California Employee Benefits Law

Frank S. Clowney III

The benefits one receives as an employee are a significant part of overall job satisfaction, work-life balance, and financial stability. Many employers offer comprehensive benefits packages that often include benefits they are legally required to offer employees and benefits they can offer at their discretion. California employee benefits law encompasses both mandatory and voluntary benefits offered by employers.

Overview of Employee Benefits Law in California

California has some of the most extensive employee benefits laws in the country. These laws provide employees with several protections in their jobs so that when they need to care for themselves, care for others, or have another need that may impact work, they can properly do so without fear of retaliation or termination. California values employees and works diligently to protect them from employers who may take advantage of their rights.

Although there are federal laws in place such as the Affordable Care Act and the Family and Medical Leave Act, California has its own regulations that give employees in the state more protections. These regulations are standard throughout the state and employers must ensure their policies do not supersede these regulations for qualifying employees.

Mandatory Benefits Under California Law

There are several benefits employers are required to provide in California. These include:

  • Paid sick leave. Employers in California are required to give and allow all eligible employees to use a minimum of 40 hours or five days of paid sick leave each year. Employers may offer more sick leave at their discretion.
  • Family and medical leave. The California Family Rights Act (CFRA) requires all employers with at least five employees to provide up to 12 weeks of unpaid, job-protected leave for employees who must take time off for certain medical or family reasons.
  • Workers’ compensation. All employers in California with at least one employee are required to be covered under workers’ compensation insurance. This gives employees who are injured on the job the benefit of having their medical care covered and receiving disability pay.
  • Pregnancy Disability Leave. Employers with at least five employees must provide eligible pregnant employees with up to 4 months of unpaid, job protected PDL.

These are a few of the many benefits employers are required to offer their employees. There are many others as well and your company’s human resources department should have the entire list of benefits you are entitled to.

Voluntary Employee Benefits

Many benefits employers in California provide their employees with are not mandatory, and they provide them on their own accord. These optional benefits may include:

  • Health insurance. Although the federal government has a law requiring employers to offer their employees health insurance, the state of California does not. The federal law requires employers with at least 50 full-time employees to provide health insurance. Employers in California with fewer employees may or may not provide health insurance.
  • Vacation and paid time off. Employers have the option of offering their employees paid time off for vacations, holidays, or personal time but are not required to do so.
  • Retirement plans. Retirement savings options like pension plans or 401(k) plans are often offered by businesses.

Employer Compliance and Obligations

In California, employers have several obligations when it comes to complying with employee benefits laws. There can be severe penalties for failing to adhere to these regulations, including having claims brought against them. It’s important for employers to remain in compliance in these key areas and more:

  • Posting requirements. Employers are legally required to display certain posters around the workplace that provide information about employees’ rights to benefits.
  • Anti-retaliation protections. Employers are not allowed to retaliate against employees who exercise their right to workplace benefits, such as filing for workers’ compensation or taking medical leave.
  • Record keeping. Employers should ensure they have accurate records of all employees’ hours worked, sick leave accrued and used, and contributions to benefits like retirement plans.

It is of utmost importance that employers stay up to date on any legislative changes so that they remain in compliance with the law. Employees should also be aware of changes to ensure they are fully informed about their benefits and their rights.

FAQs

Can I File a Complaint for Unpaid Benefits, or If My Rights Are Violated?

If you believe your rights are being violated or you have not received all the benefits you are entitled to, you have the right to file a claim. You can do this through the California Department of Industrial Relations or by contacting a legal professional to assist you. It’s very important to collect any relevant evidence and documentation to support your claim.

How Does California’s Family Rights Act Differ From the Family and Medical Leave Act?

The California Family Rights Act is like the Family Medical Leave Act in many ways, but there are important differences. First, CFRA is more expansive than FMLA. It covers more employers, and its provisions have an expanded list of family members that includes grandparents, domestic partners, siblings, and grandchildren. A key difference to note is that CFRA, unlike FMLA, does not include leave for pregnancy-related conditions, as that is offered with PDL.

Do Employers in California Have to Offer Health Insurance?

Many employers in California absolutely have to offer health insurance under federal law, but not under state law. Because the federal law does not cover all employers, there are some who are not required to offer their employees’ health coverage. California has taken steps, however, to help small businesses and individuals access affordable health plans so that all workers may have necessary coverage.

How Many Hours a Week Do You Have to Work to Get Benefits in CA?

The amount of time you must work to get benefits in California generally depends on the benefits you want to obtain. Some benefits require an employee to work full-time hours; others are offered to both full-time and part-time employees. Specific hour requirements can vary. It’s important to research information about the specific benefits you want to obtain to ensure you are eligible.

Your Knowledgeable California Employment Lawyer

As experienced California employment lawyers, the team at The Law Office of Frank S. Clowney III has the knowledge to guide employees through the complexities of employment laws and benefits. If you believe you are not receiving proper benefits at your job or your employment rights are being violated, contact our law office today to schedule a consultation.