Understanding Employee Leave Policies in California, USA

As an international HR expert, I often advise companies on navigating the complex landscape of employee benefits. In California, workers are entitled to a variety of leave types, including employer-approved time off, state holidays, and federal observances. This guide breaks down the key policies to help businesses ensure compliance and support their workforce.

Annual Leave and Paid Time Off (PTO)

California does not mandate that employers provide paid or unpaid annual leave. However, most companies offer PTO as a competitive benefit, typically ranging from 10 to 20 days per year. For instance, a tech startup in Silicon Valley might provide 15 days of PTO, increasing with tenure. Importantly, PTO is considered earned wages and must be paid out upon termination. Employers can set accrual limits or usage rules, but they must align with state laws to avoid penalties.

Maternity and Paternity Leave

California supports new parents through a combination of unpaid, job-protected leave and partial wage replacement. For example, under the Pregnancy Disability Leave (PDL), an employee can take up to four months off for childbirth recovery. This can be followed by 12 weeks under the California Family Rights Act (CFRA). The Paid Family Leave (PFL) program, funded by employee payroll deductions, offers up to eight weeks of partial pay. Eligibility requires working at least 30 days in the past year for PDL, while CFRA needs 12 months and 1,250 hours of service.

Similarly, paternity leave allows new fathers up to 12 weeks of unpaid leave under CFRA, with PFL providing wage support. A case study from SailGlobal shows how integrating these policies can reduce turnover; one client reported a 20% increase in employee retention after streamlining parental leave.

Family and Medical Leave

The federal Family and Medical Leave Act (FMLA) provides up to 12 weeks of unpaid, job-protected leave for birth, adoption, or foster care. Both parents are entitled to this leave, but if they work for the same employer, the time may be shared. Eligibility hinges on 12 months of service and 1,250 hours worked, with employers having 50 or more employees. PFL offers partial pay but no job protection, so combining it with FMLA is common.

Sick Leave and Other Time Off

California’s paid sick leave accrues at least one hour per 30 hours worked, capped at 24 hours annually. Unused hours can roll over, up to 48 hours. For example, an employee caring for a sick child can use this leave without penalty. Bereavement leave is required for employers with five or more staff, offering up to five unpaid days. Voting leave allows two hours of paid time if polls aren’t accessible outside work hours, and school activities leave grants 40 unpaid hours yearly for employers with 25+ staff at one location.

Public Holidays in California

California observes 13 public holidays annually, blending federal and state-specific days. These include:

Holiday	Date
New Year’s Day	January 1
Martin Luther King Jr. Day	Third Monday in January
Presidents’ Day	Third Monday in February
Memorial Day	Last Monday in May
Juneteenth	June 19
Independence Day	July 4
Labor Day	First Monday in September
Columbus Day	Second Monday in October
Veterans Day	November 11
Thanksgiving	Fourth Thursday in November
Christmas Day	December 25
César Chávez Day	March 31
Native American Day	Fourth Friday in September

Understanding these policies is crucial for global businesses. SailGlobal offers expert guidance to ensure compliance and foster a supportive work environment. For personalized assistance, contact our team today.

California Employee Leave Policies: A Guide for Employers