Alaska Paid Sick Leave Isn’t a Choice—It’s a Requirement

Paid sick leave gives employees the comfort of knowing they receive their regular wages when they’re out sick. Federal law doesn’t require that employers provide paid sick leave, but several states—including Alaska—do. Do you know the Alaska paid sick leave requirements?

Alaska’s paid sick leave requirement takes effect on July 1, 2025, thanks to voters approving Ballot Measure 1. Read on to learn the specifics of the paid sick leave law and what you need to do to comply. 

What does Alaska paid sick leave require?

Alaska paid sick leave requires that employers in the state provide employees with paid sick leave for injury, illness, and family care. 

The requirement takes effect on July 1, 2025, and all employers are required to provide paid sick leave. 

Alaska paid sick leave is part of Ballot Measure 1, a voter initiative. In the November 5, 2024 election, the majority of Alaskans voted in favor of Ballot Measure 1, which:

  1. Increases the state minimum wage
  2. Establishes Alaska paid sick leave
  3. Prohibits employers from holding mandatory meetings to share political or religious opinions. 

How many sick days do you need to provide?

The Alaska paid sick leave accrual rate is one hour per 30 hours worked. That means your employees earn one hour of paid sick leave every time they work 30 hours. 

This accrual rate ratio (one hour per 30 hours worked) applies regardless of whether the employee works regular or overtime hours, hours at different rates, or hours across multiple pay periods. 

However, salary employees exempt from overtime are only required to be credited up to 40 hours of work per leave for the accrual ratio. This means that the accrual ratio would only apply to the first 40 hours that a salary-exempt employee works in a workweek (even if they work 45 hours). 

There is a limit to the number of hours an employee can accrue and use per year. The limit depends on how many employees you have:

Number of Employees You HaveSick Leave Accrual and Usage Rate Per Year
Fewer than 15 employeesUp to 40 hours 
15 or more employeesUp to 56 hours

Can employees roll over or cash out unused sick leave?

Yes, employees can carry a sick leave balance from one year into the next. Their sick leave balance can exceed the accrual and usage rate limit. 

You can let employees cash out accrued time off at the end of the year, but you cannot mandate it. Employees must be able to carry over unused sick leave.

You do not need to pay out accrued sick leave if an employee leaves. However, you must reinstate their previously held sick leave balance if you rehire them within six months of ending employment. 

What can employees use sick leave for in Alaska?

Employees in Alaska can use paid sick leave for the following reasons:

  • Injury
  • Illness
  • Care for a family member
  • Receive care or legal help related to domestic violence, sexual assault, or stalking 

What if you already offer PTO?

Do you already have a paid time off (PTO) policy that gives employees days to use for sick time, vacation, etc.? 

You do not need to offer additional paid sick leave as long as your current program meets the minimum requirements of the Alaska paid sick leave law. 

Which employees are exempt from receiving paid sick leave?

The paid sick leave requirements apply to both full-time and part-time employees. But there are exceptions. 

Exempt employees include:

  • Minors under 18 years of age who work less than 30 hours per week
  • Agriculture employees
  • Aquaculture employees
  • Domestic service employees
  • Federal and state employees 
  • Other employees exempt from minimum wage and overtime under AS 23.10.055

For a full list of exemptions, check out Alaska’s Ballot Measure 1 FAQ page

What do employers need to do?

To comply with Ballot Measure 1, be sure to:

  • Let employees know about the paid sick leave
  • Update your payroll and set accrual limits so you can track earned and used sick leave
  • Let employees take paid sick leave for qualifying reasons
    • Do not deny usage, penalize for using sick leave, or require them to arrange coverage).

Don’t break the law! Do not deny usage, penalize employees for using sick leave, require them to arrange coverage, or require proof of illness*. 

*If the employee is out for more than three consecutive workdays, you can ask for a signed note from a healthcare professional. Do not ask the employee for details. 

Streamline your responsibilities with Patriot Payroll®

Providing paid sick leave may add another layer of complexity to your payroll process. Consider using reliable payroll software to streamline your responsibilities. 

With Patriot’s online payroll, you can:

  1. Set up accrual rules to automatically accrue sick leave for employees
  2. Track each employee’s paid sick leave balances
  3. Give employees an easy way to track their paid sick leave balances
  4. Pay employees for paid sick leave

Want to see what Patriot Software can do for your business? Get your free trial of our award-winning payroll here!

This is not intended as legal advice; for more information, please click here.

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