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2102 - Annual Leave

Category

Leave

Audience List

  • Administrative Chiefs
  • Employee Relations Officers
  • Labor Relations Officers
  • Personnel Officers
  • Personnel Transactions Supervisors

Synopsis

This policy

  • Provides eligibility, accrual, enrollment and accumulation information about the Annual Leave Program (ALP).
  • Identifies which position determines the annual leave accrual rate for an employee who has more than one intermittent position.
  • Explains what happens when an excluded or represented employee has accumulated their annual leave balance over maximum.
  • Provides information on qualifying pay periods and breaks in service.

Introduction

The Annual Leave Program allows for the replacement of traditional vacation and sick leave credits with a more discretionary use of annual leave credits. The number of annual leave hours accrued each qualifying pay period is based on the employees time base, months of state service, and whether represented or excluded.

Statement

Participation in ALP or the Vacation/Sick Leave Program is a voluntary and personal choice of each employee. An employee should carefully evaluate the leave programs to determine which better addresses individual needs.

Annual leave can be used to meet an employee's need for paid time off for any management-approved absence that is covered by sick leave or vacation.  The advantages of annual leave are: (1) more discretionary leave each year (in lieu of sick leave), (2) annual leave has cash value upon retirement or separation from state service, (3) greater disability benefits in the event of a serious non-work-related injury or illness covered under Non-Industrial Disability Insurance by providing the option of replacing up to 100% of income by supplementation.

Eligibility

Employees eligible to participate in the ALP include the following:

  • Managers, supervisors, confidential, and other “excluded” employees
  • All rank-and-file employees
  • Nonelected members of certain boards and commissions whose salaries are fixed by law (California Code of Regulations, title 2, section 599.751.1)

Statutory exempt employees are not eligible to participate. Unless otherwise specified in the applicable Memorandum of Understanding, seasonal employees are not eligible to participate.

Part-time employees, permanent-intermittent employees, and employees whose appointments are either limited term or temporary are eligible to participate in the ALP if their current appointments and CBIDs are in one of the eligible categories.

To qualify a full-time month, an employee must work 11 or more working days in a monthly pay period. In order for a part-time month to be a qualifying pay period, an employee must work at least that fraction of 88 hours (11 days) that corresponds to the employee’s time base. Annual leave credits are to be given on a pro rata basis to fractional time base employees on the first day of every monthly qualifying pay period. An intermittent employee must have 160 hours of paid employment to receive a qualifying monthly pay period.

Enrollment

As a result of the new Non-Industrial Disability Insurance – Family Care Leave (NDI-FCL) benefit, policy #1411, CalHR is offering a one-time open enrollment period for those excluded employees who recently elected the Vacation/Sick Leave Program or switched to the Vacation/Sick Leave Program and have not met the 24 month requirement. Employees must submit their election form to their Human Resources Office by August 29, 2019. The effective date will be the first of the pay period in which the election was received (not prior to July 1, 2019). If an employee chooses not to participate in the one-time open enrollment option, they must remain in vacation/sick until they meet the 24 month requirement before they can have the option to switch leave programs.

Upon hire, most employees may elect to enroll in either the ALP or Vacation/Sick Leave Program.  Departments are responsible for providing information to employees regarding their option to participate in the ALP and when and how to change their election.  It is recommended that employees who have elected to participate in either program receive confirmation of their election.  The election form and copies of any other information provided to the employees regarding the program should be kept in the employee’s personnel file.

After the initial election, employees in Bargaining Units 1, 3, 4, 11, 14, 15, 17, 20, and 21 are subject to an open enrollment period.  Open enrollment occurs each April 1 through April 30, and enrollment changes are effective the first day of the June pay period. During the open enrollment period, employees may elect to opt in or out of the ALP.

Excluded and employees represented by Bargaining Units 2, 5, 6, 7, 8, 9, 10, 12, 13, 16, 18, and 19, maintain a continuous enrollment eligibility period.  Employees must remain in the ALP or Vacation/Sick Leave Program for at least 24 months from the last date of election.

Upon enrolling into the ALP, an employee’s vacation balance will be converted to an annual leave bank.  The employee will begin accruing annual leave credits after each qualifying pay period.

Sick leave credits will no longer be accrued once enrolled in the ALP.  Sick leave balances in existence at the time of enrollment will be maintained for use by the employee for approved sick leave purposes.  Any sick leave on the books at the time of retirement will be converted to service credit at current retirement formulas (2,000 hours of sick leave converts to one year of CalPERS service credit).

Accrual

A full-time employee who has 11 or more working days of service in a monthly pay period shall earn annual leave credits as set forth below. Part-time employees shall receive credits on a pro rata basis and intermittent shall receive credits based on full-time rates once they have reached 160 hours of compensated work.

Accrual Chart for Represented Employees in Bargaining Units 1, 2, 3, 4, 7, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, and 21

  • 1 month to 3 years of service: 11 hours/month annual leave accrual
  • 37 months to 10 years of service: 14 hours/month annual leave accrual
  • 121 months to 15 years of service: 16 hours/month annual leave accrual
  • 181 months to 20 years of service: 17 hours/month annual leave accrual
  • 241 months of service and over: 18 hours/month annual leave accrual

Note: Notwithstanding the above, in the July pay period Bargaining Unit 07 employees shall have their annual leave rates reduced for each employee by no more than two hours.

Accrual Chart for Represented Employees in Bargaining Unit 5, 6, and 8.

  • 1 month to 3 years of service: 12 hours/month annual leave accrual
  • 37 months to 10 years of service: 15 hours/month annual leave accrual
  • 121 months to 15 years of service: 17 hours/month annual leave accrual
  • 181 months to 20 years of service: 18 hours/month annual leave accrual
  • 241 months of service and over: 19 hours/month annual leave accrual

Note: Notwithstanding the above, on the first day of the July pay period, Bargaining Unit 06 employees shall accrue one hour less of annual leave and shall have one hour credited toward the Union’s Release Time Bank.

Notwithstanding the above, on the first day of the August pay period Bargaining Unit 08 employees shall accrue two hours less of annual leave and shall have two hours credited toward the Union’s Release Time Bank. On the first day of the February pay period Bargaining Unit 08 employees shall accrue one hour less of annual leave and shall have one hour credited toward the Union’s Release Time Bank.

Accrual Chart for Managerial, Supervisory, Confidential, All Other Excluded Employees, and Board and Commision Members

  • 1 month to 10 years of service: 15 hours/month annual leave accrual
  • 121 months to 15 years of service: 17 hours/month annual leave accrual
  • 181 months to 20 years of service: 18 hours/month annual leave accrual
  • 241 months to 25 years of service: 19 hours/month annual leave accrual
  • 301 months of service and over: 20 hours/month annual leave accrual

“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.

Multiple Positions

When an employee is working in multiple intermittent positions that are: (1) designated in different bargaining units, (2) in different departments, and (3) each bargaining unit has negotiated a different rate for accruing annual leave credits, the primary position determines the annual leave accrual rate.

Usage

Annual leave can be used to meet an employee's need for paid time off for any management-approved absence that is covered by sick leave or vacation. 

Effective January 1, 2016, Senate Bill 579 amended California Labor Code section 233 to allow for the use of sick leave for the reasons specified in Labor Code section 246.5.  Most notable with this amendment, sick leave may be used for additional purposes related to domestic violence, sexual assault, or stalking as defined under the law.  Additionally, sick leave may be used for certain family members that were not previously covered by the law. An employee’s family members include:

  • children (biological, adoptive, foster, step, legal ward, or to whom the employee stands in the place of a parent);

  • parents (biological, adoptive, foster, step, legal guardian of the employee or the employee’s spouse or registered domestic partner, or a person who stood in the place of a parent when the employee was a minor child);

  • spouse or registered domestic partner;

  • grandparents;

  • grandchildren; and

  • siblings

Employees represented by Bargaining Unit 1, 3, 4, 7, 11, 14, 15, 17, 20, and 21 may use annual leave in 15 minute increments.

Employees represented by Bargaining Unit 2, 5, 6, 8, 9, 10, 12, 13, 16, 18, 19 may use annual leave in 30 minute increments.

Employees who are excluded from bargaining may use annual leave in 30 minute increments.

Accumulation Limit/Rollover

Per California Code of Regulations, title 2, section 599.752 excluded employees may accumulate the unused portion of annual leave, provided that on January 1 of each calendar year; the excluded employee shall not have more than 80 vacation days (640 hours).  In addition, excluded employees receiving annual leave are subject to California Code of Regulations, title 2, section 599.742.1, which  provides that if an employee will be at the cap in the coming January, the supervisor must notify and meet with the employee in July so they may plan to use their leave before reaching the cap.   Employees should also be notified on July 1 that if the employee fails to take off the required number of hours by January 1, except for the reasons listed below in this section, the appointing power shall require the employee to take the time.

Employees represented by Bargaining Unit 5 may accrue up to 816 hours of annual leave.  Employees represented by Bargaining Unit 6 may accrue annual leave without limit. All other employees represented by Bargaining Units may accrue up to 640 hours.  Exceptions to these limits will only be allowed in extremely unusual situations and must be approved, in advance, by the director of the Department of Human Resources.

Exceptions to these limits will only be allowed in extremely unusual situations and must be approved by the department. Refer to the applicable Bargaining Unit Contract for exception specifics.

Break in Service

An employee who returns to state service after an absence caused by a temporary or permanent separation of less than six months, or an absence of six months or longer caused by a temporary separation other than temporary Military Leave shall commence to receive annual leave credit on the first day of the monthly pay period following completion of one qualifying monthly pay period of service after return.

An employee who has accrued annual leave, upon separation from state service without fault on his/her part, is entitled to lump sum payment for the unused annual leave. This lump sum shall be computed by projecting the accumulated time on a calendar basis so that the lump sum will equal the amount which the employee would have been paid had he/she taken the time off but not separated from the state service.

An employee who has accrued annual leave, upon separation from state service through fault on his/her part, is entitled to lump sum payment for the unused annual leave. This lump sum shall be based on actual accumulated time without projection as provided above.

Application

Not Applicable.

Authorities

Resources

FAQs

Forms

  • CalHR 875: Annual Leave-Sick/Vacation Leave Election Form

PML

  • PML 1988-095: PML 1988-095 - 11/14/1988 - Adoption of Amendments to DPA Regulation Regarding Annual Leave Program
  • PML 1988-115: PML 1988-115 - 1/12/1989 - Adoption of Amendments to DPA Regulation Regarding the Annual Leave Program
  • PML 1989-007: PML 1989-007 - 3/10/1989 - Annual Leave - Bargaining Units 5, 13 and 16
  • PML 1989-020: PML 1989-020 - 4/18/1989 - Annual Leave for Bargaining Units 5,13, and 16
  • PML 1991-001: PML 1991-001 - 2/5/1991 - Annual Leave Program
  • PML 1992-089: PML 1992-089 - 8/10/1992 - Annual Leave Program Revisions
  • PML 1992-107: PML 1992-107 - 10/26/1992 - Annual Leave Program
  • PML 1993-068: PML 1993-068 - 10/12/1993 - Annual Leave Program
  • PML 1994-067: PML 1994-067 - 12/19/1994 - Annual Leave Program -- Qualifying Pay Periods and Holidays
  • PML 1995-018: PML 1995-018 - 4/10/1995 - Annual Leave Special Election Open Enrollment - Bargaining Unit 10
  • PML 1995-049: PML 1995-049 - 11/17/1995 - Annual Leave Program Update
  • PML 1995-058: PML 1995-058 - 12/28/1995 - Annual Leave Program
  • PML 1996-043: PML 1996-043 - 8/28/1996 - Annual Leave Program
  • PML 2000-022: PML 2000-022 - 4/7/2000 - Annual Leave Side Letter Bargaining Unit 1
  • PML 2007-009: PML 2007-009 - 3/23/2007 - Annual Leave Open Enrollment Bargaining Units 1, 3, 4, 11, 14, 15, 17, 20, and 21

Related Policies

Contact Person

Personnel Services Branch
Personnel Program Consultant , Personnel Services Branch
Phone: 916-323-3343
Fax: 916-327-1886
Email: psb@calhr.ca.gov

Authorized By

Melissa Russell
Chief, Personnel Management Division

History

View History

Table of Contents

1000 - Equal Employment Opportunity

1100 - Selection

1200 - Appointments

1300 - Exempt Employees

1400 - Benefits and Insurance

1500 - Work Schedules

1600 - Third Party Pre-Tax Parking

1700 - Compensation

1800 - Savings Plus

1900 - Bona Fide Associations

2000 - Collective Bargaining

2100 - Leave

2200 - Travel/Relocation

2300 - State Owned Housing

2400 - Employee Recognition

2500 - Discipline

2600 - Layoffs

2700 - Retirement

2800 - Training

2900 - Workforce Planning

3000 - Examination and Hiring

3100 - Drug-Free Workplace