Connecticut’s Paid Sick Leave Law: Key Changes and Implementation Guide

Connecticut is expanding its paid sick leave requirements, implementing a phased approach that will significantly broaden coverage across businesses of all sizes. This expansion builds upon the state’s existing paid sick leave framework while introducing new compliance obligations for employers.

Phased Implementation Schedule
The law introduces a tiered rollout based on employer size:

  • January 1, 2025: Businesses with 25 or more employees (full-time and part-time)
  • January 1, 2026: Businesses with 11 or more employees
  • January 1, 2027: All businesses with one or more employees

Accrual and Usage Guidelines
Under the law, employees earn one hour of paid sick leave for every 30 hours worked, with an annual accrual cap of 40 hours. New employees become eligible to use their accrued sick time after 120 calendar days of employment. While unused sick leave may carry over to the following year, the usage remains capped at 40 hours annually regardless of total accrual.

Compensation Requirements
Employers must compensate employees taking sick leave at the greater of:

  • Their normal hourly wage
  • The state minimum fair wage rate under CGS §31-58

For employees with variable hourly wages, compensation is calculated using their average hourly wage from the previous pay period.

Permissible Use
Employees may use sick leave for:

  • Personal illness or injury
  • Care of family members, including children, parents, spouses, and other close relatives
  • Healthcare provider appointments
  • Mental health care

Employee Rights and Employer Obligations
The law maintains strong employee protections, including:

  • No advance notice requirement for taking leave
  • No requirement to provide documentation for leave usage
  • Protection against retaliation for using sick leave

Employer Responsibilities and Compliance
Proper recordkeeping is crucial for compliance. Employers must:

  • Maintain accurate records of employee sick leave accrual and usage
  • Implement robust payroll tracking systems
  • Review and update existing time-off policies to ensure compliance
  • Establish departmental cost-tracking mechanisms

Business Impact and Planning
Business owners and managers should:

  • Assess the financial impact of the expanded coverage
  • Review and potentially revise current time-off policies
  • Implement or upgrade payroll systems to ensure accurate tracking
  • Develop compliance procedures before their respective effective dates

Exceptions
The law includes specific exemptions for certain workers, including:

  • Seasonal employees
  • Select construction trades
  • Other specifically designated categories

This expanded law represents a significant change in Connecticut’s employment landscape, requiring careful attention to compliance and implementation strategies from businesses of all sizes.

Navigating these new requirements can be complex, particularly for businesses implementing paid sick leave policies for the first time. For assistance in understanding your obligations, implementing proper tracking systems, or reviewing your existing policies, reach out to Adam Canosa or another Grassi advisor.


Adam A. Canosa Adam Canosa, CPA, MBA, is a Principal in the Construction Practice at Grassi. With nearly 20 years of experience managing and directing the financial aspects of businesses, Adam brings a wealth of knowledge in construction, real estate, manufacturing, and facility management to the firm. Adam’s expertise lies in financial analysis and operations, where he excels at developing systems and processes to integrate budgeting, financial... Read full bio