I’m sure you heard that on February 16th Austin’s City Council passed a sick leave ordinance scheduled to go into effect on October 1st. We, like all the other Austin-based small businesses needed to know how this was going to impact us. This is what we found out:

 

  • Businesses with more than 15 employees must grant an employee one hour of earned sick time for every 30 hours worked.
  • Businesses with 15 or fewer employees have to provide only 48 hours of paid leave, or six 8-hour days, per year.
  • Businesses with five or fewer employees have until October, 2020 to comply.
  • You are not required to provide more than 64 hours of earned sick time to an employee in a calendar year. All unused earned sick time up to 64 hours must be carried over to the following year.
  • If you already provide PTO to an employee in an amount sufficient to meet the accrual, purpose, and usage requirements then no additional action is required.
  • Earned sick time starts accruing when you hire an employee, or when the ordinance takes effect, whichever is later.
  • Businesses can restrict usage of sick time for the first 60 days of employment
  • You must reinstate accrued sick time for a separated employee who is rehired within 6 months.

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