DPA - Benefits - Benefits Administration Manual - Section 300: Annual Leave Program

Departments are responsible for providing information regarding the program and providing an election form to eligible employees (See Attachment A). It is suggested that employees who have elected to participate in the program receive confirmation of their election. The election form and copies of any other information provided to the employee should be kept in their personnel file.

Effective Date
The effective date of the election shall be the first day of the pay period in which the election is received by the appointing power (e.g., employee submits election form during the month of January, effective date will be January).

304. Annual Leave Accrual

Under the ALP, eligible employees will earn six days of additional leave in lieu of the current 12 days of sick leave. The accrual rate is calculated by adding four hours to the existing vacation accrual schedule. Managerial, supervisory, confidential and all other excluded employees, and board and commission members whose length of service is less than three years have been provided a higher accrual rate, as noted in the following table. Employees who work less than full-time will earn annual leave credits prorated according to their time-base. The following tables reflect the Annual Leave accrual rate for full-time employees:

Managerial, Supervisory, Confidential and All Other Excluded Employees Board and Commission Members
Length of Service	Current Vacation Accrual	Annual Leave Accrual
1 month to 3 years	7 hours/month	15 hours/month
37 months to 10 years	11 hours/month	15 hours/month
121 months to 15 years	13 hours/month	17 hours/month
181 months to 20 years	14 hours/month	18 hours/month
241 months to 25 years	15 hours/month	19 hours/month
301 months and over	16 hours/month	20 hours/month

Representative Employees in Bargaining Units 06 and 08
Length of Service	Current Vacation Accrual	Annual Leave Accrual
1 month to 3 years	8 hours/month	12 hours/month
37 months to 10 years	11 hours/month	15 hours/month
121 months to 15 years	13 hours/month	17 hours/month
181 months to 20 years	14 hours/month	18 hours/month
241 months and Over	15 hours/month	19 hours/month

NOTE: Bargaining Unit 08 employees shall accrue one hour less of vacation or annual leave each year on the first day of the February pay period. Additionally, BU 8 employees shall accrue two hours less of vacation or annual leave each year on the first day of the August pay period.

Employees In Bargaining Units 1, 2, 5, 7, 9, 10, 12, 13, 14, 16, 17, 18, 19, 20 and 21
Length of Service	Current Vacation Accrual	Annual Leave Accrual
1 month to 3 years	7 hours/month	11 hours/month
37 months to 10 years	10 hours/month	14 hours/month
121 months to 15 years	12 hours/month	16 hours/month
181 months to 20 years	13 hours/month	17 hours/month
241 months and over	14 hours/month	18 hours/month

NOTE: Bargaining Unit 05 employees earn an additional 112 hours of holiday credit in lieu of the holidays. This accrued holiday-in-lieu credit is added to the monthly vacation or annual leave accrual rate of employees.

"Excluded" (managerial, supervisory, etc.) employees who elected to participate in the ALP and thereafter transfer into a represented position will accrue annual leave credits on the basis of adding four hours to the existing vacation accrual schedule for represented employees.

Use of Annual Leave
Annual Leave can be used to meet an employee's need for paid time off for any management-approved absence that was previously covered by sick leave or vacation. When annual leave is used for sick leave purposes, the appointing power may require the employee to submit substantiation including, but not limited to, a physician statement. Annual Leave may be taken in half-hour increments regardless of whether or not it is being used for sick leave, vacation or other time off.

Accumulation
Employees who elect annual leave will be allowed to accumulate up to a maximum of 640 hours of annual leave as of January 1 each year. Exceptions to this limit will not be allowed except in extremely unusual situations and must be approved, in advance, by the director of the Department of Personnel Administration. Annual leave credits are treated like vacation when an employee separates from State service. Upon separation or retirement, employees in the ALP will receive a lump sum payment at their current salary rate for their accumulated credits.

305. Vacation Balance

At the time of enrollment, an employee's vacation balance will be converted to annual leave credits. Thereafter, no vacation credits will be accrued and annual leave credits will begin accruing according to the rate schedule for full-time employees.

306. Sick Leave Balance

Sick leave credits will no longer be earned once enrolled in the ALP. However, sick leave balances in existence, at the time of enrollment, will be maintained for use by the employee for approved sick leave purposes or NDI supplementation. At retirement, unused sick leave credits will continue to be converted to retirement service credits at the current formula (2000 hours of sick leave converts to one year of CalPERS service credit).

307. Non-Industrial Disability Insurance

The Non-Industrial Disability Insurance (NDI) benefit, which covers non job-related disabilities, will be improved for annual leave participants from its current level of $135/week for up to 26 weeks to 50% of gross salary for up to 26 weeks. The requirement to exhaust sick leave credits prior to qualifying for NDI benefits has been eliminated.

NDI benefits for annual leave participants may also be supplemented with annual leave, sick leave or partial employment to provide for up to a 100% income level. At the time of an NDI claim, the employee must elect to choose either the 50% NDI benefit rate or a supplementation level of 75% or 100% of gross pay. Once a claim for NDI has been filed and the employee has determined the rate of supplementation, the supplemental rate shall be maintained throughout the disability period. Employees may choose a different supplementation rate for claims related to subsequent disabilities.

Please Note:

Employees, who enroll in annual leave while receiving NDI, will continue to receive the original NDI benefit for the duration of the claim. The improved benefit would be available on subsequent claims.

Bargaining Unit 06 employees shall become entitled to an enhanced Non-Industrial Disability (NDI) benefit (50% of gross salary) upon serving a waiting period of 90 consecutive calendar days. If the employee files a claim for NDI benefits between the effective date of the enrollment in annual leave and the end of the waiting period, the standard NDI benefit shall be payable. This waiting period does not apply to any employee who was enrolled in the Annual Leave Program upon appointment in a position requiring mandatory participation.

Election into the Annual Leave Program is irrevocable for Employees in Bargaining Unit 06.

NDI Documentation
Please refer to the Personnel Procedures Manual (PPM), Section E 100, for documentation required and instructions on calculating NDI benefits for an employee in the ALP.