This bill amends New Jersey law to permit political subdivisions, along with their agencies, authorities, or instrumentalities, to purchase accumulated unused sick leave from officers or employees under specific conditions. The purchase price will be based on the employee's pensionable compensation at the time of purchase, capped at 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 transaction. The purchase of sick leave is discretionary and not subject to collective negotiation, allowing political subdivisions to decide whether to engage in such purchases.

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 such purchases occur only under appropriate circumstances, rather than as a preemptive action before layoffs or retirements. The bill will take effect immediately upon passage, maintaining the existing cap of $15,000 on supplemental compensation for accumulated unused sick leave at retirement for those not covered by previous collective negotiations agreements.

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