Sick Leave Policy: How It Works and What to Include
Updated May 31, 2026
A sick leave policy sets out how employees take time off when they're ill. Some regions legally mandate paid sick leave, so getting the policy right matters for both fairness and compliance. Here's what to include.
Paid vs. unpaid, and legal minimums
Sick leave can be paid or unpaid. A growing number of US states and cities require a minimum amount of paid sick leave, often accrued at a rate like one hour per 30 hours worked. Check your local law before setting an amount.
Even where it isn't mandated, offering paid sick time discourages people from working while contagious and improves retention.
Should sick leave be separate from PTO?
Combining sick time into a single PTO pool is simple, but it can blur legal sick-leave minimums and nudge people to come in sick to save vacation. Tracking sick leave separately keeps compliance clear and usage visible.
Notice, documentation, and accrual
Decide how employees report sickness (and any notice for foreseeable appointments), whether a doctor's note is required after a number of days, and how sick leave is earned — accrued or granted.
Keep documentation requirements reasonable and lawful; overly strict rules can backfire and may conflict with local regulations.
Orvella tracks sick leave as its own leave type with its own accrual and rules, separate from vacation — so compliance and reporting stay clean.
Frequently asked questions
Is sick leave the same as PTO?
Not necessarily. Some employers fold sick time into a single PTO pool; others track it separately. Separate sick leave is often clearer for meeting legal paid-sick-time minimums.
How much sick leave should a company offer?
It depends on local law and norms; many mandated schemes accrue around one hour per 30 hours worked. Check your state or city requirements before setting a figure.
Can employers require a doctor's note?
Often yes, typically after a set number of consecutive sick days, but the rules must be reasonable and comply with local law.