After much anticipation, a bill requiring certain businesses in Philadelphia to provide full-time employees with paid sick leave recently became law. The measure, which will take effect July 1, 2012, requires employers, as defined in the city's 21st Century Minimum Wage and Benefits Standard, to provide full-time employees a minimum of one hour of paid sick time for every 40 hours worked in Philadelphia. Employees working for businesses with more than five but fewer than eleven employees can earn up to 32 hours of paid sick time per calendar year, whereas employees of larger businesses can earn up to 56 hours of paid sick time per calendar year. The law applies to for-profit businesses with at least $10,000 in city contracts in a 12-month period and with annual gross receipts in excess of $1,000,000; non-profit businesses with city contracts in excess of $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. Earlier this year, Philadelphia Mayor Michael Nutter vetoed a broader version of the bill, which would have applied to all businesses in Philadelphia with five or more employees. With this bill, Philadelphia joins the growing list of cities that have enacted similar laws. Employers should assess whether they are required to comply with this law and if so, alert their human resources personnel of this new requirement.
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