Alert For Philadelphia Businesses – Paid Sick Time Requirement
Effective July 1, 2012, certain Philadelphia businesses (outlined below) will be required to provide full-time employees a minimum of one hour of paid sick time for every 40 hours worked in Philadelphia. Employees working for an employer with more than five, but fewer than 11 employees can earn up to a maximum of 32 hours of paid sick time per calendar year; employees working for larger businesses can earn up to 56 hours per calendar year.
The law applies to:
- For-profit service contractors (or subcontractors) with at least $10,000 in city contracts in a 12-month period, with annual gross receipts in excess of $1,000,000
- Non-profit service contractors (or subcontractors) with city contracts over $100,000 in a 12-month period,
- Recipients of city leases, concessions or franchises that employ more than 25 employees, and
- City financial aid recipients (compliance will be required for a period of five years following receipt of aid).
If you believe your organization must comply with the new law, now is the time to review your current policies on paid and unpaid time off. As more information becomes available regarding how this law affects Paid Time Off (PTO) policies, we will notify our members. In the meantime, members can contact the HOTLINE for guidance.
For further information or assistance, contact your MEA representative:
This MEA Member Alert is provided for general informational purposes only and does not constitute legal advice.