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California to Extend COVID-19 Paid Sick Leave, No Tax Credits for Employers

By Jamie Joseph

SACRAMENTO, Calif.—In a deal between Gov. Gavin Newsom and state lawmakers, California is expected to pass another mandatory COVID-19 paid sick leave package for businesses with more than 26 employees, retroactive to Jan. 1. 2022.

Senate Bill 114 passed the state Assembly on Feb. 7, while a mirror version of the legislation, Assembly Bill 84, is making its way through the state Senate.

The proposed framework—authored by the governor, Senate President Pro Tem Toni G. Atkins, and Assembly Speaker Anthony Rendon—will provide up to 80 hours of paid sick leave for all COVID-19 related work absences for full-time employees. Part-time employees will be granted paid sick leave based on the median hours they’ve worked in a typical work week.

The bill also allocates $1.9 billion to California’s COVID-19 emergency fund, with $1.6 billion that will go toward the Department of Public Health for contact tracing, vaccinations, testing, and other COVID-19 related responses…

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