State of California

M E M O R A N D U M



To:       PERSONNEL MANAGEMENT LIAISONS                    Date:  January 13, 1992
                                                           Reference Code:  92-06
          THIS MEMORANDUM SHOULD BE DISTRIBUTED TO:

               Labor Relations Officers
               Personnel Officers


From:     Department of Personnel Administration
          Office of the Director


Subject:  AB 77 Family Leave Care



          On October 1, 1991, Governor Wilson signed legislation (AB 77) on family
          care leave.  Effective January 1, 1992, it will require that California
          employers provide employees with up to four months of unpaid family leave.
          Under the provisions of this new law, unpaid leave must be granted to care
          for a newborn or newly adopted child or a spouse, parent or child who is
          seriously ill.  Employers subject to the legislation are required to
          guarantee that the employee may return to the same or equivalent position
          upon return from a family care leave.

          Current law for State employees has and continues to have provisions for
          parental leave which permits either parent an unpaid leave of absence for
          up to one year to care for a newborn or adopted child.  AB 77 does not add
          or change anything in this area.

          Prior to AB 77, State appointing authorities were also permitted, but not
          mandated, to provide unpaid leaves of absence for any reasonable purpose,
          which could include care of a seriously ill family member.  AB 77 makes a
          change in this area by giving the employee an entitlement of up to a total
          of four months of family care leave in a 24-month period unless the leave
          would be an undue hardship on the employer's operation.  Beginning on
          January 1, 1992, State appointing powers will have to comply with this
          requirement in responding to employee requests for family care leave.

          Leaves for family care can still exceed the four-month limit; however, the
          additional leave periods would be subject to the appointing power's
          discretion (as before) rather than AB 77.  The State Controller's Office
          will be issuing special instructions on how to document leaves that have
          been granted under AB 77.  This will allow appointing powers to determine
          when employees have exhausted their AB 77 leave rights.

          AB 77 also specifies how an employee's benefits, seniority, retirement
          credits, etc., must be treated when they take leaves under this law.  The
          Department of Personnel Administration has determined that the State's
          existing practices in this area meet AB 77 requirements.  Therefore, no
          changes are needed in this area.

          Specifically AB 77:

          1.  Entitles the employee taking leave to continue participating in
              health, pension, retirement or supplemental unemployment plans under
              the same conditions that apply to unpaid leave for any other purpose.
              What this means for State employees is that they can elect to make
              direct payments for health, dental, vision, and life and long-term
              disability insurance if they are currently enrolled.  Employees
              covered by the Public Employees' Retirement System (PERS) may not
              continue retirement plan participation during the leave period since
              the terms of the PERS plan do not allow employees to make retirement
              contributions during a period of unpaid family leave;

          2.  Limits its entitlement to family care leave to employees with at least
              one year of continuous service with the employer;

          3.  Permits an employer to deny family care to prevent undue hardship to
              the employer's business operations;

          4.  Requires employees to provide reasonable notice to the employer (where
              possible) and to schedule the leave in a manner that causes the least
              disruption to the business;

          5.  Requires that employees taking a leave be permitted to use any accrued
              vacation leave or other accrued time off.  Sick leave may not be used
              for family care leave unless the employer and employee agree; and

          6.  Prohibits employers from discharging or discriminating against any
              employee who wishes to take a family care leave, or who participates
              in any way in any enforcement proceeding regarding the rights of any
              person to family care leave.

          If you have any questions regarding AB 77 or its provision, please call
          Peter Strom of the Policy Division Office at (916) 324-9368 or
          ATSS 454-9368.




          Lillian Rowett
          Chief Deputy Director