State Extends COVID-19 Sick Pay and Employer Relief to December 31 

On September 29, 2022, the Governor signed Assembly Bill 152 (AB 152) approving two significant COVID-19 workplace provisions, effective October 9 and retroactive to January 1, 2022.

First, AB 152 extends COVID-19 supplemental paid sick leave (SPSL) to December 31, 2022 for active business or non-profit employers of 26-49 employees, operating since before June 1, 2021 with a physical presence in California. AB 152 also addresses other conditions affecting eligibility.

AB 152 continues to December 31 the requirement to provide employees 40 hours of SPSL for certain reasons related to COVID-19, as well as an additional 40 hours following a positive test for the employee or a covered family member. Employers may also require testing after the fifth day from an initial positive COVID test.  See  also  Paid Covid Sick-Leave Expanded: California’s New Variant: Up to 80 Hours Paid Time Away (February 25, 2022).

If an employee refuses to be tested, the employer’s obligation to provide the SPSL is terminated.

Second, to provide some relief for employers of 26 to 49 employees, AB 152 creates a California Small Business and Nonprofit COVID-19 Supplemental Paid Sick Leave Relief Grant Program reimbursing up to $50,000 to employers who must pay this SPSL during 2022.  This grant money is not taxable in California.

Employers who wish to apply for the grants should watch for instructions from the Office of Small Business Advocate, or CalOSBA, which is located within the Governor’s Office of Business and Economic Development, or GO-Biz.

Take-Aways:  Covered employers must extend their COVID-19 SPSL to the end of this year, but may apply for grants to cover up to $50,000 of their cost for SPSL for the entirety of 2022.

For further information, please contact Tim Bowles, Cindy Bamforth or Helena Kobrin.

See also:

• Cautionary Tale Episode 47 — COVID-19 Required Benefits Take Two – El Super Grocery Store Citations Tripled (October 21, 2021)
• Cautionary Tale Episode 43 — COVID Sick Leave Not Optional – Grocery Store Chain Fined Heavily for Violations (August 20, 2021)
• Cautionary Tale Episode 40 – Big Stick Compliance Cal/OSHA Fines Numerous Businesses for COVID-19 Violations (March 4, 2021)

Helena Kobrin
October 7, 2022