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San Francisco EPL Insurance: Adjusting to New PTO Laws

San Francisco EPL Insurance: Adjusting to New PTO Laws San Francisco EPL Insurance Adjusting to New PTO Laws

California Governor, Jerry Brown, signed the Healthy Workplaces, Healthy Families Act of 2014 (HWHF Act), early this month in a huge victory for worker’s right advocates. The HWHF Act, which will officially be put into effect July 1st 2015, will require all public and most private employers to provide paid sick leave to their workers. More specifically, businesses will have to make these benefits available to their California employees regardless of part-time, temporary or full-time work classification.

Under the new regulations, California employees will accrue one hour of paid sick leave for every 30 hours worked, culminating in the accruement of up to 48 hours or a total of six paid sick days per year. However, employers will be able to limit an employee’s use of paid time off to 24 hours, or three days, a year provided that the employer allow for any leftover time to carry over to the following year. Employers will not be obligated to pay-out any unused sick time accrued under the HMHF Act upon and employee’s termination of employment.  Employees are eligible to begin amassing these hours after ninety days of employment with an employer.

The new legislation is expected to affect more than 6.5 million employees, roughly 40 percent of the California workforce, who are currently not offered paid sick leave from their employers. The benefit will allow employees to use the paid time for themselves and family members and loved ones without fear of employer retaliation.

For employers who currently offer paid sick leave or time off policy to their workers is not required to provide additional paid sick days so long as their current policy fulfills the minimum requirements of the new regulation. As long as an employer’s current policy makes available an appropriate amount of leave that may be used for the same purposes and under the same conditions as specified in the new law, no changes are necessarily required. Employers should review their current policies and consult with their legal representation to ensure that their policies are up to date.

With new regulations often come additional risk exposures that San Francisco businesses may face, particularly those who frequently employ many part time, seasonal and temporary workers. Should your company fail to adjust to these new employment regulation, there can be serious consequences. Employment practices liability (EPL) claims are one of the leading causes of lawsuits and government action against employers, and they are not covered under a standard business insurance policy. It is essential that your business is properly prepared against these claims and all the risks exposures you face.

At DiNicola, we excel at reassessing business risks and providing comprehensive risk management solutions. Our San Francisco EPL insurance specialists can help you navigate the impacts of new legislation and protect your operation from countless risks and hazards now and in the future. Give our specialists a call today at (855) 247-1912 to learn more about San Francisco EPL insurance and all our business insurance solutions.

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