New Earned Sick Time law in MA applies to you

Earned Sick Time in Massachusetts

Is Your Organization Ready for the New Massachusetts Law?

The new Earned Sick Time Law is clear – the law applies to YOU if you have employees and you are not a city or town in the Commonwealth. How it applies to you isn’t quite as clear. In this post we will review what an employee is and which companies and organizations must comply with the new law.

Let’s start with a statement and example straight from the regulations released by the Attorney General’s Office.

“An employee is eligible to accrue and use earned sick time if the employee’s primary place of work is in Massachusetts regardless of the location of the employer. An employee need not spend 50% or more time working in Massachusetts for a single employer in order for it to be the employee’s primary place of work.” So, “a painter with a single employer works 40% of her hours in Massachusetts, 30% in New Hampshire and 30% in other states. Massachusetts is her primary place of work.”¹

That being said, ALL hours worked for the company regardless of where she is working and regardless of the location of the employer counts toward accrual of earned sick time. Remember, hours worked includes overtime hours but need not include hours paid when not working (such as vacation time).

The number of people you employ is key when determining if you must offer paid sick time or unpaid sick time. The rule of thumb is that with 11 or more employees the time must be paid and with 10 or less the time can be unpaid – although you may choose to make it paid time off.

And, as you calculate the number of employees you have it is important to remember that an employee is any person who performs a service for you, the employer, for wage, remuneration, or other compensation. This includes full-time, part-time, seasonal, and temporary, employees, along with interns. Note there are a few exceptions so, if you are on the cusp of 11 employees at any point in time during the year, you can contact us for further information about how this number is determined. If you are questioning if someone is an employee and must be counted, call us.

The new law states that every employee is entitled to either paid or unpaid sick time and that it is earned at a rate of 1 hour of sick time for every 30 hours worked.   Note that your payroll system can help you comply with the law by calculating the accrual of sick time, tracking usage, and including a line item on the employee’s pay stub showing available sick time. If you have questions about this, please contact us for a referral to a local payroll provider with significant experience and expertise in this area.

The law also states that there are 4 allowable reasons to use earned sick time. In addition, there are poster requirements, transition year directions, and guidance that can help you create a compliant policy. If you would prefer not to wade through the regulations yourself, let Pfautz Consulting Group, LLC do the work for you. Contact us at info@pfautzconsulting.com.

¹ 940 CMR: OFFICE OF THE ATTORNEY GENERAL CMR 33.00 EARNED SICK TIME; http://www.mass.gov/ago/docs/regulations/940-cmr-33-00.pdf