This report presents the results of a study of the financial implications for school boards of sick leave gratuities and resultant liabilities. Although the study focused specifically on the Canadian province of Ontario, much of the report may be of interest to school officials in other areas as well. Data for the study were gathered through questionnaires distributed to all Ontario school boards and through indepth study of the present gratuities programs of seven school boards. Cost data from the indepth studies were analyzed and extrapolated to calculate provincewide results. The final section of the report discusses the future of current sick leave gratuities plans in terms of benefit design, cost control and financing, and recommended objectives. (JG)