1. Purpose and Scope
This policy defines how employees earn, request, use, and manage paid sick leave at [Organisation Name]. It applies to [Covered Groups, e.g., all full-time, part-time, and temporary employees].
If local, state, or federal laws mandate higher accrual rates, broader usage criteria, or better terms, those statutory requirements take precedence for employees working in those jurisdictions.
Working through related paperwork at the same time? See also our Annual Leave Policy Template, FMLA & Family Leave Policy Template and Maternity Leave Confirmation Letter Template.
2. Accrual and Granting of Sick Time
[Organisation Name] provides paid sick leave using one of these two structures:
- Accrual Method: Employees accrue [Number] hour(s) of paid sick leave for every [Number] hours worked, starting on [Start Date / First Day of Employment], up to a maximum of [Number] hours per year.
- Up-Front Grant Method: Employees receive [Number] hours of paid sick leave at the start of each [Calendar Year / Benefit Year] for immediate use. New hires starting mid-year receive a prorated grant calculated via [Proration Method].
Additional terms governing sick leave:
- Pay Rate: Sick leave pays out at [Regular Rate of Pay / Calculated Rate Method].
- Balance Tracking: Employees can view their available sick leave balance in [Payroll System / Pay Stubs].
3. Permitted Uses
Employees may use paid sick leave for:
- Personal illness, injury, health condition, medical diagnosis, treatment, recovery, or preventive medical, dental, or vision care.
- Caring for a family member who needs medical diagnosis, treatment, recovery, or preventive care. Family members include [Spouse, Domestic Partner, Child, Parent, Sibling, Grandparent, Grandchild, Household Member].
- Safe time absences associated with domestic violence, sexual assault, or stalking affecting the employee or a covered family member (including medical care, counseling, relocation, or legal proceedings).
- Workplace closures, or school and care facility closures for an employee’s child, ordered by a public official during a public health emergency.
Paid sick leave applies strictly to the scenarios listed above and cannot be used as vacation time.
4. Request and Usage Procedure
Employees taking sick leave must follow these steps:
- Unplanned absences: Notify [Role / Manager] via [Communication Channel / System] as early as possible before the shift starts.
- Planned absences: Submit a leave request in advance through [System] for scheduled appointments or treatments. Schedule time off to minimize operational disruption whenever possible.
- Use sick leave in minimum increments of [Number] hour(s).
- Absences exceeding [Number] consecutive workdays: Submit [Acceptable Documentation, e.g., Medical Provider Confirmation] to [Role]. Documentation must confirm the need for leave without detailing specific medical diagnoses.
- Log the absence in [System] upon returning to work, or confirm that [Role / Manager] recorded the entry.
5. Carryover, Caps, and Separation
- Carryover: Unused accrued sick leave rolls over into the next benefit year, up to a maximum of [Number] hours.
- Maximum Caps: Total annual accrual caps at [Number] hours. Total annual sick leave usage caps at [Number] hours.
- Separation of Employment: Unused paid sick leave balances are [Paid Out / Forfeited] upon separation. Where local law requires, unused balances will be reinstated if the employee is rehired within [Number] months.
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6. Compliance and Local Mandates
[Organisation Name] complies with all applicable local, state, and national paid sick leave laws.
- [Role] maintains a compliance register for all active work locations, including remote employee home addresses, detailing local accrual rates, caps, and mandatory employee notices.
- [Role] reviews and updates policy parameters and system setups [Annually / Upon Statutory Changes] to match updated statutory requirements.
7. Anti-Retaliation
[Organisation Name] strictly prohibits retaliation against any employee for requesting or using protected paid sick leave. Protected sick leave absences do not count as occurrences under the [Attendance Policy] and will not influence decisions regarding discipline, performance reviews, or shift scheduling.
Report any suspected retaliation immediately to [Role] or through [Complaint System / Procedure]. Management investigates all reports promptly.
8. Interaction with Other Leave and Benefits
- Vacation and PTO: Paid sick leave is maintained in a [Separate Benefit Bank / Combined PTO Bank].
- Extended Illness: If an absence runs past your available sick leave balance, you may qualify for unpaid job-protected leave under statutory programs, short-term disability, or company medical leave provisions. Contact [Role] to coordinate extended leave.
- Disability Accommodations: If an underlying health condition qualifies as a disability, employees may request additional leave or schedule adjustments as a reasonable accommodation through [Role].
- Work-Related Injuries: Absences caused by work-related injuries or illnesses follow applicable workers’ compensation procedures.
9. Records and Review
[Payroll System] tracks all sick leave accruals, usage, and balances, retaining these records for [Retention Period, e.g., 3 Years].
[Role] reviews this policy [Review Frequency, e.g., Annually] or immediately following updates to governing regulations.
- Policy Owner: [Role]
- Next Review Date: [Date]
FAQs on a paid sick leave policy
What is a paid sick leave policy?
A paid sick leave policy defines how employees earn, request, use, and manage paid sick leave at your organisation. It applies to.
Having it written down means the same rules apply to everyone, so managers are not making judgement calls case by case under pressure.
What does a paid sick leave policy include?
This template covers accrual and granting of sick time, permitted uses, request and usage procedure and carryover, caps, and separation.
Every section is written to be filled in. The bracketed placeholders mark the decisions that are yours to make, such as timescales, approval owners and retention periods.
How to implement a paid sick leave policy with Whale
Copy this template into Whale and work through the bracketed placeholders so it reflects how your organisation actually operates.
Assign it to the teams it applies to so it sits where people work rather than in a shared drive, and set a review date so it gets revisited on schedule instead of quietly going out of date.
Use our templates to fast-track your documentation
Customize this template and 100s of others for free in Whale, the fastest way to get your team aligned.