Understanding leave policies is important for both employers and employees, especially when it comes to New Mexico Leave Laws and how they relate to Paid Time Off (PTO) and “Day Off” policies. These laws cover various types of leave, including PTO, sick leave, and maternity leave, with specific rules that can vary widely. This guide breaks down the key points of New Mexico’s leave laws, including vacation accrual, sick leave, and jury duty, making it easier for businesses to stay compliant and for employees to know their rights. Whether you’re setting up “Day Off” policies or just want to know what you’re entitled to, this guide has the essential information you need.
Paid Time Off (PTO) in New Mexico
Vacation Leave Quota
New Mexico leave laws does not mandate employers to provide vacation days. There is no legal requirement for private employers in New Mexico to offer paid or unpaid vacation leave. However, if an employer decides to provide vacation leave, they must adhere to relevant state laws, established company policies, and the terms of employment contracts.
Rechnungsabgrenzungsposten
Although not mandatory, the accrual system is commonly used by companies in New Mexico leave laws. Employers have the flexibility to design their own vacation accrual system, which could be structured in weekly, semi-monthly, or monthly increments, often tied to the pay period. Semi-monthly and monthly pay periods are the most prevalent in the state. Employers may also implement a cap on the amount of vacation time an employee can earn.
Roll Over (Carry Over, Brought Forward)
Employers in New Mexico are permitted to adopt a “Use-It-or-Lose-It” policy, which requires employees to forfeit any unused vacation time after a certain date, such as the end of the year. Since state statutes do not specifically address this type of policy, employers have the discretion to enforce it.
Statutory Provisions Addressing Vacation Pay
There are no specific statutory provisions in New Mexico regarding vacation pay. Accrued and unused vacation time is not considered wages under state law, and employers are not legally required to provide vacation pay.
Payment of Accrued, Unused Vacation on Termination
State law does not require employers to pay out unused vacation time upon termination of employment. However, if an employer has a PTO policy that allows for the accrual of vacation or other PTO, any unused accrued amounts are considered earned wages and must be included in the employee’s final paycheck. The rules for final pay differ for employees who are terminated versus those who resign.
Payout
Employers are obligated to pay out accrued vacation time only if their PTO policy includes a provision for it.
Sick Leave in New Mexico
Federal Laws – Leave Quota
Federal law, under the Family and Medical Leave Act (FMLA), requires employers to provide 12 weeks of unpaid, job-protected leave. This applies to New Mexico, as it does in all states. Employees are eligible for FMLA benefits if they have worked for at least 12 months, have accumulated 1,250 hours in the previous year, and work at a location with at least 50 employees within a 75-mile radius. FMLA allows eligible employees to take up to 12 weeks off for personal medical reasons, to care for a close family member with a serious illness, or for maternity or paternity leave.
Payout
FMLA leave is unpaid.
New Mexico Paid Sick Law
Effective July 1, 2022, New Mexico’s paid sick leave law requires all employers to provide their employees with 1 hour of earned paid sick leave for every 30 hours worked. This applies to all types of employees, including part-time, seasonal, and temporary workers. Employers may choose to frontload the leave on January 1 each year and may cap annual sick leave accrual at 64 hours. Accrued but unused paid sick leave can be carried over to the next year. Employees may begin accruing and using paid sick leave immediately upon hire.
Payout
Employers are not required to pay out unused sick leave when employment ends.
Bernalillo County, New Mexico
In Bernalillo County, employers with two or more employees must provide 1 hour of paid leave for every 32 hours worked, up to 56 hours within three years. This leave can be used for any purpose, making Bernalillo County one of the few places with such a law, alongside Nevada and Maine.
Maternity, Paternity, FMLA in New Mexico
Federal Law
The FMLA provides up to 12 weeks of unpaid maternity or paternity leave, with job protection. Additional protection is offered under the Pregnancy Discrimination Act (PDA), which prohibits discrimination based on pregnancy in all aspects of employment, including hiring, firing, pay, and benefits.
Additional State Laws in New Mexico
The New Mexico Human Rights Act requires employers with four or more employees to protect against discrimination related to pregnancy, childbirth, or related medical conditions. Pregnancy and childbirth must be treated as any other temporary disability for employment purposes, including the provision of fringe benefits.
Payout
Maternity leave in New Mexico is unpaid.
Bereavement Leave in New Mexico (Funeral Leave)
Employers in New Mexico are not required by law to provide paid or unpaid bereavement leave. However, many employers do offer at least two days of bereavement leave. If an employer chooses to provide bereavement leave, they must adhere to their established policy or practice.
Payout
Bereavement leave is generally unpaid.
Jury Duty Leave in New Mexico
Employers must provide employees with unpaid, job-protected leave to serve on a jury or attend jury selection. Employees may be required to provide their employer with reasonable notice of their jury summons. Employers cannot force employees to use their annual leave, vacation, or sick leave for jury duty, nor can they penalize employees for serving on a jury.
Payout
Employers are not required to pay employees for jury duty leave. Jurors in New Mexico receive $7.50 per day from the court.
Military Leave in New Mexico
Federal Law
The Uniformed Services Employment and Reemployment Rights Act (USERRA) applies to all employers in the U.S., including those in New Mexico. USERRA provides job protection and reinstatement rights to employees called to active duty, and it ensures that they can continue group health benefits for up to 24 months during their leave. Employees are entitled to up to five years of unpaid leave for military service, with certain exceptions.
New Mexico State Law
In addition to USERRA, New Mexico law requires that service members be reinstated to their former job (or an equivalent position) after military service, provided they apply for reinstatement within 90 days of discharge. They retain their seniority and benefits and cannot be terminated without cause within one year of reemployment. Employers cannot discriminate against or penalize employees for their military service.
Payout
Military leave is unpaid.
Voting Leave in New Mexico
Employers in New Mexico must provide up to two hours of paid time off for voting, but only if the employee does not have sufficient non-working hours to vote. Employers can designate the time when this leave can be taken, and employees cannot be penalized for taking time off to vote.
Payout
Voting leave is paid by the employer.
New Mexico State Holidays in 2024
New Mexico leave laws does not require private employers to provide paid or unpaid holiday leave. While private employers are not obligated to grant holiday leave, most do offer paid holidays to their employees. New Mexico officially observes 11 state holidays.