How do I pay sick leave under California’s paid sick leave law when an employee has more than one rate of pay?
Under California’s Healthy Workplaces, Healthy Families Act, an employer can pay sick leave at the employee’s “regular rate of pay” for that week, which is based on a weighted average of all rates the employee earned in that workweek. Employers can also calculate paid sick time for exempt employees in the same manner as wages are calculated for other forms of leave.
An employer also has the option of a 90-day “look back” calculation that requires dividing the employee’s total wages — not including overtime premium pay — by the employee’s total hours worked in the full pay periods of the prior 90 days of employment.
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