Q: In CA, my business is going to start a PTO policy, what happens to all of my employees’ accrued sick leave from before?
For California, can my employees start the new PTO policy which includes sick pay & vacation, AND keep their sick leave separately from before?
Or is there a rule that I must convert all previous sick leave into the new PTO policy? Some employees have a lot, so if converted, it becomes a cash out for them if terminated. What is allowed?
A: You are not legally obligated to cash out accrued sick leave at termination. You are legally obligated to cash out unused PTO or vacation pay at termination. You would be wise not to mix the two distinct items together in your PTO policy.
A:
As long as you do not take away without replacing the sick leave the employees are entitled to under the California sick pay law, you can take away sick time at any time, or change the company rules about accrual of sick time.
Check out this link for more on the CA law: https://www.dir.ca.gov/dlse/paid_sick_leave.htm
Good luck to you.
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