California Updates Wage Theft Notice to Reflect Expanded Paid Sick Leave

What Changed

As a direct result of SB 616's expansion of California's paid sick leave provisions, the state's Wage Theft Prevention Act notice (also known as the Notice to Employee or DLSE form) must be updated to reflect the new paid sick leave entitlements. Specifically, the notice must now reflect:

• 40 hours (5 days) of paid sick leave available for employee use per year (up from 24 hours/3 days)

• 80 hours (10 days) maximum accrual (up from 48 hours/6 days)

• Updated carryover provisions under the new law

Employers are required to provide this updated notice to all non-exempt employees.

Who Is Affected

All California employers with non-exempt employees. The Wage Theft Prevention Act requires employers to provide written notice at the time of hire containing specific information about wages, pay periods, and benefits — including paid sick leave. The updated notice must also be provided to existing employees when the paid sick leave terms change.

Where It Applies

California statewide.

When It Takes Effect

January 1, 2024. Employers should distribute updated notices to existing employees and ensure new hires receive the corrected form from this date forward.

Why It Matters

The Wage Theft Prevention Act notice is a foundational compliance document in California. Failure to provide accurate information can result in penalties under Labor Code Section 226.6 of $100 per employee per pay period for the initial violation and $200 per employee per pay period for subsequent violations, plus potential penalties under Section 226 for inaccurate wage statements.

This is a reminder that when substantive employment law changes take effect, related notice and disclosure requirements often change in tandem.

The Humareso Take

If you already updated your sick leave policy for SB 616, do not forget this companion requirement. The wage theft notice is one of those documents that sits in a new-hire packet and gets forgotten until an audit or a lawsuit surfaces it. Make sure your 2024 version reflects the new sick leave numbers, and distribute the updated version to your existing California workforce. It is a 10-minute fix that avoids a per-employee, per-pay-period penalty.

Recommended Action Steps

1. Obtain the updated DLSE Notice to Employee form from the California Division of Labor Standards Enforcement website.

2. Distribute the updated notice to all existing non-exempt California employees reflecting the new paid sick leave entitlements.

3. Update your new-hire onboarding packet to include the revised notice for all employees hired on or after January 1, 2024.

4. Verify that your wage statements (pay stubs) accurately reflect the new paid sick leave accrual and usage balances.

5. Contact your Humareso representative for assistance updating your California wage theft notice and related onboarding documents.