New Jersey Assembly Bill A2460

New Jersey 2022-2023 Regular Session

• Introduced: 2/14/22
• Refer: 2/14/22

Caption

Eliminates payments for unused sick leave earned after effective date; limits carry forward of unused vacation leave; requires suspension and forfeiture of certain payments; limits use of unused sick leave in year before retirement.

Impact

The bill imposes restrictions on the carry-forward of vacation leave that is not taken within a given year. Furthermore, if a public officer or employee is indicted for certain crimes related to their employment, the bill mandates that their supplemental compensation will be suspended, and any payments will be forfeited upon conviction. These measures seek to enhance accountability and mitigate financial risks associated with potential criminal activities by public employees. The law will come into effect two months after it is enacted.

Summary

Assembly Bill A2460 seeks to regulate the compensation entitlements of public employees in New Jersey regarding unused sick and vacation leave. Specifically, the bill prohibits payment for accumulated unused sick leave which is earned after the effective date of the bill. This change aims to reduce fiscal liabilities for the State, local governments, and educational boards by limiting the financial impact of unused sick leave claims by public employees upon their retirement. Compensation for any sick leave accrued prior to the effective date will still be honored under current laws.

Contention

Concerns have been raised regarding the impact of these restrictions on public employees, particularly those approaching retirement. Critics argue that the prohibition of payment for sick leave earned after the bill's effective date could lead to financial hardship for future retirees who rely on these accrued benefits. Furthermore, the stipulation regarding the use of sick leave in the year before retirement—such as prohibiting more than six consecutive days without medical verification—could also be viewed as overly restrictive, impacting employees' rights to use their entitled leave during a critical period.

Final_notice

Overall, AB A2460 represents a significant reformation of public employee benefits in New Jersey, designed to reduce financial liabilities for public employers while establishing stricter conditions under which accumulated benefits may be accessed.