New Jersey Assembly Bill A795

New Jersey 2024-2025 Regular Session

• Introduced: 1/9/24
• Refer: 1/9/24

Caption

Restricts use of accumulated sick leave by public employees in year prior to retirement.

Impact

The bill mandates that state agencies and political subdivisions adopt rules to ensure verification of medical necessity, allowing employers to require employees to undergo examinations by physicians chosen by the employer. Violations of these provisions would result in substantial penalties, including fines equal to three days' compensation for each day of violation and the deduction of improperly used sick leave from retirement benefits. This alteration aims to curb misuse of sick leave and preserve the integrity of sick leave systems within public organizations.

Summary

Assembly Bill A795 proposes significant changes to the use of accumulated sick leave by public employees in New Jersey as they approach retirement. Specifically, the bill prohibits the use of six or more consecutive days of sick leave within the year leading up to retirement unless there is verified medical necessity. This aims to address the practice known as 'terminal leave,' where employees would exhaust their sick leave days right before retiring, potentially leading to abuse of this benefit.

Contention

While proponents argue that A795 will help eliminate potential abuses of the sick leave system, critics may raise concerns about the stringent measures imposed on employees, potentially affecting their rights and benefits as they near retirement. They may argue that the requirement for medical verification could create additional burdens on employees who are genuinely unwell. Furthermore, this change could ignite discussions regarding labor rights and working conditions for public sector employees within New Jersey.