Alaska Measure No. 1 Passes: New Paid Sick Leave

What happened?

On November 5, 2024, Alaskans voted in favor of Alaska Ballot Measure No. 1, which would create a new statewide paid sick leave law.

Quick Summary:

• Alaska Measure No. 1 mandates that starting July 1, 2025, employees accrue paid sick leave based on hours worked, with specific caps for small and large employers.

• The PSL will vary depending on if the employer has 15 or more employees or 14 employees or less.

What are the details?

• Covered Employers
  • Employers with 15 or more employees: Employees will earn one hour of paid sick leave for every 30 hours worked, up to a maximum of 56 hours per year.
  • Employers with fewer than 15 employees: Employees will earn one hour of paid sick leave for every 30 hours worked, capped at 40 hours per year.
    
    Note: Overtime-exempt employees are assumed to work 40 hours per week unless their typical work week is less.

• Carryover: Unused leave carries over from year to year with no specified cap. Unused paid sick leave can roll over to the next year, but employees cannot use more than the yearly cap.

• Covered Uses: Mental or physical illness, injury, or health condition; medical diagnosis, care, or treatment; preventive medical care; absences due to domestic violence, sexual assault, or stalking.

• Family Members: Defined broadly to include children, parents, grandparents, siblings, spouses, domestic partners, aunts, uncles, and others related by blood or close association.
  • Sick leave can also be used for preventive care or to address issues related to domestic violence, sexual assault, or stalking.

• Frontloading: The law does not explicitly allow frontloading of paid sick leave to avoid carryover requirements

• Eligibility
  • The law applies to all employers in Alaska, with some exceptions for certain apprentices, non-profit organization employees, agricultural workers, etc.

• Requesting and Documenting Leave
  • Foreseeable Leave: Employees must make a good-faith effort to notify the employer and schedule leave to minimize disruption.
  • Unforeseeable Leave: Not specified
  • Documentation: For absences of four or more consecutive workdays, employers may require reasonable documentation, such as a note from a health care professional.

• Confidentiality: Employers cannot require details about the health or safety issue and health or safety information must be treated as confidential medical records.

• Employer Notice, Posting and Recordkeeping
  • Notice Requirements: Employers must provide written notice to employees by the latter of employment commencement on July 31, 2025, detailing entitlement to paid sick leave, the amount available, terms of use, and the prohibition of retaliation.

• Golden Parachute Payments:
  
  • Employers cannot:
    
    • Require employees to find a replacement worker
    • Interfere with the right to paid sick leave
    • Count it as an absence leading to retaliation.
      
      Retaliation or discrimination for using paid sick leave is prohibited, and waivers of these rights outside collective bargaining agreements are void.
      
  • The law is silent on enforcement specifics and private rights of action. Under state law, employers found in violation are liable for lost wages or other appropriate damages.

Business Considerations

• Employers should establish a system to track the accrual and carryover of paid sick leave, ensuring compliance with the annual caps of 40 hours for small and 56 hours for larger employers.

• Employers should update their leave policies to include the broad definition of family members and the covered uses of paid sick leave, such as mental or physical illness, preventive care, and issues related to domestic violence, sexual assault, or stalking.

• Employers should train managers and HR personnel on the documentation requirements for paid sick leave, particularly for absences of four or more consecutive workdays, and ensure health and safety information confidentiality.

Source References

• Alaska Ballot Measure No. 1 
• Alaska Department of Labor and Workforce Development Website

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