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NJ's Highest Court Rules Sick-Leave Payout Caps Legal

Thursday, May 03, 2012

The New Jersey State Supreme Court ruled that it is legal for the state to cap payouts for unused sick time for top school administrators.

The court unanimously overturned a lower court ruling on Thursday.

At issue was the constitutionality of a law and regulations restricting the payment for newly accumulated sick time for school administrators at $15,000.

The law was passed in 2007 after a state report found that some school superintendents received exorbitant benefits. The Christie has also since capped the salary of superintendents.

The ruling does not address the issue of the salary cap, but it did say that a state agency can legally review details of the contracts of the administrators.

With the Associated Press

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