Connecticut’s Updated Paid Sick Leave Law: What Employers Need to Know

Effective January 1, 2025, Connecticut’s revised Paid Sick Leave Law will require major updates from employers across the state. With expanded coverage, new accrual rules, and wider eligible uses, the law will impact businesses of all sizes over the next few years. Here’s a breakdown of what these changes mean and how employers can prepare to stay compliant.

Expanded Requirements for Employers

Starting in 2025, paid sick leave will gradually extend to all Connecticut employers. Previously, only certain businesses with 50 or more employees were included. Under the updated law:

From January 1, 2025: Employers with at least 25 employees will need to provide paid sick leave (previously 50 employees).
By January 1, 2026: The requirement expands to cover employers with 11 or more employees.
January 1, 2027: Paid sick leave will apply to all employers in Connecticut, regardless of size.

Additionally, the law now applies to all private-sector employees, not just those in specific service roles, although certain seasonal and construction workers are excluded.

Changes to Accrual and Usage

Under the new rules, employees accrue paid sick leave at a faster rate and have more flexibility in how they use it. Key updates include:

Increased Accrual: Employees earn one hour of paid sick leave for every 30 hours worked, with a maximum of 40 hours per year. This is an increase from the previous rate of one hour per 40 hours worked.
Carryover Policy: Unused sick leave can be rolled over into the following year, up to a maximum of 40 hours.
Eligibility Timing: Employees can begin using their sick leave benefits on their 120th day of employment.

Broadened Use of Paid Sick Leave

Connecticut’s updated law allows employees to use paid sick leave for a greater range of situations, covering both health and family needs. Here’s what’s included:

Health Conditions: Leave can be used for an employee’s own illness, injury, or health condition, as well as those of family members. This also includes the medical diagnosis, treatment or care of the employee or their family member, as well as preventive medical care for the employee or the employee’s family member’s physical or mental health.
Mental Health Days: Employees can take leave specifically related to mental wellness.
Family and Domestic Situations: Leave is allowed for issues related to family violence or sexual assault (excluding cases where the employee is the alleged perpetrator).
Public Health Reasons: If a health authority or employer determines that an employee or their family member may have been exposed to a contagious illness, sick leave can be used as a precaution.

The definition of “family” has also expanded, allowing employees to take leave for a wider circle of relatives, including adult children, grandparents, siblings, and those with close, family-like relationships.

Key Compliance Challenges for Employers

Adapting to these updates will require Connecticut employers to review their current policies, educate their teams, and ensure that administrative systems can handle new requirements. Here are a few important considerations:

1. Detailed Record-Keeping

Employers must keep thorough records of employees’ paid sick leave balances, accruals, and usage for at least three years, with balances appearing on wage statements. This can be complex, especially for smaller organizations, and failure to comply could result in penalties.

2. Informing Employees of Their Rights

Under the new law, all employees must be informed of their rights to paid sick leave, whether they are new hires or existing staff. Employers are also required to post notices in workplaces that explain these rights.

3. Aligning with Existing PTO Policies

Companies that already offer PTO should ensure these policies align with the new requirements. If current policies meet the law’s requirements, no additional leave is necessary, but any discrepancies could lead to compliance issues.

4. Preparing for Staggered Implementation

As the law’s requirements will phase in gradually depending on company size, small and mid-sized employers should stay informed of their specific obligations over the coming years to ensure they remain in compliance as new thresholds take effect.

5. Replacing Employees on Leave

Employers cannot hire a “replacement” employee to cover for an employee on sick leave. This provision requires companies to plan for potential staffing gaps and ensure team operations continue smoothly.

6. No Documentation Required for Sick Leave

The new law prohibits employers from requesting documentation for paid sick leave. This may be a challenge for businesses accustomed to verifying sick leave.

Planning Ahead for Compliance

With these updates approaching, employers should take proactive steps to ensure a smooth transition:

Update Leave Policies: Review and revise your policies to ensure they meet the new standards.
Establish Clear Record-Keeping Procedures: Make sure payroll systems can accurately track and report on sick leave balances.
Communicate with Employees: Provide clear information on their rights under the new law, both verbally and through posted notices.