On Sep. 4, CAL LEG bill to prohibit use of vacation for benefit to apply.
CAL LEG passed Assembly bill AB-2123 restricting employers from requiring vacation time be used before employees can receive temporary family leave wage replacement.
Current law gives employers right to require employee use up to two weeks earned but unused vacation as condition to receive family temporary disability insurance benefits.
Family temporary disability insurance aka paid family leave provides wage replacement to take time off to care for critically ill family, child bonding, or qualifying urgent event.
Bill AB-2123 removes an employer's ability to require staff use vacation as a condition to receive wage replacement benefits of paid family leave / family temporary disability.
Provision applies to an employee's period of leave beginning on or after Jan. 1, 2025.
Legislative History
On Feb. 6, 2024, bill introduced into Assembly; on Apr. 25, 2024, bill passed Assembly.
On Apr. 25, 2024, bill introduced into Senate; on Aug. 20, 2024, bill passed in Senate.
On Aug. 26, 2024, Assembly concurred with Senate amendments; sent to enrolling.
On Sep. 3, 2024, bill enrolled by both chambers and was presented to the governor.
Effectiveness
If approved, bill comes into force Jan. 1, 2025.
Sep. 29, 2024 CAL LEG Governor Approved Bill
On Sep. 29, 2024, CAL LEG reported bAB 2123 signed by governor, assigned Ch. 949.
Regulators
CAL LEG
Entity Types
Corp
Reference
Ch 949, 9/29/2024; Bill AB2123, 9/4/2024; Citation: CAL INS 1-2-7-3303.1;
