Benefits And Cobra

Benefits and Leave

Current Benefits Status

At this time, the company does not offer a group health insurance plan to employees. Employers of our size are not required by federal or California law to provide group health coverage.

While we do not offer health insurance, we are committed to ensuring all employees receive every benefit required by law and that you understand your rights and options for obtaining coverage on your own.

Benefits Required by California and Federal Law

Workers' Compensation Insurance

California law requires every employer to carry workers' compensation insurance. This coverage provides benefits if you suffer a work-related illness or injury, including:

  • Medical treatment
  • Temporary disability payments while unable to work
  • Permanent disability benefits if applicable
  • Death benefits to dependents in the event of a fatal work injury

Workers' compensation is funded entirely by the employer - you pay nothing toward this coverage. If you are injured on the job, notify a manager immediately.

California State Disability Insurance (SDI)

SDI provides partial wage replacement if you are unable to work due to a non-work-related illness, injury, or pregnancy.

  • Funding: SDI is funded through mandatory employee payroll deductions. The employer does not contribute.
  • Benefits: Up to 60–70% of your weekly wages (depending on income level) for up to 52 weeks.
  • How to file: File SDI claims directly with the EDD at edd.ca.gov. Notify your manager if you anticipate a leave covered by SDI.

California Paid Family Leave (PFL)

PFL provides partial wage replacement if you take time off to:

  • Bond with a new child (birth, adoption, or foster placement)

  • Care for a seriously ill family member (child, parent, parent-in-law, grandparent, grandchild, sibling, spouse, or registered domestic partner)

  • Participate in a qualifying military assist event

  • Funding: PFL is funded entirely through employee payroll deductions - no cost to you beyond the deduction.

  • Benefits: Up to 60–70% of your weekly wages for up to 8 weeks within a 12-month period.

  • How to file: File PFL claims directly with the EDD at edd.ca.gov. You do not need employer approval, but please provide advance notice when possible.

Social Security and Medicare (FICA)

All employees and employers contribute to Social Security and Medicare under federal law:

  • Social Security: 6.2% withheld from your wages; employer matches 6.2%
  • Medicare: 1.45% withheld from your wages; employer matches 1.45%

These contributions are processed automatically through payroll.

Unemployment Insurance (UI)

If you lose your job through no fault of your own (e.g., layoff or reduction in hours), you may be eligible to file a UI claim with the EDD at edd.ca.gov. Unemployment insurance is funded by the employer - no deduction is taken from your wages.

COBRA and Cal-COBRA: Not Currently Applicable

Because this company does not offer a group health plan, neither federal COBRA nor Cal-COBRA applies. Both laws provide continuation coverage rights tied to an existing employer-sponsored health plan. With no plan in place, there is no coverage to continue.

If the company were ever to begin offering group health insurance, COBRA and/or Cal-COBRA obligations would be evaluated at that time.

California Paid Sick Leave

California law requires all employers to provide paid sick leave. The following rules apply under SB 616, effective January 1, 2024.

How Much You Get

This company uses the Frontload Method. All employees receive the full 40 hours (5 days) of paid sick leave at the beginning of each calendar year (January 1). Sick leave balances are reflected on your pay stub.

Eligibility

All employees - full-time, part-time, and temporary - who work in California for 30 or more days within a year are entitled to paid sick leave. You may begin using sick leave after completing 90 days of employment.

When You Can Use Sick Leave

  • Diagnosis, care, or treatment of your own health condition or preventive care
  • Diagnosis, care, or treatment of a family member's health condition or preventive care
  • Leave related to domestic violence, sexual assault, or stalking

Family members covered include: child, parent, parent-in-law, grandparent, grandchild, sibling, spouse, and registered domestic partner.

How to Use Sick Leave

Notify your manager as soon as practicable. You cannot be required to find a replacement worker as a condition of using sick leave. A doctor's note may only be required for absences of more than three consecutive days.

No Retaliation

California law strictly prohibits retaliation against any employee for using or attempting to use paid sick leave. If you believe you have experienced retaliation, report it to management or file a complaint with the California Labor Commissioner's Office.

This section reflects applicable law as of the date of this handbook's publication. Employees are encouraged to contact the EDD, the California Labor Commissioner, or a licensed insurance broker for the most current information about state-administered programs.

Last reviewed: March 2026