12 Days of California Labor and Employment: 2025 Year in Review

Paid family leave is a family temporary disability insurance program. It provides up to eight weeks of wage replacement benefits to employees to take time off to:

• • care for a seriously ill child, spouse, parent, grandparent, grandchild, sibling, or domestic partner;
  • bond with the minor child within one year of the birth or placement of the child in connection with foster care or adoption; or to
  • participate in a qualifying exigency related to the covered active duty or call to covered active duty of the individual's spouse, domestic partner, child, or parent in the Armed Forces of the United States.

As of January 1, 2023, with the passage of AB 1041, the California Family Rights Act (CFRA) expanded leave entitlement, wherein employees were able to use leave under the CFRA to care for the designated person. Read our prior blog post for more information.

AB 1041 defined a “designated person” as any individual related by blood or whose association with the employee is equivalent to a family relationship. However, this expansion that was granted under CFRA was not provided under Paid Family Leave.

• • “Designated person” is defined as any care recipient related by blood or whose association with the individual is the equivalent of a family relationship – basically the same definition as included in CFRA. This means that there does not need to be a legal or biological relationship to the employee for them to receive Paid Family Leave benefits. This new category of benefits goes into effect on July 1, 2028.
  • “Care recipient” has the same definition as previously and includes the family member who is receiving care for a serious health condition or the new child with whom the care provider is bonding. It may also include the military member, a child, or a parent of the military member who is receiving assistance, or the employee participating in a qualifying exigency. However, the definition of family member is expanded as of July 1, 2028, to include a child, parent, grandparent, grandchild, sibling, spouse, domestic partner, or designated person.
  • An employee may only designate one person per 12-month period.
  • When the employee is requesting benefits for the first time to care for a designated person, unlike a family member, an employee is required to identify the designated person at the time of their claim as well as attest under the penalty of perjury to either of the following:
    • How the relationship is related by blood to the designated person; or
    • How the employee’s association with the designated person is equivalent to a family relationship.

Currently, as well as moving forward, employees who qualify for the Paid Family Leave program are entitled to no more than eight weeks of family temporary disability insurance benefits within any 12-month period. The 12-month period begins with the first day the employee establishes a valid claim for family temporary disability benefits.

In order to have a valid claim,

1. 1. The employee shall file a claim for family temporary disability insurance benefits no later than the 41st consecutive day following the first compensable day with respect to which the claim is made for benefits;
   2. This time shall be extended by the department upon a showing of good cause.
   3. If a first claim is not complete, the employee must return it no later than the tenth consecutive date after it was mailed back to the employee by the department.

SB 590 and the addition of “designated person” take effect on July 1, 2028. Prior to that time, California employers should

1. 1. update their paid leave policies;
   2. update their handbooks;
   3. update any notices to employees on Paid Family Leave; and
   4. train their HR staff on the changes.

Government Code Section 12945.8 protects employees from discrimination for taking job-protected leave as victims or family members of victims of domestic violence, sexual assault, stalking, and other serious crimes.

Prior to AB 406, an employee who was a victim was able to take time off to obtain or attempt to obtain relief such as a temporary restraining order or a restraining order, other injunctive relief, or to help ensure the health, safety, or welfare of the victim or their child.

It also allowed employees to take time off to serve as required by law on an inquest jury or trial jury, as well as to take time off to appear in court to comply with a subpoena or other court order as a witness in any judicial proceeding.

AB 406 brings the following five key changes for California employers to take note of:

1. Victims and Impacted Family Members Can Take Time Off for Judicial Proceedings

Now, as of January 1, 2026, an employee who is a victim or a family member of a victim is able to take time off from work in order to attend judicial proceedings related to that crime, including, but not limited to, any delinquency proceeding, a post-arrest release decision, plea, sentencing, postconviction release decision, or any proceeding where the rights of that person is an issue.

2. Updated Definition of a Victim

AB 406 further defines that a victim includes a person against whom a violent felony, a serious felony, or a felony provision of law prescribing theft or embezzlement is committed. It also includes a person who suffers direct or threatened physical, psychological, or financial harm as a result of the commission or attempted commission of any of the following crimes or delinquent acts:

1. 1. Vehicular manslaughter while intoxicated;
   2. Felony child abuse that is likely to produce great bodily harm or death;
   3. Assault resulting in the death of a child under eight years of age;
   4. Felony domestic violence;
   5. Felony physical abuse of an elder or dependent adult;
   6. Felony stalking;
   7. Solicitation for murder;
   8. A serious felony;
   9. Hit and run causing death or injury;
   10. Felony driving under the influence causing injury; or
   11. Sexual assault.

3. Employees can use Paid Sick Leave for Judicial Proceedings

AB 406 also added the benefit that an employee can use paid sick leave for any time off for the above reasons. This became effective as of October 1, 2025. Prior to AB 406, employees were only able to use unpaid leave for jury duty or appearing in court as a witness under subpoena.

4. Labor Code Section 230 was Reinstated

Labor Code Section 230 was previously repealed but has now been added back to the Labor Code. However, this section will only apply to alleged actions or inactions that occurred on or before December 31, 2024.

5. Labor Code Section 230.1 was Added Back

Lastly, AB 406 also added back Labor Code Section 230.1, which is applicable to employers with 25 or more employees, and notes that they cannot discriminate or retaliate against any employee who is a victim that:

• • Takes time off from work to seek medical attention for injuries caused by crime or abuse;
  • Takes time off from work to obtain services from a domestic violence shelter program, rape crisis center, or victim services organization or agency as a result of the crime or abuse;
  • Takes time off from work to obtain psychological counseling or mental health services related to an experience of crime or abuse; or
  • Takes time off from work to participate in safety planning or other actions to increase safety from future crime or abuse, including temporary or permanent relocation.

Similar to Labor Code Section 230, this section will only apply to actions or inactions that occurred on or before December 31, 2024.

Employers should be aware that employees are able to use paid sick leave for appearing in court via a subpoena or by being part of a jury. This change has already taken effect, so HR staff should be updated accordingly. 

Further, employers should update their handbooks accordingly and continue providing detailed communications to employees whenever there is an issue involving violence to ensure that employees are receiving proper leave and that it is documented correctly.