Rivaling Mother Nature’s winter fury, New York City unleashed a flurry of developments surrounding recent amendments to New York City’s Earned Safe and Sick Time Act (ESSTA). As a brief recap, amendments to the ESSTA took effect on February 22, 2026. Before the effective date, the New York City Department of Consumer and Worker Protection (DCWP) released updated Frequently Asked Questions (FAQs) providing guidance on new protections and requirements, a revised Notice of Employee Rights for distribution and posting, and proposed rules to implement the blizzard of changes. To learn more about the snowballing developments, review these highlights below:
Now Effective: ESSTA Amendments
As we reported HERE, the amendments:
- Expand qualifying reasons for leave;
- Establish a new 32-hour bank of immediately available unpaid leave;
- Require employers to provide 20 hours of paid prenatal leave during any 52-week calendar period; and
- Transfer obligations under the Temporary Schedule Change Act (TSCA) to the ESSTA.
What You Need to Know: Highlights of the DCWP’s FAQs
The updated FAQs provide guidance and clarification on several common questions, including the following:
- Does the ESSTA apply to remote employees? Yes, if the employee performs work while physically located in NYC, even if the employer is physically located outside of NYC. No, if the employee only performs work while physically located outside of NYC.
- When must employers provide the updated Notice of Employee Rights? Notice must be provided to employees upon hire and “when their rights change,” which—based on the statutory language—requires notice to existing employees within 30 days of the effective date of any changes to the ESSTA (i.e., by March 24, 2026). Employers also must post the notice in a workplace area that is visible and accessible to all employees.
- Do employers need to provide notice of their written protected time off policies? Yes, employers must distribute written protected time off policies upon hire and within 14 days of the effective date of any policy change. Employers may not distribute the Notice of Employee Rights in lieu of distributing or posting their written protected time off policies.
- Do employers that provide more than the minimum amount of paid protected time off have to provide the additional 32-hour bank of unpaid protected time off? It depends on how much additional paid protected time they provide. Employers may fulfill the 32-hour bank of unpaid protected time off if they provide at least 32 additional hours of immediately available paid protected time off.
- Can employers prorate the 32-hour bank of leave for employees hired partway through the calendar year? No, at least 32 hours must be immediately available on their first day of employment and on the first day of each calendar year.
- Can employers prorate the 20 hours of paid prenatal leave for employees hired partway through the calendar year? No, paid prenatal leave does not accrue. The 20 hours are immediately available upon hire with the 52-week period beginning on the first day of use.
- Are employers still required to provide the TSCA notice? No, the TSCA has been integrated into the ESSTA—separate notice is no longer required. Employers still must comply with notice requirements under the ESSTA.
On the Horizon: Proposed Rules on the ESSTA
As we reported HERE, the DCWP issued proposed rules that, if enacted, would:
- Require employers to include additional information in their written safe/sick leave policies regarding the 32-hour unpaid leave bank;
- Require employers to differentiatebetween paid and unpaid time off when providing the total balance of the employee’s available protected time off on pay statements; and
- Require employers to maintain pay-period records for each employee showing protected time off used and accrued (separately tracking paid and unpaid time), the total balance, protected time off available for use (distinguishing between paid and unpaid time), and if applicable, paid prenatal leave used and the remaining available balance.
Employer Takeaways
The ESSTA amendments are now effective and require immediate compliance. Employers may wish to consider the following steps:
- Post and provide the updated Notice of Employee Rights upon hire and to existing employees by March 24, 2026.
- Revise safe/sick time policies to add a 32-hour bank of protected time off.
- Ensure that all employees are provided with the 32-hour bank of immediately available protected time off, and as applicable, 20 hours of immediately available paid prenatal leave.
- Train appropriate personnel on requirements related to the 32-hour bank of protected time off and 20 hours of paid prenatal leave.
- Update payroll and recordkeeping systems to separately track paid and unpaid leave.
- Monitor for updates on the proposed rules.
If you have any questions related to the ESSTA amendments or proposed rules, or need assistance reviewing safe and sick time policies, please reach out to the NFC Attorney with whom you typically work or call us at 973.665.9100.