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California employment laws for 2025: Important updates that relate to leaves of absence

california leave of absence law 2025

The new year brings significant changes for California employers, since several laws for California regarding leaves of absence have changed. In 2024, aiming to provide better support and flexibility for employees, Governor Gavin Newsom signed bills that will impact how employers manage leaves of absence.

Below, we’ve highlighted three changes that all employers with California-based employees should know about:

Employees can take Paid Family Leave (PFL) without first using up their vacation time

Starting in 2025, employers will no longer be able to require employees to take up to two weeks of unused employer-provided vacation before receiving Paid Family Leave (PFL) benefits. This change allows employees to access PFL benefits without first using their vacation time.

Time off for crime victims and their families

California changed existing laws to provide additional protections for crime victims. Additionally, employees can take protected time off to assist family members who are victims of certain crimes.  This expansion provides greater support for employees dealing with personal or family crises, ensuring they have the necessary time off to address these issues without fear of losing their jobs.

SDI and PFL rate changes

California State Disability Insurance (SDI)/Paid Family Leave (PFL) Rates for 2025: The Employment Development Department (EDD) announced the 2025 rates, including an increase in the SDI/PFL contribution rate from 1.1% to 1.2%, and a rise in the maximum weekly benefit amount to $1,681.

Employers should review their leave policies and ensure they comply with the new regulations to avoid potential legal issues.

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