Paid Sick Leave Mandate and Its Impact on Labor Dynamics in California

The implementation of the Paid Sick Leave (PSL) Mandate in several cities and states since 2006 has enhanced workers health and productivity. This research paper evaluates the impact of PSL mandates on the weekly working hours of full-time workers in California State, using the traditional Difference-in-Difference model and Current Population Survey (CPS) data. It is found by the analysis that a notable rise in full-time employees working hours in California was experienced after the publication of PSL in 2015, contrasting with the steadily decreasing patterns in Texas. The positive impacts are confirmed by regression models. The findings depict that the PSL mandate may reduce full-time employees working hours at first glance, but its positive externalities could offset that negative impact. This study contributes a unique insight into the influence on a certain sort of workers those working full-time, instead of the labor force as a whole, and provides valuable suggestions to policymakers, employers, and workers considering the policy in a full picture.