This bill amends New Jersey law to permit political subdivisions, along with their agencies and instrumentalities, to purchase accumulated unused sick leave from officers or employees under specific conditions. The purchase price will be determined based on the employee's pensionable compensation at the time of the transaction, with a maximum payment of 60% of that value. Additionally, the bill limits the purchase to a maximum of 120 hours of sick leave per year and requires that employees retain at least 800 hours of accumulated sick leave after the purchase. The bill also clarifies that such purchases are discretionary and not subject to collective negotiation, allowing political subdivisions to decide independently whether to engage in these transactions.

Moreover, the bill introduces a prohibition against local units adopting ordinances for special emergency appropriations aimed at purchasing accumulated unused sick leave prior to an employee's layoff or retirement. This amendment is designed to ensure that sick leave purchases occur only under appropriate circumstances, rather than as a preemptive action before layoffs. The bill is set to take effect immediately upon passage, providing more flexibility for political subdivisions while safeguarding employees' sick leave entitlements.

Statutes affected:
Introduced: 11A:6-19.1, 11A:6-19.2, 40A:9-10.2, 40A:9-10.4