours than estimated, the employer must provide the employee with additional paid sick time to comply with the law.<\/p>\n Determining an hourly rate for paid sick time is easy for employees with a single hourly rate, but it can be confusing for employees with variable pay. To address these contingencies, the Fair Wages and Healthy Families Act lumps employees into four groups when determining the hourly rate for paid sick time:<\/p>\n When an employee would have earned a premium or shift differential to compensate them for work performed under special conditions (e.g. night shifts, hazard pay) when the paid sick was used, these wages must be included when calculating the employee\u2019s hourly rate. However, the employer is not required to include bonuses, holiday pay, overtime, gifts, tips, or other types of incentive pay in the hourly rate determination. In all cases, the hourly rate for paid sick leave cannot be less than the state minimum wage.<\/p>\n\n
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How Much Paid Sick Time Must an Employer Offer?<\/h2>\n
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Employee Eligibility<\/h2>\n
Employers Covered by the Law<\/h2>\n
Front Loading Paid Sick Time<\/h2>\n
How Does an Employer Determine Hourly Rates for Paid Sick Time?<\/h2>\n
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Who Enforces the Fair Wages and Healthy Families Act?<\/h2>\n