Aside from salary and benefits, time off is often one of the most significant factors job-seekers consider when deciding to accept a position with a company. Especially in today's world, where the growth of the small-business sector and the additional financial constraints companies of this size are facing thanks to Obamacare restrict what companies can offer in terms of salary, flexibility and generous paid time off policies are becoming essential.
But managers who are trying to balance the needs of the company with the desires of the workforce have an additional hurdle to leap over – varying state laws on the subject. Legislation governing company responsibilities when it comes to sick leave are changing rapidly in some parts of the country, and businesses that don't keep up with the new regulations may risk potentially costly legal battles as a result.
Sick leave is getting complicated
For many companies, especially those on the small-business spectrum, paid time off has been treated as a perk used to attract and retain talent. However, it's increasingly becoming a necessity, and some states have passed legislation speeding that process along. Massachusetts and California have recently joined the ranks of states, alongside Connecticut, that have passed laws necessitating some kind of paid sick leave – but each state's legislation has its own particular nuances.
For example, in California, any employee of any company, regardless of size, is eligible to accrue sick time as long as he or she works 30 days within a one-year period, Biz Journals reported. In contrast, the new law in Massachusetts only stipulates that paid sick time must be offered to employees of companies with 11 or more staff members. Any businesses with fewer than 11 employees are still required to provide time off for workers, but the time is not paid.
Working with HR can help
There can be tricky legal considerations to take into account when adapting your company's sick policy, especially for small businesses. While only a few states currently impose legislation mandating such policies be updated, it seems likely that the trend will continue. There are similar discussions happening in cities all across the country, from Philadelphia to Seattle.
Rather than risk complicated labyrinthine legal issues as a result of being out of compliance with your state's PTO laws, it makes more sense to work with PEO companies to devise effective HR solutions. These companies can offer expert HR advice that will benefit your business as much as possible while also adhering the necessary regulations and keeping employees happy.