California Employee Handbook

[COMPANY NAME]

California Employee Handbook

(Effective as of [__/__/____]; Governing Law: State of California)

TABLE OF CONTENTS

1. Welcome and Company Overview
2. Introductory Notices and Employment Relationship
3. Definitions
4. Equal Employment Opportunity and Anti-Discrimination
5. Anti-Harassment Policy and Prevention Training
6. Workplace Violence Prevention
7. Employment Classifications
8. Compensation, Pay Transparency, and Wage Notices
9. Overtime
10. Meal and Rest Periods
11. Timekeeping, Payroll, and Wage Statements
12. Expense Reimbursement
13. Paid Sick Leave
14. Vacation and Paid Time Off
15. Family and Medical Leave (CFRA/FMLA)
16. Pregnancy Disability Leave
17. Paid Family Leave
18. Bereavement Leave
19. Reproductive Loss Leave
20. Crime Victim, Domestic Violence, Sexual Assault, and Stalking Leave
21. Jury Duty, Witness Duty, and Voting Leave
22. Additional Statutory Leaves
23. Benefits and Insurance
24. Health, Safety, and Injury Prevention
25. Drug and Alcohol Policy
26. Standards of Conduct and Progressive Discipline
27. Anti-Retaliation and Whistleblower Protections
28. Confidentiality and Trade Secrets
29. Inventions Assignment
30. Technology and Acceptable Use
31. Social Media Policy
32. Remote Work and Telecommuting
33. Reporting and External Rights
34. Separation Procedures and Final Pay
35. Policy Administration
36. Acknowledgment and Receipt

1. WELCOME AND COMPANY OVERVIEW

1.1 Welcome Statement. Welcome to [COMPANY NAME] ("Company"). We are pleased to have you as a member of our team. This Employee Handbook ("Handbook") is designed to acquaint you with the Company's policies, procedures, and expectations, and to provide you with important information about your rights and obligations as a California employee.

1.2 Company Mission. [________________________________]

1.3 Purpose. This Handbook provides a general overview of Company policies and benefits. It is not intended to be an exhaustive description of every policy or benefit, nor does it address every possible situation that may arise during your employment. The Company reserves the right to interpret, modify, supplement, or rescind any policy in this Handbook at any time, consistent with applicable law.

1.4 Questions. If you have questions about any policy in this Handbook, please contact [________________________________] in Human Resources at [________________________________].

2. INTRODUCTORY NOTICES AND EMPLOYMENT RELATIONSHIP

2.1 At-Will Employment. Employment with the Company is at-will. This means that either you or the Company may terminate the employment relationship at any time, with or without cause, and with or without advance notice. No manager, supervisor, or representative of the Company has the authority to enter into any agreement for employment for a specified period of time or to make any promises or commitments regarding the terms and conditions of your employment, unless such agreement is in writing and signed by the Company's [________________________________] (title of authorized signatory).

2.2 Handbook Is Not a Contract. This Handbook does not constitute an express or implied contract of employment, a guarantee of continued employment, or a guarantee of any particular terms or conditions of employment. Nothing in this Handbook alters the at-will nature of your employment.

2.3 Policy Amendments. The Company reserves the right to revise, supplement, or rescind any policy or provision of this Handbook at its sole discretion, at any time, consistent with applicable law. Material changes will be communicated to employees in writing.

2.4 Superseding Effect. This Handbook, effective [__/__/____], supersedes all prior handbooks, policy manuals, and written or oral representations regarding the matters addressed herein.

2.5 Applicable Law. This Handbook shall be interpreted and applied in accordance with the laws of the State of California. Where California law provides greater protections or benefits than federal law, California law shall govern.

3. DEFINITIONS

The following terms, when capitalized, have the meanings set forth below and are applicable throughout this Handbook.

"CA Wage Order(s)" — The Industrial Welfare Commission ("IWC") wage order(s) applicable to the Company's industry or occupation.

"CFRA" — The California Family Rights Act, Cal. Gov. Code § 12945.2.

"Company Property" — All tangible and intangible assets owned, leased, or licensed by the Company, including but not limited to intellectual property, trade secrets, equipment, devices, documents, data, and confidential information.

"Confidential Information" — Any non-public information relating to the Company's business, operations, clients, customers, employees, finances, strategies, processes, or technology that derives independent economic value from not being generally known.

"CRD" — The California Civil Rights Department (formerly the Department of Fair Employment and Housing).

"Employee" — Any individual employed by the Company, whether full-time, part-time, temporary, seasonal, exempt, or non-exempt.

"FEHA" — The California Fair Employment and Housing Act, Cal. Gov. Code § 12900 et seq.

"FMLA" — The federal Family and Medical Leave Act, 29 U.S.C. §§ 2601 et seq.

"PDL" — Pregnancy Disability Leave under Cal. Gov. Code § 12945.

"PFL" — California's Paid Family Leave program under Cal. UI Code § 3300 et seq.

"Protected Characteristic" — Characteristics protected under applicable federal, state, or local employment law, including race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, genetic information, marital status, sex (including pregnancy, childbirth, breastfeeding, and related medical conditions), gender, gender identity, gender expression, age (40 and over), sexual orientation, reproductive health decisionmaking, military or veteran status, and any other status protected by applicable law. Separate policies below protect lawful political activity and victim-related leave and accommodation rights.

"Regular Rate of Pay" — The rate used to calculate overtime and premium pay, which includes hourly wages and all nondiscretionary compensation as required under Cal. Lab. Code § 510(a) and applicable IWC Wage Orders.

"Working Time" — All hours during which the Employee is suffered or permitted to work, as defined under the California Labor Code and applicable CA Wage Orders.

4. EQUAL EMPLOYMENT OPPORTUNITY AND ANTI-DISCRIMINATION

4.1 Policy Statement. The Company is an equal opportunity employer. The Company provides equal employment opportunities to all Employees and applicants for employment without regard to any Protected Characteristic as defined in Section 3 of this Handbook. This policy applies to all terms and conditions of employment, including but not limited to hiring, placement, promotion, demotion, transfer, layoff, recall, termination, compensation, benefits, and training.

4.2 FEHA Compliance. The Company complies with the California Fair Employment and Housing Act (Cal. Gov. Code § 12900 et seq.) and all regulations promulgated thereunder by the California Civil Rights Department (CRD). The Company prohibits unlawful discrimination in every aspect of employment and in every selection, evaluation, and employment-decision process.

4.3 Reasonable Accommodation. The Company will provide reasonable accommodations to qualified individuals with physical or mental disabilities, and to individuals with pregnancy-related conditions, religious practices, or other characteristics protected under FEHA and the Americans with Disabilities Act (ADA), unless doing so would impose an undue hardship on the Company. Employees seeking an accommodation should contact [________________________________] to initiate the interactive process.

4.4 Interactive Process. Upon receiving a request for accommodation or becoming aware of a potential need for accommodation, the Company will engage in a timely, good-faith interactive process with the Employee to identify effective reasonable accommodations.

4.5 Complaint Procedure. Any Employee who believes they have been subjected to discrimination or who has witnessed discrimination should report the conduct immediately to:

• [________________________________] (Human Resources)
• [________________________________] (Alternate Contact / Title)
• Telephone: [________________________________]
• Email: [________________________________]

The Company will investigate all complaints promptly and impartially. Complaints may also be filed with the California Civil Rights Department (CRD) or the federal Equal Employment Opportunity Commission (EEOC).

5. ANTI-HARASSMENT POLICY AND PREVENTION TRAINING

5.1 Zero-Tolerance Policy. The Company maintains a strict zero-tolerance policy against harassment of any kind, including sexual harassment, based on any Protected Characteristic. This policy applies to all Employees, supervisors, managers, executives, temporary workers, interns, volunteers, independent contractors, clients, vendors, and any other third parties in the workplace.

5.2 Definition of Harassment. Harassment includes but is not limited to:

• Verbal harassment (e.g., epithets, derogatory comments, slurs, threats, unwelcome jokes);
• Physical harassment (e.g., unwanted touching, assault, physical interference with movement);
• Visual harassment (e.g., offensive posters, cartoons, drawings, gestures, emails, text messages, or social media posts);
• Sexual harassment, including unwelcome sexual advances, requests for sexual favors, and other verbal, visual, or physical conduct of a sexual nature; and
• Conduct that creates a hostile, intimidating, or offensive work environment, whether in person, remote, or through electronic communications.

5.3 Quid Pro Quo Harassment. It is unlawful for any supervisor or manager to condition employment benefits (hiring, promotion, continued employment, compensation, assignments) on the submission to or acceptance of sexual advances or any conduct based on a Protected Characteristic.

5.4 Duty to Report. All Employees are strongly encouraged to report harassment immediately. Supervisors and managers have a mandatory obligation to report any harassment they witness or learn about to Human Resources, regardless of whether the affected Employee has filed a formal complaint.

5.5 Reporting Channels. Reports of harassment may be made to:

• [________________________________] (Human Resources)
• [________________________________] (Alternate Contact / Title)
• Telephone: [________________________________]
• Anonymous Reporting Hotline: [________________________________]

5.6 Investigation and Corrective Action. The Company will promptly investigate all complaints of harassment. Investigations will be conducted fairly, thoroughly, and as confidentially as possible. If the investigation confirms that harassment occurred, the Company will take prompt and effective corrective action, up to and including termination of the offending individual.

5.7 Harassment Prevention Training (SB 1343 / Cal. Gov. Code § 12950.1). This subsection applies when the Company has five (5) or more employees.

(a) All supervisory employees must complete at least two (2) hours of interactive sexual harassment prevention training within six (6) months of assuming a supervisory role and every two (2) years thereafter.

(b) All non-supervisory employees must complete at least one (1) hour of interactive sexual harassment prevention training within six (6) months of hire and every two (2) years thereafter.

(c) A seasonal or temporary employee hired to work for less than six (6) months must be trained within thirty (30) calendar days after hire or within one hundred (100) hours worked, whichever occurs first. For a temporary employee supplied by a temporary-services employer, the temporary-services employer is responsible for training.

(d) Training must include practical examples of harassment based on gender identity, gender expression, and sexual orientation, and must cover the prevention of abusive conduct in the workplace.

(e) The Company will maintain required training records, including attendance and training materials, for a minimum of two (2) years.

5.8 CRD Information and Postings. The Company will provide each Employee the CRD sexual-harassment fact sheet (currently CRD-185) or equivalent information satisfying Cal. Gov. Code § 12950, and will maintain the required CRD workplace postings.

6. WORKPLACE VIOLENCE PREVENTION

6.1 Policy Statement. The Company is committed to providing a safe workplace free from threats and acts of violence. For each workplace covered by Cal. Lab. Code § 6401.9, the Company maintains a written Workplace Violence Prevention Plan ("WVPP").

6.2 Scope. This policy covers all Employees, temporary workers, contractors, clients, visitors, and any other persons present at Company worksites.

6.3 Prohibited Conduct. The following conduct is strictly prohibited:

• Threats of violence, whether direct or indirect, verbal, written, or electronic;
• Physical acts of violence, including assault, battery, and intimidation;
• Possession of weapons on Company premises, unless authorized by law;
• Stalking, bullying, or intimidation of any kind; and
• Any conduct that creates a reasonable fear of bodily harm.

6.4 Workplace Violence Prevention Plan. The Company's WVPP includes:
(a) Assignment of administrative responsibility for the plan;
(b) Procedures for employee involvement in plan development and implementation;
(c) Methods for identifying and evaluating workplace violence hazards;
(d) Procedures for correcting identified hazards;
(e) A system for reporting workplace violence incidents, threats, and concerns without fear of retaliation;
(f) Emergency response and post-incident procedures; and
(g) A violent incident log maintained in accordance with Cal. Lab. Code § 6401.9.

6.5 Training. The Company will provide covered Employees training when the WVPP is established and at least annually thereafter, and additional training when a new or previously unrecognized workplace-violence hazard is identified or the plan changes.

6.6 Review. The WVPP will be reviewed at least annually, whenever a deficiency becomes apparent, and after a workplace-violence incident.

6.7 Reporting. Employees must immediately report any workplace violence incident, threat, or hazard to [________________________________] or by calling [________________________________]. In the event of an imminent threat, Employees should call 911 immediately.

7. EMPLOYMENT CLASSIFICATIONS

7.1 Classification Categories. Employees are classified based on the following categories, which affect eligibility for overtime, benefits, and other terms of employment:

By Exemption Status:

• ☐ Exempt — Employees who meet the duties and salary requirements for exemption under California law and applicable IWC Wage Orders. Exempt employees are not eligible for overtime pay.
• ☐ Non-Exempt — Employees who do not meet the exemption criteria and are entitled to overtime pay and meal/rest periods as required by law.

By Work Schedule:

• ☐ Full-Time — Employees regularly scheduled to work [____] hours or more per week.
• ☐ Part-Time — Employees regularly scheduled to work fewer than [____] hours per week.
• ☐ Temporary — Employees hired for a specific project or limited period.

7.2 Exempt Employee Salary Threshold. As of January 1, 2026, to qualify for exempt status under California law, an employee must earn a monthly salary of no less than two (2) times the state minimum wage for full-time employment, which equates to an annual salary of at least $70,304 ($5,858.67 per month).

7.3 Classification Questions. If you have questions about your classification, please contact [________________________________]. The Company will review classifications periodically and make corrections as appropriate. Misclassification complaints will not result in retaliation.

8. COMPENSATION, PAY TRANSPARENCY, AND WAGE NOTICES

8.1 Minimum Wage. All Employees will be paid at least the greater of: (a) the California state minimum wage (currently $16.90 per hour as of January 1, 2026); or (b) any applicable local minimum wage ordinance.

8.2 Pay Transparency (SB 1162). The Company complies with California's Pay Transparency Act (SB 1162, codified at Cal. Lab. Code § 432.3).

(a) Pay Scale Disclosure on Request. Upon request, the Company will provide any current Employee with the pay scale for the Employee's current position.

(b) Job Postings. For employers with 15 or more employees, all job postings, whether internal or external, must include the pay scale (i.e., the good-faith estimate of the salary or hourly wage range the Company reasonably expects to pay upon hire).

(c) Salary History Prohibition. The Company will not seek salary history information about applicants for employment, whether directly or through an agent, and will not rely on salary history as a factor in deciding whether to offer employment or what compensation to offer.

(d) Pay Data Reporting. If the Company is a private employer subject to Cal. Gov. Code § 12999, it will submit the required annual payroll-employee and, when applicable, labor-contractor-employee reports to the CRD by the second Wednesday of May, using the current CRD reporting instructions.

(e) Record Retention. The Company will maintain job title and wage history records for each Employee for the duration of employment and for three (3) years after separation, per Cal. Lab. Code § 432.3(c)(4).

8.3 Wage Theft Prevention Notice (Cal. Lab. Code § 2810.5). At the time of hire, the Company will provide each covered Employee—generally a non-exempt Employee not within a statutory exception—with a written notice containing:
(a) The rate(s) of pay and basis thereof (hourly, salary, piece, commission, etc.);
(b) Any applicable overtime rate(s);
(c) Allowances, if any, claimed as part of the minimum wage;
(d) The regular payday;
(e) The employer's name, including any "doing business as" names;
(f) The employer's physical and mailing addresses;
(g) The employer's telephone number;
(h) The name, address, and telephone number of the employer's workers' compensation insurance carrier; and
(i) Any other information required by the Labor Commissioner.

The notice will also include required paid-sick-leave information and any recent federal or state emergency or disaster declaration that must be disclosed under current law.

Changes to the information in the notice must be communicated within seven (7) calendar days.

9. OVERTIME

9.1 Non-Exempt Employees. Non-exempt Employees are entitled to overtime compensation as follows, pursuant to Cal. Lab. Code § 510:

(a) Daily Overtime (1.5x). One and one-half (1.5) times the Employee's Regular Rate of Pay for all hours worked in excess of eight (8) hours in any workday, and for the first eight (8) hours worked on the seventh (7th) consecutive day of work in any workweek.

(b) Daily Double Time (2x). Two (2) times the Employee's Regular Rate of Pay for all hours worked in excess of twelve (12) hours in any workday, and for all hours worked in excess of eight (8) on the seventh (7th) consecutive day of work in any workweek.

(c) Weekly Overtime (1.5x). One and one-half (1.5) times the Employee's Regular Rate of Pay for all hours worked in excess of forty (40) hours in any workweek.

9.2 Regular Rate Calculation. The Regular Rate of Pay for overtime and premium pay purposes includes all hourly wages and nondiscretionary compensation, such as shift differentials, nondiscretionary bonuses, incentive payments, commissions, and piece-rate pay, as required under Cal. Lab. Code § 510(a) and applicable Wage Orders.

9.3 Authorization Required. All overtime work must be authorized in advance by the Employee's supervisor or manager. However, the Company will compensate all overtime hours actually worked, regardless of whether prior authorization was obtained. Failure to obtain advance authorization may result in disciplinary action.

9.4 Exempt Employees. Exempt Employees are not eligible for overtime compensation. Exempt status is determined by both salary level and job duties in accordance with California law and applicable IWC Wage Orders.

10. MEAL AND REST PERIODS

10.1 Meal Periods (Cal. Lab. Code § 512). The Company provides meal periods to non-exempt Employees as follows:

(a) First Meal Period. Non-exempt Employees who work more than five (5) hours in a workday are entitled to an uninterrupted, duty-free meal period of at least thirty (30) minutes, to begin no later than the end of the fifth (5th) hour of work.

(b) Meal Period Waiver (First). An Employee who works no more than six (6) hours in a workday may voluntarily waive the first meal period by mutual written consent.

(c) Second Meal Period. Non-exempt Employees who work more than ten (10) hours in a workday are entitled to a second uninterrupted, duty-free meal period of at least thirty (30) minutes, to begin no later than the end of the tenth (10th) hour of work.

(d) Meal Period Waiver (Second). An Employee who works no more than twelve (12) hours in a workday may voluntarily waive the second meal period, provided the first meal period was not waived.

(e) On-Duty Meal Periods. On-duty meal periods are permitted only when the nature of the work prevents the Employee from being relieved of all duties, the Employee agrees to an on-duty meal period in writing, and the Employee may revoke the agreement at any time.

10.2 Rest Periods. Non-exempt Employees are entitled to paid rest periods as follows:

(a) Duration and Frequency. A paid rest period of ten (10) minutes for every four (4) hours worked, or major fraction thereof.

(b) Timing. Rest periods should be taken as close to the middle of each four-hour work period as practicable.

(c) No Rest Period Required. Employees whose total daily work time is less than three and one-half (3.5) hours are not entitled to a rest period.

(d) Rest Period Schedule:

10.3 Premium Pay for Missed Meals/Rest Periods (Cal. Lab. Code § 226.7). If the Company fails to provide a compliant meal period, the Employee will receive one (1) additional hour of pay at the Employee's Regular Rate of Pay for that workday. If the Company fails to authorize and permit required rest periods, the Employee will receive one (1) additional hour of pay at the Employee's Regular Rate of Pay for that workday.

10.4 Reporting Missed Meals/Rests. Employees who miss a meal or rest period for any reason must immediately notify their supervisor and complete a missed meal/rest period report. The Company will not discourage or impede Employees from taking their meal or rest periods.

11. TIMEKEEPING, PAYROLL, AND WAGE STATEMENTS

11.1 Timekeeping. Non-exempt Employees must accurately record all Working Time using the Company's designated timekeeping system, including start and end times, meal period start and end times, and any time spent on work outside of regular hours. Altering, falsifying, or tampering with time records is grounds for discipline up to and including termination.

11.2 Pay Period and Payday. Employees are paid on a [________________________________] (weekly / bi-weekly / semi-monthly) basis. Payday is [________________________________]. If a payday falls on a holiday, payment will be made on the preceding business day.

11.3 Itemized Wage Statements (Cal. Lab. Code § 226). The Company will provide each Employee with an accurate, itemized wage statement with each payment of wages, including:
(a) Gross wages earned;
(b) Total hours worked (for non-exempt employees);
(c) The number of piece-rate units earned and any applicable piece rate (if applicable);
(d) All deductions;
(e) Net wages earned;
(f) The inclusive dates of the pay period;
(g) The Employee's name and last four digits of the Social Security number or an employee identification number;
(h) The name and address of the legal entity that is the employer; and
(i) All applicable hourly rates in effect during the pay period and the corresponding number of hours worked at each rate.

11.4 Payroll Deductions. The Company will withhold all statutory deductions (federal and state income taxes, Social Security, Medicare, SDI, etc.) and any voluntary deductions authorized by the Employee in writing (e.g., retirement contributions, insurance premiums).

11.5 Wage Statement Discrepancies. Employees who believe their wage statement contains an error should promptly notify [________________________________] in Payroll or Human Resources.

12. EXPENSE REIMBURSEMENT

12.1 Policy (Cal. Lab. Code § 2802). The Company will indemnify and reimburse Employees for all necessary expenditures and losses incurred by the Employee in direct consequence of the discharge of job duties, or in obedience to the directions of the Company.

12.2 Reimbursable Expenses. Reimbursable expenses include but are not limited to:

• Business travel expenses (mileage, airfare, lodging, meals at the IRS-approved rate or actual cost);
• Business-related telephone and internet service charges;
• Required tools, equipment, and supplies;
• Required uniforms and their maintenance;
• Professional licenses and certifications required for the position; and
• For remote/hybrid workers: a reasonable percentage of internet service, telephone service, and home office equipment costs when the Employee is required or authorized to work from home.

12.3 Submission of Expense Reports. Employees must submit expense reports with supporting documentation within [____] days of incurring the expense. The Company will process reimbursements within [____] days of receipt of a complete expense report.

12.4 Non-Reimbursable Expenses. The Company will not reimburse personal expenses, fines or penalties for personal violations of law, or expenses not incurred in connection with job duties.

13. PAID SICK LEAVE

13.1 Eligibility. Employees who work 30 or more days within a year in California are eligible for paid sick leave under the Healthy Workplaces, Healthy Families Act (Cal. Lab. Code §§ 245–249), as amended by SB 616.

13.2 Accrual. The Company provides paid sick leave as follows:

☐ Option A — Accrual Method. Employees accrue one (1) hour of paid sick leave for every thirty (30) hours worked, with a maximum accrual cap of [____] hours (not less than 80 hours or 10 days, whichever is greater). Unused accrued sick leave carries over from year to year, subject to the accrual cap, but usage may be limited to five (5) days or forty (40) hours per year (whichever is greater).

☐ Option B — Frontloading Method. Employees receive the full annual entitlement of five (5) days or forty (40) hours (whichever is greater) of paid sick leave at the beginning of each benefit year. No carryover is required under this method.

13.3 Permitted Uses. Paid sick leave may be used for:
(a) The Employee's own illness, injury, or health condition, including preventive care;
(b) The illness, injury, or health condition of a family member (spouse, registered domestic partner, child, parent, grandparent, grandchild, sibling, or one designated person per twelve-month period), including preventive care;
(c) Purposes authorized by Cal. Gov. Code § 12945.8 for an Employee or qualifying family member affected by a qualifying act of violence; and
(d) Any other purpose permitted by law.

13.4 Minimum Increment. The Company may set a reasonable minimum increment for paid sick leave use, but that minimum will not exceed two (2) hours. The Company's selected increment is [____] hours.

13.5 Notice. When the need for sick leave is foreseeable, the Employee shall provide reasonable advance notice. When unforeseeable, the Employee shall provide notice as soon as practicable.

13.6 No Retaliation. The Company will not retaliate against any Employee for using or requesting paid sick leave.

14. VACATION AND PAID TIME OFF

14.1 Vacation Accrual. The Company provides vacation benefits as follows:

14.2 No Forfeiture / No "Use-It-or-Lose-It." Under California law, accrued vacation time is considered earned wages that vest as the labor is performed. The Company does not have a "use-it-or-lose-it" vacation policy. Accrued vacation time cannot be forfeited, even upon termination. The Company may impose a reasonable accrual cap, after which no additional vacation accrues until the balance falls below the cap.

14.3 Vacation Payout Upon Separation (Cal. Lab. Code § 227.3). Upon separation of employment for any reason, all accrued and unused vacation will be paid out to the Employee at the Employee's final rate of pay as part of the Employee's final wages.

14.4 Scheduling. Vacation requests should be submitted to the Employee's supervisor at least [____] days in advance. The Company will make reasonable efforts to accommodate requests but reserves the right to schedule or limit vacation based on business needs.

15. FAMILY AND MEDICAL LEAVE (CFRA / FMLA)

15.1 Eligibility. Employees are eligible for leave under the California Family Rights Act (CFRA; Cal. Gov. Code § 12945.2) and/or the Family and Medical Leave Act (FMLA; 29 U.S.C. § 2601 et seq.) if they have:
(a) Been employed by the Company for at least twelve (12) months; and
(b) Worked at least 1,250 hours during the twelve (12) months preceding the start of leave.

Employer Coverage: CFRA applies to employers with five (5) or more employees. FMLA generally applies to an employer with fifty (50) or more employees for at least twenty workweeks in the current or preceding calendar year; an employee must also work at a site where the employer has at least fifty employees within seventy-five miles.

15.2 Qualifying Reasons. Eligible Employees may take up to twelve (12) workweeks of unpaid, job-protected leave in a twelve (12)-month period for the following reasons:
(a) The birth of a child and to bond with the newborn (within one year of birth);
(b) The placement of a child for adoption or foster care and to bond with the newly placed child (within one year of placement);
(c) To care for a spouse, registered domestic partner, child, parent, parent-in-law, grandparent, grandchild, sibling, or a designated person with a serious health condition, to the extent covered by CFRA and/or FMLA;
(d) The Employee's own serious health condition that renders the Employee unable to perform the functions of the position; or
(e) A qualifying exigency related to the covered active duty or call to covered active duty of the Employee's spouse, registered domestic partner, child, or parent, to the extent covered by CFRA and/or FMLA.

15.3 FMLA Military Caregiver Leave. Eligible Employees under FMLA may take up to twenty-six (26) workweeks of leave in a single twelve (12)-month period to care for a covered servicemember with a serious injury or illness.

15.4 Concurrent Leave. CFRA and FMLA leave will run concurrently to the extent permitted by law. However, CFRA leave for pregnancy disability is separate from PDL (see Section 16).

15.5 Intermittent Leave. When medically necessary, leave may be taken on an intermittent or reduced-schedule basis.

15.6 Benefits During Leave. The Company will maintain the Employee's group health insurance benefits during CFRA/FMLA leave under the same terms and conditions as if the Employee had continued working.

15.7 Return to Work. Upon return from CFRA/FMLA leave, the Employee will be reinstated to the same or a comparable position, except as permitted by law.

15.8 Notice Requirements. Employees must provide reasonable advance notice when the need for CFRA leave is foreseeable. When FMLA applies, thirty (30) days' advance notice is generally required for foreseeable leave. When advance notice is not feasible, notice must be given as soon as practicable. The Company may require certification as permitted by law.

16. PREGNANCY DISABILITY LEAVE

16.1 Eligibility. Any Employee who is disabled by pregnancy, childbirth, or a related medical condition is entitled to Pregnancy Disability Leave (PDL) under Cal. Gov. Code § 12945, regardless of the length of employment. PDL applies to employers with five (5) or more employees.

16.2 Duration. Eligible Employees may take up to four (4) months of job-protected PDL per pregnancy, measured by the number of days or hours the Employee would normally work within four calendar months (approximately 17⅓ weeks for a full-time Employee working forty hours per week).

16.3 Transfer. An Employee affected by pregnancy may request a transfer to a less strenuous or hazardous position or duties if medically advisable and if the transfer can be reasonably accommodated.

16.4 Reasonable Accommodation. The Company will provide reasonable accommodation for conditions related to pregnancy, childbirth, or related medical conditions, upon the advice of the Employee's health care provider.

16.5 Stacking with CFRA. PDL is separate from and in addition to CFRA leave. An Employee may take up to four (4) months of PDL followed by up to twelve (12) weeks of CFRA bonding leave.

16.6 Benefits During PDL. Group health insurance benefits will be maintained during PDL for up to four (4) months on the same terms as if the Employee had continued working.

17. PAID FAMILY LEAVE

17.1 State-Administered Program. California's Paid Family Leave (PFL) program (Cal. UI Code § 3300 et seq.) is a state-administered wage replacement benefit funded by employee payroll contributions through State Disability Insurance (SDI). PFL is not a leave of absence from work — it is a wage replacement benefit.

17.2 Duration. PFL provides up to eight (8) weeks of partial wage replacement benefits in a twelve (12)-month period.

17.3 Qualifying Reasons. PFL benefits are available to:
(a) Bond with a new child (birth, adoption, or foster care placement);
(b) Care for a seriously ill family member (child, parent, parent-in-law, grandparent, grandchild, sibling, spouse, or registered domestic partner); or
(c) Participate in a qualifying event because of a family member's military deployment to a foreign country.

17.4 Coordination with Leave. PFL wage replacement benefits may be coordinated with CFRA, FMLA, or PDL leave as applicable. For periods beginning on or after January 1, 2025, the Company will not require an Employee to use vacation leave before receiving PFL benefits.

17.5 Job Protection. PFL itself does not provide job protection. Job protection is provided by CFRA, FMLA, or other applicable leave laws.

18. BEREAVEMENT LEAVE

18.1 Eligibility (Cal. Gov. Code § 12945.7 — AB 1949). Employees who have been employed for at least thirty (30) days prior to the commencement of leave are eligible for bereavement leave. This provision applies to employers with five (5) or more employees.

18.2 Duration. Eligible Employees may take up to five (5) days of bereavement leave upon the death of a family member, as defined below. The leave need not be taken consecutively but must be completed within three (3) months of the date of death.

18.3 Qualifying Family Members. For purposes of bereavement leave, "family member" includes a spouse, registered domestic partner, child, parent, parent-in-law, sibling, grandparent, or grandchild.

18.4 Paid/Unpaid Status. Bereavement leave is [☐ paid / ☐ unpaid]. Employees may elect to use accrued vacation, PTO, or sick leave during bereavement leave.

18.5 Documentation. The Company may request documentation of the death (e.g., death certificate, obituary, memorial program) within thirty (30) days of the first day of leave.

18.6 No Retaliation. The Company will not retaliate against any Employee for requesting or taking bereavement leave.

19. REPRODUCTIVE LOSS LEAVE

19.1 Eligibility (Cal. Gov. Code § 12945.6 — SB 848). Employees who have been employed for at least thirty (30) days are eligible for reproductive loss leave. This provision applies to employers with five (5) or more employees.

19.2 Qualifying Events. A "reproductive loss event" means a failed adoption, failed surrogacy, miscarriage, stillbirth, or unsuccessful assisted reproduction.

19.3 Duration. Eligible Employees may take up to five (5) days of leave per reproductive loss event, with a maximum of twenty (20) days in any twelve (12)-month period. Leave must generally be completed within three (3) months of the event. If the Employee is on another qualifying state or federal leave immediately before or after the event, the three-month period runs from the end of that other leave.

19.4 Paid/Unpaid Status. Reproductive loss leave is [☐ paid / ☐ unpaid]. Employees may elect to use accrued vacation, PTO, or sick leave.

19.5 Confidentiality. The Company will maintain the confidentiality of any Employee requesting reproductive loss leave. No documentation of the reproductive loss event is required.

19.6 No Retaliation. The Company will not retaliate against any Employee for requesting or taking reproductive loss leave.

20. CRIME VICTIM, DOMESTIC VIOLENCE, SEXUAL ASSAULT, AND STALKING LEAVE

20.1 Covered Rights (Cal. Gov. Code § 12945.8; Cal. Lab. Code §§ 230–230.1). The Company will not discriminate or retaliate against an Employee for protected jury or witness service, for seeking a restraining order or other injunctive relief as a victim, or—beginning January 1, 2026—for attending covered crime-related judicial proceedings as a victim or qualifying family member of a victim.

20.2 Additional Leave for Employers with 25 or More Employees. When the Company has twenty-five (25) or more employees, an Employee who is a victim, or whose qualifying family member is a victim, may take protected time off for purposes authorized by law, including medical care and recovery, victim services, counseling, safety planning, relocation, caring for a recovering family member, legal services or proceedings, and safety-related child or dependent-adult care. A qualifying family member includes a child, parent, grandparent, grandchild, sibling, spouse, registered domestic partner, or one designated person per twelve-month period.

20.3 Duration Limits. Leave under the additional twenty-five-employee provisions may be limited to twelve (12) workweeks in total. For an Employee who is not a victim and takes leave because a family member is a victim, leave may generally be limited to ten (10) days, and to five (5) days when the sole purpose is relocation or securing a new residence, subject to the statutory exceptions. Qualifying leave will run concurrently with CFRA or FMLA when permitted.

20.4 Notice and Certification. Employees should provide reasonable advance notice when feasible. For an unscheduled absence, the Company may request certification permitted by law, including an Employee's signed statement or qualifying police, court, medical, counseling, or victim-services documentation.

20.5 Use of Paid Leave. Employees may use available paid sick leave, vacation, PTO, personal leave, or compensatory time as permitted by law and Company policy.

20.6 Reasonable Accommodation. The Company will engage in a timely, good-faith interactive process and provide a reasonable workplace-safety accommodation to an Employee who is a victim, unless the accommodation would impose an undue hardship or conflict with the Company's duty to maintain a safe workplace. Potential accommodations include a transfer, reassignment, modified schedule, changed work telephone number or workstation, locks, safety procedures, or referral to victim-assistance resources.

20.7 Confidentiality and Notice. The Company will maintain required confidentiality, provide advance notice before a legally permitted disclosure when required, and distribute the current state notice of victim-leave and accommodation rights upon hire, annually, upon request, and when an Employee discloses covered victim status.

20.8 No Retaliation. The Company will not retaliate against any Employee for exercising rights under this section.

21. JURY DUTY, WITNESS DUTY, AND VOTING LEAVE

21.1 Jury Duty (Cal. Lab. Code § 230). Employees summoned to serve as jurors will be provided time off for the duration of jury service. The Company [☐ will / ☐ will not] provide paid jury duty leave for up to [____] days per calendar year. Employees must provide reasonable advance notice and documentation (e.g., jury summons) to their supervisor.

21.2 Witness Duty. Employees who are required by subpoena or court order to appear as a witness in a judicial proceeding are entitled to protected time off. Employees must provide reasonable advance notice when feasible.

21.3 Voting Leave (Cal. Elec. Code § 14000). If an Employee does not have sufficient time outside of working hours to vote in a statewide election, the Employee may take up to two (2) hours of paid time off at the beginning or end of the work shift, whichever allows the most time for voting and the least time off from work. Employees must provide at least two (2) working days' notice if time off is needed to vote. The Company will post a notice of voting leave rights at least ten (10) days before each statewide election.

22. ADDITIONAL STATUTORY LEAVES

22.1 The Company provides leave as required by applicable federal, state, and local law, including but not limited to:

(a) Military Service Leave. Leave for active military duty, training, and related purposes under USERRA and the California Military and Veterans Code.

(b) Organ and Bone Marrow Donor Leave. Up to thirty (30) business days of paid leave and up to thirty (30) additional business days of unpaid leave in a one-year period for organ donation, and up to five (5) business days of paid leave for bone marrow donation, subject to the verification and coordination rules in Cal. Lab. Code § 1510.

(c) School and Child-Care Activities Leave. If the Company employs twenty-five (25) or more employees at the same location, an eligible parent, guardian, or grandparent with custody may take up to forty (40) hours per year, generally not exceeding eight (8) hours per month, for covered school or licensed-child-care activities and emergencies (Cal. Lab. Code § 230.8).

(d) Emergency Duty and Training Leave. Protected emergency-duty leave is available to covered volunteer firefighters, reserve peace officers, and emergency rescue personnel. If the Company has fifty (50) or more employees, covered Employees may also take up to fourteen (14) days per calendar year for qualifying fire, law-enforcement, or emergency-rescue training (Cal. Lab. Code §§ 230.3–230.4).

(e) Civil Air Patrol Leave. If the Company has more than fifteen (15) employees, it will make no fewer than ten (10) days of unpaid leave per calendar year available to a qualifying Employee who has worked for the Company for at least ninety (90) days for an authorized Civil Air Patrol emergency operational mission. Leave is generally limited to three (3) days per mission unless properly extended (Cal. Lab. Code §§ 1500–1507).

(f) Literacy Assistance. If the Company regularly employs twenty-five (25) or more employees, it will reasonably accommodate and assist an Employee who reveals a literacy problem and requests adult-literacy assistance, unless doing so would impose an undue hardship (Cal. Lab. Code § 1041).

(g) Military Spouse Leave. If the Company has twenty-five (25) or more employees, an eligible spouse of a deployed servicemember may take up to ten (10) days of unpaid leave during the servicemember's qualified leave from deployment, subject to Cal. Mil. & Vet. Code § 395.10.

22.2 The Company will not retaliate against any Employee for requesting or taking any statutory leave.

23. BENEFITS AND INSURANCE

23.1 Overview. The Company offers the following benefits to eligible Employees. Eligibility requirements, coverage details, and costs are described in the applicable plan documents and summary plan descriptions, which control in the event of any conflict with this Handbook.

23.2 Available Benefits.

• ☐ Medical insurance
• ☐ Dental insurance
• ☐ Vision insurance
• ☐ Life insurance / Accidental death and dismemberment (AD&D)
• ☐ Short-term disability
• ☐ Long-term disability
• ☐ 401(k) or other retirement plan
• ☐ Employee Assistance Program (EAP)
• ☐ Commuter benefits
• ☐ Other: [________________________________]

23.3 Workers' Compensation. The Company maintains workers' compensation insurance as required by California law. Employees who sustain a work-related injury or illness must report the incident immediately and file a claim as directed. The Company will not retaliate against any Employee for filing a workers' compensation claim.

23.4 State Disability Insurance (SDI) and Paid Family Leave (PFL). Employees contribute to the State Disability Insurance fund through payroll deductions. SDI provides partial wage replacement for Employees unable to work due to a non-work-related illness, injury, or pregnancy. PFL benefits are also funded through SDI contributions (see Section 17).

23.5 COBRA/Cal-COBRA. Employees and eligible dependents who lose group health coverage due to a qualifying event may be eligible for continued coverage under COBRA and/or Cal-COBRA. Information about continuation coverage will be provided upon a qualifying event.

23.6 Workplace Know Your Rights Notice (Cal. Lab. Code §§ 1550–1559). The Company will provide the required stand-alone notice to current Employees by February 1, 2026 and annually thereafter, and to new Employees upon hire. The notice will use the current Labor Commissioner template and will address workers' compensation, immigration-enforcement inspections and unfair immigration-related practices, organizing and concerted activity, constitutional rights when interacting with law enforcement at work, and other required developments. It will be delivered in the required language and manner, with delivery records retained for three (3) years.

24. HEALTH, SAFETY, AND INJURY PREVENTION

24.1 Injury and Illness Prevention Program (IIPP). The Company maintains an Injury and Illness Prevention Program as required by Cal. Lab. Code § 6401.7 and Cal/OSHA regulations. The IIPP includes hazard identification and evaluation, workplace inspections, accident and exposure investigations, hazard correction, training and communication, and recordkeeping.

24.2 Cal/OSHA Compliance. The Company complies with all applicable Cal/OSHA standards and regulations. Employees have the right to report unsafe or unhealthy conditions without fear of retaliation.

24.3 Reporting Obligations. Employees must immediately report:

• Workplace injuries or illnesses;
• Unsafe or unhealthy conditions;
• Equipment malfunctions or hazards; and
• Near-miss incidents.

Reports should be directed to [________________________________] (Safety Officer / Manager / HR).

24.4 Ergonomic Assessments. The Company will provide ergonomic assessments upon request for workstation accommodations, including for remote work environments where applicable.

25. DRUG AND ALCOHOL POLICY

25.1 Drug-Free Workplace. The Company is committed to maintaining a drug-free and alcohol-free workplace. The unlawful manufacture, distribution, dispensation, possession, or use of controlled substances or alcohol during Working Time or on Company premises is strictly prohibited.

25.2 Prohibition. Employees may not:
(a) Report to work or perform job duties while under the influence of alcohol, illegal drugs, or any substance that impairs the ability to work safely and effectively;
(b) Use, possess, distribute, sell, or manufacture illegal drugs on Company premises or during Working Time;
(c) Misuse prescription or over-the-counter medications in a manner that impairs work performance or safety.

25.3 Prescription Medications and Medical Privacy. Employees are not required to disclose a diagnosis or medication merely because medication is prescribed. An Employee who believes a medication or medical condition may affect safe performance, or who seeks an accommodation, should contact [________________________________] in Human Resources rather than disclose medical details to a supervisor. Any medical inquiry will be limited to what is job-related and consistent with business necessity, and medical information will be maintained confidentially as required by law.

25.4 Off-Duty Cannabis Protections. The Company prohibits possession, use, or impairment in the workplace or during Working Time. Subject to Cal. Gov. Code § 12954, the Company will not discriminate based on cannabis use off the job and away from the workplace or solely on a test that detects nonpsychoactive cannabis metabolites. These protections do not apply where the statute excludes the position or where federal law, a federal contract, federal funding, licensing, or security-clearance rules require different testing or employment action, including applicable building-and-construction-trades positions.

25.5 Consequences. Violation of this policy may result in disciplinary action up to and including termination, and may also result in referral to law enforcement.

26. STANDARDS OF CONDUCT AND PROGRESSIVE DISCIPLINE

26.1 Standards of Conduct. Employees are expected to conduct themselves professionally, treat all individuals with respect, comply with Company policies and applicable laws, and protect Company Property.

26.2 Examples of Prohibited Conduct. The following conduct is prohibited and may result in immediate disciplinary action, up to and including termination:

• Theft, dishonesty, or fraud;
• Insubordination or refusal to perform lawful assigned duties, except where refusal or reporting is protected by law;
• Violation of safety rules or failure to report hazards;
• Harassment, discrimination, or retaliation;
• Workplace violence or threats;
• Unauthorized disclosure of Confidential Information;
• Falsification of records, including time records;
• Unauthorized use or destruction of Company Property;
• Possession of weapons on Company premises (unless authorized by law);
• Violation of the drug and alcohol policy; and
• Other conduct that materially disrupts Company operations or violates a lawful, neutrally applied Company policy.

26.3 Progressive Discipline. The Company may use a progressive discipline process, which may include:
(a) Verbal warning;
(b) Written warning;
(c) Suspension with or without pay; and
(d) Termination.

The Company reserves the right to determine the appropriate level of discipline based on the circumstances and may bypass any step in the progressive discipline process, including proceeding directly to termination. Progressive discipline does not alter the at-will nature of employment.

27. ANTI-RETALIATION AND WHISTLEBLOWER PROTECTIONS

27.1 Anti-Retaliation. The Company strictly prohibits retaliation against any Employee who, in good faith:
(a) Files a complaint, report, or grievance under any Company policy or applicable law;
(b) Participates in an investigation, hearing, or proceeding;
(c) Opposes conduct the Employee reasonably believes to be unlawful;
(d) Requests or takes a protected leave of absence; or
(e) Exercises any right protected by law.

27.2 Whistleblower Protections (Cal. Lab. Code § 1102.5). The Company will not retaliate against any Employee who discloses information to a government or law enforcement agency, to a person with authority over the Employee, or to another Employee who has authority to investigate or correct the violation, if the Employee has reasonable cause to believe that the information discloses a violation of a local, state, or federal statute, rule, or regulation, or who refuses to participate in conduct reasonably believed to violate such law.

27.3 Reporting Retaliation. Employees who believe they have been subjected to retaliation should report the conduct to [________________________________] immediately.

28. CONFIDENTIALITY AND TRADE SECRETS

28.1 Confidentiality Obligations. Employees must protect genuine trade secrets and other lawfully protected Confidential Information during and after employment. This policy does not prohibit Employees from discussing wages, hours, or working conditions; reporting suspected unlawful conduct; communicating with a government agency, law enforcement, or counsel; participating in an investigation; or making any other disclosure protected by law.

28.2 Trade Secret Protection. The Company's trade secrets are protected under the California Uniform Trade Secrets Act (Cal. Civ. Code § 3426 et seq.) and the federal Defend Trade Secrets Act (18 U.S.C. § 1836 et seq.). Employees who misappropriate trade secrets may be subject to civil and criminal liability.

28.3 Defend Trade Secrets Act Notice. Under the Defend Trade Secrets Act of 2016, Employees are hereby notified that they will not be held criminally or civilly liable under any federal or state trade secret law for the disclosure of a trade secret that is made: (a) in confidence to a federal, state, or local government official, or to an attorney, solely for the purpose of reporting or investigating a suspected violation of law; or (b) in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal.

28.4 Return of Materials. Upon separation of employment, or at any time upon request, Employees must immediately return all Company Property and Confidential Information, in any form (physical or electronic), and must not retain any copies.

28.5 No Void Noncompete Agreements. Consistent with Cal. Bus. & Prof. Code §§ 16600 and 16600.5, the Company will not enter into, attempt to enforce, or require an Employee or applicant to accept a provision that is void under California's restraint-of-trade laws. Any narrow statutory exception requires individualized California legal review.

29. INVENTIONS ASSIGNMENT

29.1 Separate Inventions Agreement. This noncontractual Handbook does not itself assign inventions. If the Company uses a separate signed inventions-assignment agreement, that agreement may address an invention, original work of authorship, development, concept, improvement, design, discovery, idea, or trade secret that is:
(a) Conceived, developed, or reduced to practice during the Employee's Working Time;
(b) Conceived, developed, or reduced to practice using Company equipment, supplies, facilities, or Confidential Information; or
(c) Related to the Company's business or actual or demonstrably anticipated research or development.

29.2 Statutory Exception (Cal. Lab. Code § 2870). Any such separate assignment does not apply to an invention that the Employee develops entirely on the Employee's own time without using the Company's equipment, supplies, facilities, or trade secret information, unless the invention:
(a) Relates, at the time of conception or reduction to practice, to the Company's business or to the Company's actual or demonstrably anticipated research or development; or
(b) Results from any work performed by the Employee for the Company.

29.3 Required Notice. If a separate employment agreement requires an Employee to assign or offer to assign invention rights, the Company will provide the written notification required by Cal. Lab. Code § 2872 when that agreement is made. Sections 2870–2872 are reproduced in Exhibit A for reference.

29.4 Prior Inventions. A separate signed inventions agreement may permit an Employee to identify prior inventions on a disclosure form. Omission from such a form does not create a presumption under this Handbook that an invention was developed during employment.

30. TECHNOLOGY AND ACCEPTABLE USE

30.1 Company Systems. The Company provides electronic systems — including computers, mobile devices, email, internet access, and software — for business purposes. Limited personal use is permitted if it does not interfere with job duties, reduce productivity, or violate any Company policy.

30.2 Notice of Business-System Monitoring. Company systems are business resources and may be monitored, accessed, secured, or reviewed for legitimate business, security, legal, and compliance purposes after appropriate notice and only to the extent permitted by applicable law. The Company does not claim unrestricted access to an Employee's personal accounts or personal-device content merely because a device is used for work.

30.3 Prohibited Uses. Employees may not use Company systems to:
(a) Access, transmit, or store unlawful, harassing, discriminatory, or offensive material;
(b) Transmit Confidential Information outside the Company without authorization;
(c) Download or install unauthorized software;
(d) Engage in personal commercial activities;
(e) Violate intellectual property or copyright laws; or
(f) Circumvent security controls or monitoring systems.

30.4 Data Security. Employees must comply with all Company cybersecurity protocols, including password management, multi-factor authentication, device encryption, and incident reporting. Employees must immediately report any suspected data breach, unauthorized access, or security incident to [________________________________].

30.5 Personal Devices (BYOD). If Employees use personal devices for work purposes, such use must comply with a separate Bring Your Own Device (BYOD) policy and applicable data-security requirements. Any remote-management or deletion capability must be disclosed in advance and limited, where technically feasible, to Company accounts, applications, and data.

31. SOCIAL MEDIA POLICY

31.1 General Guidelines. Employees are expected to exercise good judgment and professionalism in all social media activity. Social media includes but is not limited to blogs, forums, social networking sites (e.g., Facebook, LinkedIn, X/Twitter, Instagram, TikTok), and any other online platform where content may be posted or shared.

31.2 Restrictions. Employees may not:
(a) Disclose Confidential Information, trade secrets, or proprietary information on social media;
(b) Speak on behalf of the Company or imply Company endorsement without prior written authorization from [________________________________];
(c) Post content that constitutes harassment, discrimination, or threats; or
(d) Post content that violates any applicable law or Company policy.

31.3 Protected Activity. Nothing in this policy is intended to restrict Employees' rights under the National Labor Relations Act (NLRA) to engage in protected concerted activity, including discussing wages, working conditions, and other terms and conditions of employment. Employees also retain their right to engage in political activity on their own time, consistent with Cal. Lab. Code §§ 1101–1102.

32. REMOTE WORK AND TELECOMMUTING

32.1 Eligibility. Remote work arrangements are available at the Company's discretion and are subject to the terms set forth in a separate remote work agreement. Remote work is a privilege, not an entitlement, and may be modified or revoked at any time.

32.2 California Law Compliance. Employees working remotely in California remain subject to all California employment laws, including but not limited to:
(a) Overtime and meal/rest period requirements;
(b) Timekeeping and wage statement requirements;
(c) Paid sick leave and other leave entitlements;
(d) Expense reimbursement for necessary business expenditures (Cal. Lab. Code § 2802); and
(e) Workplace safety obligations.

32.3 Expense Reimbursement for Remote Workers. The Company will reimburse remote Employees for necessary business expenses incurred while working from home, including a reasonable percentage of internet and telephone service costs and the cost of required equipment or supplies. Reimbursement will be provided through [☐ monthly stipend of $[____] / ☐ actual-cost reimbursement upon submission of receipts]. A stipend must reasonably cover necessary expenses; an Employee may request additional reimbursement when it does not.

32.4 Work Environment. Remote Employees should maintain a safe and reasonably ergonomic work environment and promptly report work-related injuries or identified hazards. Any assessment of a home workspace will use employee self-assessment, remote consultation, or a separately agreed process that respects privacy and applicable law.

32.5 Work Hours. Remote Employees must adhere to their established work schedule, accurately record all Working Time, and comply with all timekeeping, overtime, and meal/rest period policies.

33. REPORTING AND EXTERNAL RIGHTS

33.1 Internal Complaint Procedure. Employees may raise concerns and complaints through the Company's internal complaint process. Internal reporting is encouraged but is not a prerequisite to contacting a government agency, law enforcement, counsel, or a court. Complaints may be directed to [________________________________] (Human Resources / Title) or through the Company's reporting hotline at [________________________________].

33.2 External Agencies. Employees may file complaints with external agencies, including:

• California Civil Rights Department (CRD): For claims of discrimination, harassment, or retaliation under FEHA.
• Division of Labor Standards Enforcement (DLSE): For wage and hour claims.
• Cal/OSHA: For workplace safety complaints.
• Equal Employment Opportunity Commission (EEOC): For federal discrimination claims.

33.3 Separate Agreements. This Handbook does not require arbitration, waive a jury right, select an exclusive forum, shorten a limitations period, or restrict access to a government agency. Any separate agreement addressing dispute resolution requires individualized California legal review and a separate signature.

33.4 External Rights. Employees may use an external agency or court process without first completing the internal complaint procedure, subject to the rules governing that process.

34. SEPARATION PROCEDURES AND FINAL PAY

34.1 Voluntary Resignation. Employees who voluntarily resign are requested to provide at least [____] weeks' written notice to their supervisor and Human Resources. Notice is requested but not required.

34.2 Involuntary Termination. The Company may terminate employment at any time, with or without cause, consistent with the at-will employment relationship.

34.3 Final Pay — Involuntary Termination (Cal. Lab. Code § 201). When an Employee is discharged (involuntarily terminated), all earned and unpaid wages, including accrued vacation, must be paid immediately at the time of discharge.

34.4 Final Pay — Voluntary Resignation (Cal. Lab. Code § 202).
(a) If the Employee provides at least seventy-two (72) hours' advance notice of resignation, all earned and unpaid wages, including accrued vacation, must be paid on the Employee's last day of work.
(b) If the Employee resigns without providing seventy-two (72) hours' advance notice, the Company has seventy-two (72) hours from the time of resignation to provide final wages.

34.5 Waiting Time Penalties (Cal. Lab. Code § 203). If the Company willfully fails to pay an Employee's final wages on time, the Employee may be entitled to a waiting time penalty equal to the Employee's daily rate of pay for each day payment is late, up to a maximum of thirty (30) calendar days.

34.6 Accrued Vacation Payout. All accrued and unused vacation will be paid out as part of the Employee's final wages at the Employee's final rate of pay, per Cal. Lab. Code § 227.3.

34.7 Return of Company Property. Upon separation, Employees must immediately return all Company Property, including but not limited to keys, badges, equipment, devices, documents, files, and any Confidential Information in any form.

34.8 Exit Interview. The Company may request an exit interview to discuss the Employee's experience and to facilitate the transition.

34.9 Benefits Upon Separation. Information regarding COBRA/Cal-COBRA continuation coverage and other post-employment benefits will be provided upon separation.

35. POLICY ADMINISTRATION

35.1 Noncontractual Policies. This Handbook is a collection of workplace policies and legal-rights notices. It is not a contract, does not create a fixed term of employment, and does not waive any right that cannot lawfully be waived.

35.2 Policy Changes. The Company's [________________________________] (authorized title) may issue written policy changes prospectively, consistent with applicable law. Material changes will be communicated to Employees.

35.3 Posting Requirements. The Company will post all required workplace notices, including those required by the California Labor Commissioner, Cal/OSHA, CRD, EEOC, and other applicable agencies, in a conspicuous location or approved electronic location accessible to Employees.

35.4 Language Access. Required notices will be provided in the languages and manner required by the governing statute, regulation, or agency instruction. The Company may provide translated Handbook materials for workforce accessibility; the attorney-reviewed controlling version should be identified.

35.5 Local and Industry Rules. Local minimum-wage, paid-leave, scheduling, industry-specific wage, and collective-bargaining requirements may provide different or greater rights. Human Resources must add the supplements applicable to each worksite and workforce.

36. ACKNOWLEDGMENT AND RECEIPT

EMPLOYEE ACKNOWLEDGMENT AND RECEIPT OF HANDBOOK

I, the undersigned Employee, acknowledge and confirm the following:

☐ I have received a copy of the [COMPANY NAME] Employee Handbook, effective [__/__/____].

☐ I understand that it is my responsibility to read, familiarize myself with, and comply with the policies, rules, and procedures contained in this Handbook.

☐ I understand that this Handbook is not a contract of employment and does not create any contractual rights or obligations.

☐ I understand that my employment with the Company is at-will, meaning that either I or the Company may terminate the employment relationship at any time, with or without cause, and with or without advance notice.

☐ I understand that no manager, supervisor, or representative of the Company has the authority to enter into any agreement for employment for a specified period of time or to make any promises or commitments regarding terms and conditions of employment, unless such agreement is in writing and signed by [________________________________].

☐ I understand that the Company reserves the right to revise, supplement, or rescind any policy at any time, consistent with applicable law.

☐ I have been provided with the Company's harassment prevention policy and understand my rights and obligations regarding reporting.

☐ I have been informed of my right to receive a copy of Cal. Lab. Code §§ 2870–2872 regarding inventions made by employees.

Employee Information:

Company Representative:

EXHIBIT A — CALIFORNIA LABOR CODE §§ 2870–2872 (EMPLOYEE INVENTIONS)

Section 2870. Application of provision providing that employee shall assign or offer to assign rights in invention to employer.

(a) Any provision in an employment agreement which provides that an employee shall assign, or offer to assign, any of his or her rights in an invention to his or her employer shall not apply to an invention that the employee developed entirely on his or her own time without using the employer's equipment, supplies, facilities, or trade secret information except for those inventions that either:

(1) Relate at the time of conception or reduction to practice of the invention to the employer's business, or actual or demonstrably anticipated research or development of the employer; or

(2) Result from any work performed by the employee for the employer.

(b) To the extent a provision in an employment agreement purports to require an employee to assign an invention otherwise excluded from being required to be assigned under subdivision (a), the provision is against the public policy of this state and is unenforceable.

Section 2871. Conditions of employment or continued employment; disclosure of inventions.

No employer shall require a provision made void and unenforceable by Section 2870 as a condition of employment or continued employment. Nothing in this article shall be construed to forbid or restrict the right of an employer to provide in contracts of employment for disclosure, provided that any such disclosures be received in confidence, of all of the employee's inventions made solely or jointly with others during the term of his or her employment, a review process by the employer to determine such issues as may arise, and for full title to certain patents and inventions to be in the United States, as required by contracts between the employer and the United States or any of its agencies.

Section 2872. Notice to employee; burden of proof.

If an employment agreement entered into after January 1, 1980, contains a provision requiring the employee to assign or offer to assign any of his or her rights in any invention to his or her employer, the employer must, at the time the agreement is made, provide a written notification to the employee that the agreement does not apply to an invention which qualifies fully under the provisions of Section 2870. In any suit or action arising thereunder, the burden of proof shall be on the employee claiming the benefits of its provisions.

SOURCES AND REFERENCES

California Statutes and Codes

• Cal. Lab. Code § 201 — Final Pay (Involuntary Termination)
• Cal. Lab. Code § 202 — Final Pay (Voluntary Resignation)
• Cal. Lab. Code § 203 — Waiting Time Penalties
• Cal. Lab. Code § 226 — Itemized Wage Statements
• Cal. Lab. Code § 226.7 — Meal/Rest Period Premium Pay
• Cal. Lab. Code § 227.3 — Vacation Payout Upon Separation
• Cal. Lab. Code § 230 — Jury Duty, Witness, Crime Victim Leave
• Cal. Lab. Code § 230.1 — Crime and Abuse Victim Leave
• Cal. Lab. Code §§ 230.3–230.4 — Emergency Duty and Training Leave
• Cal. Lab. Code § 230.8 — School and Child-Care Activities Leave
• Cal. Lab. Code §§ 245–249 — Paid Sick Leave
• Cal. Lab. Code § 432.3 — Pay Scale Disclosure / Salary History Ban
• Cal. Lab. Code § 510 — Overtime
• Cal. Lab. Code § 512 — Meal Periods
• Cal. Lab. Code § 1102.5 — Whistleblower Protections
• Cal. Lab. Code § 1041 — Literacy Assistance
• Cal. Lab. Code § 132a — Workers' Compensation Anti-Retaliation
• Cal. Lab. Code § 1510 — Organ and Bone Marrow Donor Leave
• Cal. Lab. Code § 3700 — Workers' Compensation Coverage
• Cal. Lab. Code § 6310 — Occupational Safety Anti-Retaliation
• Cal. Lab. Code § 2802 — Expense Reimbursement
• Cal. Lab. Code § 2810.5 — Wage Theft Prevention Notice
• Cal. Lab. Code § 2870 — Employee Inventions
• Cal. Lab. Code §§ 2871–2872 — Inventions Disclosure and Notice
• Cal. Lab. Code § 2922 — At-Will Employment
• Cal. Lab. Code §§ 1500–1507 — Civil Air Patrol Leave
• Cal. Lab. Code §§ 1550–1559 — Workplace Know Your Rights Act
• Cal. Lab. Code § 6401.7 — IIPP
• Cal. Lab. Code § 6401.9 — Workplace Violence Prevention (SB 553)
• Cal. Gov. Code § 12900 et seq. — FEHA
• Cal. Gov. Code § 12940 — Unlawful Employment Practices
• Cal. Gov. Code § 12945 — Pregnancy Disability Leave
• Cal. Gov. Code § 12945.2 — CFRA
• Cal. Gov. Code § 12945.6 — Reproductive Loss Leave (SB 848)
• Cal. Gov. Code § 12945.7 — Bereavement Leave (AB 1949)
• Cal. Gov. Code § 12945.8 — Victim and Family-Member Leave
• Cal. Gov. Code § 12950 — Sexual Harassment Information
• Cal. Gov. Code § 12950.1 — Harassment Prevention Training (SB 1343)
• Cal. Gov. Code § 12954 — Off-Duty Cannabis Protections
• Cal. Gov. Code § 12999 — Pay Data Reporting
• Cal. UI Code § 3300 et seq. — Paid Family Leave
• Cal. UI Code § 3303.1 — PFL and Vacation Leave
• Cal. Elec. Code §§ 14000–14001 — Voting Leave and Posting
• Cal. Bus. & Prof. Code §§ 16600, 16600.5 — Noncompete Prohibition
• Cal. Civ. Code § 3426.1 — Trade Secret Definitions
• Cal. Lab. Code §§ 1101–1102 — Political Activity Protections
• Cal. Mil. & Vet. Code § 395.10 — Military Spouse Leave

Federal Statutes

• 29 U.S.C. §§ 2611–2614 — FMLA Eligibility, Leave, and Restoration
• 42 U.S.C. §§ 12111–12112 — ADA Employment Definitions and Accommodation
• 18 U.S.C. §§ 1833(b), 1836 — Trade-Secret Immunity Notice and Civil Remedies
• 29 U.S.C. § 157 — Protected Concerted Activity
• 38 U.S.C. §§ 4311–4312 — USERRA Discrimination and Reemployment Rights
• 29 U.S.C. §§ 1161, 1163 — COBRA Continuation Coverage and Qualifying Events

Key Legislation

• SB 553 — Workplace Violence Prevention Plan
• SB 616 — Paid Sick Leave Expansion
• SB 848 — Reproductive Loss Leave
• SB 1162 — Pay Transparency Act
• SB 642 — 2026 Pay Scale and Salary History Amendments
• SB 1343 — Harassment Prevention Training
• AB 1949 — Bereavement Leave
• AB 2188 — Off-Duty Cannabis Use Protections
• AB 2499 — Victims of Violence Leave (FEHA Integration)
• AB 406 — Crime Victim Judicial Proceedings Leave
• SB 294 — Workplace Know Your Rights Act

Regulatory Resources

• California Civil Rights Department (CRD)
• California Division of Labor Standards Enforcement (DLSE)
• Cal/OSHA — Workplace Violence Prevention Resources
• DIR — Paid Sick Leave FAQ
• DIR — 2026 Minimum Wage and Exempt Salary Threshold
• DIR — Meal Period FAQ
• DIR — Overtime FAQ
• DIR — Rest Period FAQ
• DIR — Vacation FAQ
• CRD — California Pay Data Reporting
• EDD — Paid Family Leave
• DMHC — Federal COBRA and Cal-COBRA Continuation Coverage
• DIR — Final Pay Requirements

Prepared for attorney review. This template is provided for informational purposes only and does not constitute legal advice.