Many California employers are surprised to learn that they must give all departing employees notice of their right to seek unemployment benefits—even if it’s a termination for good cause, and even if an employee leaves voluntarily.
Under Labor Code Section 1089, all California employers must:
- Post a notice in each work location notifying employees of unemployment and disability insurance rights. This notice can be downloaded from the California Employment Development Division (EDD) here.
- At the time any employee separates from employment, regardless of the reason for the separation, the employer must provide written information regarding benefits available to the unemployed. The information—contained in a 22 page guide prepared by the EDD—can be downloaded here.
An employer’s failure to post and provide these required notices about unemployment benefits is a misdemeanor, and may result in the imposition of civil penalties (imposed either by the state, or through an employee lawsuit).
400+ pages of state-specific, easy-read reference materials at your fingertips—fully updated! Check out the Guide to Employment Law for California Employers and get up to speed on everything you need to know.
In addition to notice regarding unemployment benefits, California employers must also give departing employees written notice of:
- Change in the status of the employment relationship (e.g., that the employee is being laid off or terminated, or has resigned);
- Notice regarding COBRA rights and Medi-Cal eligibility requirements; and
- Worker Adjustment and Retraining Act Notice (WARN) if there is a mass layoff of employees (meaning 75 or more employees in a 100 mile radius).