On Tuesday, September 19, 2017, the Rhode Island General Assembly passed legislation (HB 5413B) requiring employers of 18 or more employees to provide paid sick leave to their employees. Governor Gina Raimondo is expected to sign the bill into law. (News release, Rhode Island General Assembly.)

Effective July 1, 2018, employers of 18 or more employees must provide up to three paid sick days. On January 1, 2019, the number of days of mandatory paid sick leave increases to four and again to five days effective January 1, 2020. Employers of less than 18 employees are required to allow the same number of unpaid sick days.

All employees must accrue a minimum of one hour of paid sick leave for every 35 hours worked up to a maximum of 24 hours in 2018; 32 hours in 2019; and 40 hours in 2020. Employers may choose to provide a higher annual limit in both accrual and use of paid sick leave. Paid sick leave will begin to accrue at the later of the commencement of employment or the bill's effective date of July 1, 2018. An employer may impose a 90-day waiting period for new employees, during which the employee will accrue earned sick time but will not be permitted to use the accrued time until after the waiting period is completed (greater periods of waiting apply to temporary and seasonal employees). Employers may choose to provide all paid sick leave expected to accrue to employees at the beginning of the calendar year.

Unused paid sick leave must be carried over to the following year, up to a maximum of 24 hours in calendar year 2018; 32 hours in calendar year 2019; and 40 hours in calendar year 2020. Alternatively, an employer may choose to pay an employee for unused paid sick leave at the end of the calendar year in lieu of carrying the unused time over to the next year.

Paid sick leave must be allowed for the use of the employee for his or her own personal illness or preventive care, or a family member's illness or preventive care. It must also be allowed for time off needed when the employee or an employee's family member is a victim of domestic violence, sexual assault or stalking.

Employers in violation of the paid sick leave law would be subject to the same penalties applicable to minimum wage violations, with fines ranging from $100 to $500 for every day the employer has been in violation.

Ernst & Young LLP insights

Rhode Island joins seven other states, the District of Columbia and several cities in requiring that employers provide paid sick days to their employees.

Rhode Island is also one of six states that currently requires paid family leave insurance that provides wage replacement for time off the employee needs to care of a family member. Rhode Island was the second, behind California, to require paid family leave insurance. In effect since 2014, Rhode Island's paid family leave insurance is included in the state disability insurance contribution that must deducted from employees' wages. (RI Gen L Section 28-41-35 (2013).)

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