Well I guess it was easy enough to test. After initiating a 5 minute sleep, I suspended the system for about 2 minutes. The answer?
Sleep is calculated using elapsed time of the process, not clock time.
date; sleep 300; date
Tue Jul 2 20:58:41 EDT 2019
Tue Jul 2 21:05:28 EDT 2019
This may have been predictable since man sleep(3) says:
> System activity may lengthen the sleep by an indeterminate amount.
Which kind of implies the amount of time is internal to the sleep process.