Legal Take on The Maryland Healthy Working Families Act

The Maryland Healthy Working Families Act, which took effect on February 11, 2018, requires employers with 15 or more employees provide their employees with 1 hour of paid sick and safe leave for every 30 hours worked. The Act also requires that employers with 14 or fewer employees provide their employees with unpaid sick and safe leave accruing at the same rate. Employees are entitled to carry over up to 40 hours (5 days) of accrued but unused leave in a given year, unless the employer awards the employee the full amount of earned sick and safe leave at the beginning of the year.

Sick and safe leave may be used by an employee:

  • To care for or treat the employee’s mental or physical illness, injury or condition;
  • To obtain preventive medical care for the employee or employee’s family member;
  • To care for a family member with a mental or physical illness, injury or condition;
  • For maternity or paternity leave; or
  • For absences due to domestic violence, sexual assault or stalking committed against the employee or the employee’s family member.

Employers must provide notice to their employees that they are entitled to sick and safe leave under the Act. One way to do this is to include the notice in an Employee Handbook. In addition, employers must provide notice to each employee of how much leave such employee has available when wages are paid.

Penalties for failure to comply with the Act include the full monetary value of unpaid earned sick and safe leave, any actual economic damages, up to 3 times the value of the employee’s hourly wage, and a civil penalty of up to $1,000.00 for each employee for whom the employer is not in compliance with the Act.

Employers may offer alternative paid leave policies which permit an employee to accrue and use leave under terms and conditions that are at least equivalent to the minimum requirements of the Act. Many employers choose to offer a flexible paid leave policy which combines sick and vacation leave (e.g. PTO). This type of flexible policy can be structured to satisfy the minimum requirements of the Act.

It is important to recognize that the Act does not preempt Montgomery County’s existing Earned Sick and Safe Leave Law. Montgomery County’s Law and the Maryland Healthy Working Families Act differ in several respects, including the treatment of employers with 5-14 employees. However, the Act does preempt Prince George’s County’s earned sick and safe leave law, Bill Number CB-87-2017.

We recommend that employers take immediate action to review their employment policies, and modify existing leave policies as necessary to comply with the Act, or develop new policies which satisfy the leave requirements under the Act, including requirements concerning notice to employees.

This article was written by Jordan G. Savitz, Attorney at Law at the law firm of Stein Sperling Bennett De Jong Driscoll PC. Mr. Savitz’s contact information is:

25 West Middle Lane · Rockville, MD 20850
301-838-3256 direct · 301-340-2020 main · 301-354-8156 direct fax
jsavitz@steinsperling.com
www.steinsperling.com
admitted in MD, DC, VA

5 Key Takeaways from the Maryland Healthy Working Families Act Facebook Live Stream

Great news! MSATP has launched our Facebook Live stream and the first installment is a must-see!

Our inaugural video featured consummate professional and former MSTAP President and CPR Committee Chair, Phyllis Burlage. Phyllis drew on her years of industry experience and thorough research to provide an insightful analysis of the newly-implemented Maryland Healthy Working Families Act. Here’s a quick and handy recap of 5 takeaways from Phyllis’ breakdown of the new legislation:

1. DOES THE ACT APPLY TO ME?

The Maryland Healthy Working Families Act applies to all employers regardless of number of employees, size or industry. This means employers must start maintaining Sick and Safe Leave accrual records as of the effective date of the bill and retain them for 3 years.

2. WHAT DOES THE ACT REQUIRE?

Every employer must have a policy that explains how the Sick and Safe Leave may be awarded and used. Employers have two options:

  • Award all 40 hours at the beginning of the year; OR
  • Employees may accrue 1 hour of leave for every 30 hours worked. Employees can only earn a maximum of 40 hours of leave per year, but any unused hours can be carried over to the next year. Employees may only accrue 64 leave hours at a given time.

The employer is required to provide each employee with a statement of used and available paid and unpaid leave with each pay period. The DLLR has provided Model Policies to help employers develop their own plan, check them out HERE.

3. WHICH EMPLOYEES DO I COUNT?

Employers whose main work location is in Maryland are required to cover employees whose primary work location is in Maryland, even if they are not state residents. If an employer has more than 14 employees, the leave must be paid. If an employer has less than 15 employees, the leave must be unpaid. The total number of employees is based on the previous year’s monthly average and encompasses all Full, Part-time, Temporary and Seasonal workers.

4. ARE THERE ANY EXEMPTIONS?

Although ALL employees count towards the monthly average, the following are exempt from coverage:

  • Employees who regularly work less than 12 hours per week;
  • Certain independent contractors;
  • Certain associate real estate brokers and salespersons;
  • Individuals younger than 18 before the beginning of the year;
  • Agricultural sector employees in certain agricultural operations as defined in §5-403 of the Courts and Judicial Proceedings Article of the Maryland Annotated Code;
  • Certain construction workers covered by a collective bargaining agreement;
  • Certain employees working on an as-needed basis in a health or human service industry; and,
  • Certain employees of a temporary services agency.

5. WHAT CAN EMPLOYEES USE THEIR LEAVE FOR?

Permissible uses for the leave include:

  • To care for or treat the employee’s mental or physical illness, injury or condition;
  • To obtain preventative medical care for the employee or the employee’s family member;
  • To care for a family member with a mental or physical illness, injury or condition;
  • For maternity or paternity leave; or
  • For an absence due to domestic violence, sexual assault, or stalking committed against the employee or the employee’s family member under certain circumstances.

Be sure to stay tuned for this week’s MSATP Facebook Live stream on Thursday, April 5th at 9 AM as we discuss HSA Legislation and the future of the program! Not a member of our private MSATP Members Facebook Group yet? Click HERE to join!