Economic News

Yes. However, the CBA requirements for accrual and use of paid sick leave must be consistent with the Act and meet the mandatory minimum requirements for accrual and usage. A CBA can grant more generous benefits than required by the Act. CBA provisions that are inconsistent with HWA will not be enforced by LRD and may not operate as a defense to a complaint brought under the HWA.

No. Employee rights under the Act are non-waivable.

No. Employees start accruing paid sick leave under the Act when their employment begins or July 1, 2022, whichever is later.

Any out-of-state employer with employees performing work within the geographical boundaries of New Mexico, other than tribal land, will be evaluated on a case-by-case basis as to whether they have sufficient “minimum contacts” with our state to subject them to the requirements of the HWA.  This will be determined once a PSL complaint is filed. The more business activity an out-of-state employer has going on in New Mexico, the more likely it is that it will be subject to the Act.  For this reason, employers near the border or with frequent business dealings in our state may want to ensure they are compliant with the HWA.

If an employer allows accrual of more earned sick leave than the minimum required by the Act but still characterizes it as paid sick leave accrued or earned pursuant to the Act, then the Act’s rules and requirements will apply. 

Possibly. PTO is only equated with earned sick leave under the Act if it is earned on the same basis, can be used under the same conditions, and is subject to the same notice and other requirements as those specified by the Act. Otherwise, the earned sick leave required by the Act is in addition to any other paid time off or other leave that an employer may grant.

Yes. Hours worked in excess of 40 hours per seven-day work week accrue sick leave at the same rate as regular hours: one hour of earned sick leave per 30 hours of work.

Employees must start accruing paid sick leave on July 1, 2022. For every thirty (30) hours an employee works, the employee must accrue one (1) hour of sick leave. Employers may not offset this requirement with leave employees already earned or used since January 1, 2022. If an employer’s policy or a collective bargaining agreement provides that employees accrue more than one hour per every 30 worked, then use that amount. Employers who want to frontload to comply with the HWA for the rest of 2022 must frontload the full 64 hours, even though there will only be 6 months in the cycle for employers who choose to follow the calendar year.