A. Living Wages. If the employer pays at least one dollar and fifty cents per hour per employee toward an employee medical benefits plan which allows employees to receive employer-compensated care from a licensed physician, the employer shall pay employees an hourly rate of not less than eleven dollars and seventy cents per hour. If the employer does not provide the employees with such medical benefits, the employer shall pay employees an hourly wage of not less than thirteen dollars and twenty cents. This provision does not require that the employer pay more than one dollar and fifty cents per hour or the entire cost per employee for such medical benefits plan or compensate the employee for the full cost of medical care.

B. Time Off. Employees shall be entitled to at least twenty-two days off per year for sick leave, vacation, or personal necessity. At least twelve of the required days off shall be compensated at the same rate as regular compensation for a normal working day. Ten of the required twenty-two days may be uncompensated days off. Employees who work part-time shall be entitled to accrue compensated days off in increments proportional to that accrued by full-time employees. Employees shall be eligible to use accrued days off after the first six months of satisfactory employment or consistent with employer policy, whichever is sooner. Paid holidays, consistent with established employer policy, may be counted toward provision of the required twelve compensated days off. Compensation for paid leave for part-time on-call employees, prorated as described hereinabove, shall be provided as a lump sum payment twice a year to employees who worked a minimum of five hundred twenty hours in the previous six months.

C. Additional Compensation Permissible. Nothing in this chapter shall be construed to limit an employer’s discretion to provide greater wages or time off to its employees.

D. The initial rates set forth in subsection (A) of this section shall increase annually on July 1st, in accordance with any increase due to a cost of living adjustment for city employees, equal to the average cost of living adjustment (excluding equity pay increases) for all city nonsafety, nonmanagement employees as of the date of the most recent adjustment of the pay of nonsafety, nonmanagement employees, but no more than the most recent December to December Consumer Price Index for San Francisco-Oakland-San Jose (CPI-U), published by the Bureau of Labor Statistics. The city council may review the impact of the COLA on an annual basis to assess any potential adverse impact and may modify or suspend adoption of a COLA otherwise allowed by this subsection.