On April 12, 2018, the New Jersey Legislature passed a mandatory Paid Sick Leave law.  The law, which goes into on October 29, 2018, applies to all private employers who employ individuals in the State of New Jersey, among others.  For more details on this law, please see https://custodelaw.com/leave-of-absence/new-jersey-legislature-passes-statewide-paid-sick-leave-law/.

The New Jersey Department of Labor and Workforce Development recently issued proposed regulations regarding the Paid Sick Leave Law, which provide employers with guidance on the implementation of the law.

The highlights of the proposed regulations are as follows:  Employers are not required to document hours worked for exempt employees under the Fair Labor Standards Act and the New Jersey Wage and Hour Law.   Employers are required to provide their employees with a poster issued by the Department of Labor.  The poster has already been made available by the Department of Labor and may be distributed via email to employees.  The Department of Labor has clarified that the test to determine whether a worker is an employee or independent contractor is the “ABC test” currently utilized for such a determination under unemployment compensation law.   The Department of Labor requires that a single benefit year be used for all employees.  For all employees hired on or before October 29, 2018, the accrual of sick leave begins no later than October 29, 2018.  The regulations define “foreseeable need” for paid sick leave as leave which shall not exceed seven days of advance notice, whereas leave is “not foreseeable” when “an employee requires time to care for, or obtain medical treatment for, themselves or a family member that was not reasonably anticipated.”  Lastly, employers may designate certain dates that they prohibit the use of foreseeable paid sick leave, which “shall be limited to verifiable high-volume periods or special events, during which permitting the use of foreseeable earned sick leave would unduly disrupt the operations of the employer.”