The 2020-21 Spending Plan: Labor and Employment Issues

Oct 5, 2020 - The 2020 ‑21 Budget Act establishes a supplemental two week paid sick leave program for food industry employees and a supplemental two week paid sick leave program for employees who are not eligible for federal emergency paid sick leave under the Families First Coronavirus Relief Act (FFCRA).
https://lao.ca.gov/Publications/Report/4274

MOU Fiscal Analysis: Bargaining Units 10 (Professional Scientists) and 18 (Psychiatric Technician)

Sep 9, 2025 - Dills Act (Dills Act), two things occur if the Legislature does not fully fund the economic provisions of an MOU: (1)  the unfunded provision does not go into effect and (2)  either party —the administration or the bargaining unit —may reopen negotiations on all or a part of the MOU.
https://lao.ca.gov/Publications/Report/5073

MOU Fiscal Analysis: Bargaining Unit 6 (Corrections)

Jun 23, 2025 - We raised concerns in 2018 that CalHR provided no supporting evidence to justify Unit 6 pay increases despite it being required by state law (see our May 2018 analysis ). We raised concerns in 2019 that CalHR withheld (and continues to withhold) a compensation study it completed in 2018 (see our June 2019 analysis ) and proceeded to not produce
https://lao.ca.gov/Publications/Report/5058

Collective Bargaining: Assessing Proposed Employee Compensation Increases

Mar 20, 2020 - Dills Act (Dills Act). The Governor is the state employer for purposes of bargaining although some rank-and-file employees work for another elected constitutional officer. At the bargaining table, the Governor is represented by the California Department of Human Resources (CalHR).
https://lao.ca.gov/Publications/Report/4206

The 2017-18 Budget: Governor’s CalPERS Borrowing Proposal

May 16, 2017 - For much of the late 1990s and 2000s, the yield averaged around 6  percent, although it fell after the dot-com bust and ensuing recession in the early 2000s. After the rate fell in 2008, it has remained near zero as inflation and U.S.
https://lao.ca.gov/Publications/Report/3673

MOU Fiscal Analysis: Bargaining Unit 10 (Professional Scientists)

Aug 28, 2018 - In 2016, voters approved Proposition  54, which places restrictions on when the Legislature can act on legislation. Specifically, Proposition  54 requires that a typical bill —including amendments to that bill —be available to legislators and on the Internet for at least 72 hours before the Legislature may pass that bill.
https://lao.ca.gov/Publications/Report/3881

The 2025-26 Budget: Concession Bargaining

May 19, 2025 - Dills Act. Collective bargaining between the Governor and the state ’s rank-and-file employees (organized into 21 bargaining units) is governed by the Ralph C. Dills Act (Dills Act). The product of negotiations at the bargaining table is a labor agreement referred to as a memorandum of understanding (MOU).
https://lao.ca.gov/Publications/Report/5047

MOU Fiscal Analysis: Bargaining Unit 16 (Physicians, Dentists, and Podiatrists)

Jul 14, 2025 - Dills Act (Dills Act). This analysis of the proposed agreement fulfills our statutory requirement under Section 19829.5 of the Government Code. The administration has posted on CalHR’s website the agreement , a summary of the agreement, and a summary of the administration’s estimate of the proposed agreement’s fiscal effects .
https://lao.ca.gov/Publications/Report/5064

MOU Fiscal Analysis: Bargaining Unit 9 (Professional Engineers)

Aug 28, 2018 - Under the Public Employees ’ Pension Reform Act of 2012, employees hired after 2013 receive a lower pension benefit. However, regardless of date of hire, Unit 9 members contribute the same percentage of pay to fund their pension benefit (this is true for most state employees).
https://lao.ca.gov/Publications/Report/3880

MOU Fiscal Analysis: Bargaining Unit 5 (Highway Patrol)

Aug 26, 2019 - The expired agreement went into effect July 3, 2010 and expired July 3, 2018. Pursuant to the Ralph C. Dills Act (Dills Act), the provisions of an expired MOU generally continue to be in effect beyond the agreement ’s expiration.
https://lao.ca.gov/Publications/Report/4089