California Code of Regulations › Title 22 - Social Security › Division 1 - Employment Development Department › Subdivision 1 - Director of Employment Development › Division 1 - Unemployment and Disability Compensation › Part 1 - Unemployment Compensation › Chapter 5 - UNEMPLOYMENT COMPENSATION BENEFITS › Article 1 - ELIGIBILITY AND DISQUALIFICATIONS › Section 1256-17 - Voluntary Leaving -Good Cause -Pensions and Retirement

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) Scope. This section relates to whether
						  good cause exists for leaving the most recent work when an individual's leaving
						  of work is due to retirement. Sections
						  1256-1,
						  1256-2, and
						  1256-3 of these regulations set
						  forth general principles also applicable under this section.
(b) Mandatory Retirement. An individual who
						  leaves work due to mandatory retirement provisions does so involuntarily and no
						  issue arises of disqualification for voluntarily leaving the most recent work
						  without good cause. Compulsory retirement of an individual is involuntary and
						  does not raise an issue under Section
						  1256 of the code regardless of
						  whether the retirement is required under collective bargaining agreement
						  provisions or a policy or practice of an employer in the absence of such an
						  agreement.
COMMENTS: In general, mandatory retirement is no
							 longer allowed, with certain exceptions (see Sections
							 20980 and
							 20980.5,
							 Government Code, and 29
							 United States Code 623,
							 631).
(c) Optional Early Retirement. General Rule.
						  An individual who exercises an option for early retirement prior to compulsory
						  retirement ordinarily leaves the most recent work without good cause in the
						  absence of other factors. If an employer offers employees who elect to retire
						  prior to compulsory retirement age an increased pension or other monetary
						  inducement, the individual who elects optional early retirement does not have
						  good cause to leave work solely due to such monetary inducements. An early
						  retirement by a worker under any pension system due to a desire to work under
						  and establish pension rights in another pension system is a leaving of work
						  without good cause in the absence of other factors. However, if additional
						  factors influence an individual's decision to retire early, there may be good
						  cause for leaving the work under the circumstances set forth in subdivision (d)
						  of this section.
If an individual who has retired and draws social
							 security benefits returns to work in a job which the individual leaves
							 voluntarily because the earnings from the job will exceed the earnings
							 limitation under the social security law and affect social security retirement
							 benefits, the leaving of work is without good cause.
(d) Other Factors. An individual whose
						  decision to elect early retirement is substantially motivated by a factor other
						  than monetary inducements may have good cause for leaving the work if a
						  reasonable person genuinely desirous of retaining employment would have retired
						  under the circumstances which motivate that individual to retire. Other factors
						  which may motivate early retirement include, but are not limited to, the
						  following:
(1) The individual's age.
(2) The individual's health (see Section
						  1256-15 of these
						  regulations).
(3) Whether the
						  individual's job will be abolished, and if so, the date the job will be
						  abolished.
(4) The length of time
						  between the retirement and the date of mandatory retirement or the abolition of
						  the job, if applicable.
(5) The
						  individual's wage at the time of early retirement (see Section
						  1256-22 of these
						  regulations).
(6) The extent and
						  degree of encouragement of early retirement given an individual by his or her
						  supervisory personnel.
(7) Whether
						  a transfer to other employment was offered by the employer
(8) Whether a leave of absence was available
						  to the individual, and if so, whether the leave would meet the individual's
						  needs (see Section
						  1256-16 of these
						  regulations).
(9) If the employment
						  is federal employment, consideration is given to the findings of the federal
						  agency. The fact that the individual leaves federal work due to a desire to
						  work in private employment to establish wages for the purpose of federal social
						  security benefits is not, taken alone, good cause for leaving
						  work.