Lorem ipsum dolor sit amet, consectetur adipiscing elit. Vivamus convallis sem tellus, vitae egestas felis vestibule ut.

Error message details.

Reuse Permissions

Request permission to republish or redistribute SHRM content and materials.

California Paid Time Off


[Company Name] provides a flexible bank of paid time off (PTO) to eligible employees to enable employees to meet both their work and personal needs. The company believes that PTO is valuable for employees not only to make their work experience with the company personally satisfying but also to enhance their productivity.


All regular [full-time] employees [who have successfully completed their introductory period] are eligible to participate in the company’s PTO program.


PTO may be used for any reason, including vacation, illness, medical appointments, family care and personal business. Up to one-half of the annual allotment of PTO may be used for an illness of the employee’s child, parent, spouse, registered domestic partner, registered domestic partner’s child, or other persons designated by local, state or federal laws. After completion of the introductory period, full-time employees accrue PTO based on their regularly scheduled workweek and continuous years of service and according to the following schedule:

Years of Service

Monthly Accrual

Annual Accrual

Maximum Accrual

Once an employee has reached his or her maximum PTO accrual, the employee will not become eligible to accrue any additional PTO until the employee’s PTO balance falls below the maximum accrual. In other words, employees with less than [enter first band of PTO accrual] years of service may not accrue more than [enter maximum accrual for that band] days of PTO. In addition, employees taking an unpaid leave of absence or who are on leave receiving disability payments do not accrue PTO while they are on leave.

PTO is provided to employees so that they are better able to perform their job duties. For this reason, the company requires employees to take PTO and does not permit employees to take pay in lieu of PTO, except where an employee has deferred his or her PTO at the company’s request. The company also reserves the right to direct employees to take PTO when business conditions make that necessary or appropriate.

Scheduling PTO

PTO must be scheduled and approved by the employee’s supervisor at least two weeks in advance. The company has the right to refuse an employee’s application for PTO if, at the company’s sole discretion, scheduling PTO at the time requested would be inconsistent with the smooth operation of the company’s business. The company pays all accrued but unused PTO when an employee leaves the company.

Unscheduled PTO

In some instances, it may not be possible for an employee to schedule PTO. Unscheduled PTO is only permitted in cases of medical emergencies or illness, or where otherwise legally required. Employees who need to take unscheduled PTO must comply with the following:

  1. Notify [their supervisors/human resources/other job title] as soon as possible. Employees must personally contact [their supervisors/human resources/other job title] as far in advance as possible, so that proper arrangements can be made to handle the employees’ work in their absence. Leaving a message with another employee does not satisfy this responsibility. Employees are also responsible for informing [their supervisors/human resources/other job title] of the anticipated date of their return to work.

  2. Provide daily updates. Employees who are using unscheduled PTO are responsible for personally contacting [their supervisors/human resources/other job title] each workday and providing updates on their anticipated dates of return.

  3. Supply medical certification. The company may require employees who are absent due to their own illnesses, or to care for an ill parent, child, spouse or domestic partner, to provide appropriate medical documentation from a health care provider. The company may also, in certain instances, require a second certification from another health care provider.

Employees’ failure to contact [their supervisors/human resources/other job title] or to provide appropriate medical certification when requested may result in denial of PTO benefits and discipline, including termination.

Leave under this policy may run concurrently with leave taken under other applicable policies as well as under local, state or federal law, including leave taken pursuant to the California Family Rights Act (CFRA) or the Family and Medical Leave Act (FMLA).

For more information regarding leave under this policy, contact [human resources/other job title].


​An organization run by AI is not a futuristic concept. Such technology is already a part of many workplaces and will continue to shape the labor market and HR. Here's how employers and employees can successfully manage generative AI and other AI-powered systems.