BILL ANALYSIS Ó
AB 2028
Page 1
Date of Hearing: April 20, 2016
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Lorena Gonzalez, Chair
AB
2028 (Cooper) - As Introduced February 16, 2016
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|Policy |Public Employees, Retirement, |Vote:| 6 - 0 |
|Committee: |and Social Security | | |
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Urgency: No State Mandated Local Program: YesReimbursable:
Yes
SUMMARY:
This bill clarifies that "wrongfully" terminated school and
local safety employees are entitled to have their service credit
restored in the California Public Employees' Retirement System
(CalPERS). Specifically, this bill:
1)Defines "wrongful termination" as any termination action by an
AB 2028
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employer that has been reversed or modified by a final
decision ordering reinstatement.
2)Defines "final decision ordering reinstatement" as a final
decision of the employer, court, an administrative agency, a
personnel commission, or an arbitrator, that orders the
reinstatement of the employee's employment.
3)Requires that the service credit and compensation earnable for
a wrongfully terminated school classified or local safety
member of CalPERS be restored, as specified.
4)Requires the employer of a wrongfully terminated employee to
notify CalPERS of a final decision ordering reinstatement of
the employee, as specified.
FISCAL EFFECT:
Minor and absorbable administrative costs.
COMMENTS:
Purpose and background. According to the author, existing
statutes to restore service credit for wrongfully terminated
employees apply only to state employees. Two sections in the
Government Code have provisions related to the restoration of
service credit of a wrongfully terminated employee: 1)
Government Code (GC) Section 19584 provides the authority to
restore service credit for state workers whenever the State
Personnel Board revokes or modifies a disciplinary action; and
2) GC Section 21198 provides the authority to restore service
credit for all CalPERS members who retired after being
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wrongfully terminated, but before the termination reversed,
pursuant to an administrative or judicial proceeding.
The author states that "A strict reading of these code
sections could be deemed not to provide the same treatment for
wrongfully terminated school, safety, and some local agency
employees, as provided to state employees."
Analysis Prepared by:Luke Reidenbach / APPR. / (916)
319-2081