Paid sick leave is mandated by statute or ordinance in many jurisdictions, with requirements that differ in nearly every detail.
Accrual. Commonly one hour per a stated number of hours worked, with annual accrual and use caps, or front-loading the full annual amount at the start of the year, which simplifies administration.
Carryover. Required in most accrual schemes up to a cap; front-loading usually permits a carryover waiver.
Qualifying uses. The employee’s own illness, care for a family member with a broad definition, public health closures, and safe leave for domestic violence, sexual assault and stalking including court and relocation time.
Increments. Small minimum increments — often an hour or less — which conflicts with payroll systems built for half-day units.
Documentation. Generally prohibited for absences under a stated number of consecutive days, and limited to reasonable documentation thereafter.
Notice and posting. Required notice at hire, on pay statements in some jurisdictions, and workplace posters.
Retaliation prohibited, with presumptions favouring the employee for adverse actions within a defined period.
Unlimited PTO policies do not automatically comply, because the statutes require accrual tracking, carryover and specified uses. A separate compliant bank is often simpler than reconciling the two.