Governor Newsom signed Assembly Bill (AB) 152 yesterday, which extends COVID-19 Supplemental Paid Sick Leave (SPSL) through December 31, 2022. The new law also makes available grants to certain employers who pay out SPSL.

SPSL provides full-time employees with one bank of up to 40 hours of leave for a variety of COVID-19 related reasons, and a second bank of 40 hours if they test positive for COVID-19, or are caring for a covered family member who tests positive, and they produce proof of that positive test result. Part-time employees receive leave based on certain formulas. Before AB 152, employers could require submission to a diagnostic test on or after the fifth day an employee reports a positive COVID-19 test.

AB 152 permits additional testing if an employee continues to test positive on or after the fifth day.  AB 152 also provides that if an employee refuses to comply with the employer’s required diagnostic tests, the employee is not entitled to continued leave.

Notably, even though AB 152 extends the availability of SPSL to December 31, 2022, it does not provide any additional time to employees who have already used their SPSL entitlement.

AB 152 establishes the California Small Business and Nonprofit COVID-19 Relief Grant Program to assist qualified small businesses and nonprofits that pay out SPSL. The grant program expires on January 1, 2024. More information will be available here soon.