Bill Text: CA AB2494 | 2023-2024 | Regular Session | Amended
Bill Title: Employer notification: continuation coverage.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Engrossed) 2024-05-24 - In Senate. Read first time. To Com. on RLS. for assignment. [AB2494 Detail]
Download: California-2023-AB2494-Amended.html
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Amended
IN
Assembly
May 20, 2024 |
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Amended
IN
Assembly
March 18, 2024 |
CALIFORNIA LEGISLATURE—
2023–2024 REGULAR SESSION
Assembly Bill
No. 2494
| Introduced by Assembly Member Calderon |
February 13, 2024 |
An act to add Section 2808.05 to the Labor Code, relating to employers.
LEGISLATIVE COUNSEL'S DIGEST
AB 2494, as amended, Calderon.
Employer notification: continuation coverage.
Existing federal law, the Consolidated Omnibus Budget Reconciliation Act of 1985, and known as COBRA, requires that certain employers provide former employees with continuation of benefits. COBRA requires that an employee be notified of the continuation of coverage for which the employee may be eligible upon certain qualifying events, including termination. Existing law requires all employers, whether public or private, to provide employees, upon termination, notification of all continuation, disability extension, and conversion coverage options under any employer-sponsored coverage for which the employee may remain eligible.
This bill would require all employers, whether public or private, to provide employees with a written, hardcopy notice of coverage under COBRA, to be provided in-person and via email, following termination or
reduction in hours, as specified. a notice to employees, following termination or reduction in hours, as specified, stating that the employee may be eligible for coverage under COBRA and that the employee will receive an election notice from the plan administrator or group health plan, as provided. The bill would authorize an employer to provide the notification via hard copy or via email to an employee’s email account if the employee elects to receive electronic statements or materials, as prescribed. The bill would prohibit an employer from discharging or taking other adverse action against an employee who does not elect to receive electronic statements or materials.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NOBill Text
The people of the State of California do enact as follows:
SECTION 1.
Section 2808.05 is added to the Labor Code, to read:2808.05.
(a) (1) All employers, whether public or private, shall(a)A written, hard-copy notice of coverage under COBRA, to be provided to the employee in person.
(b)An email from the employer to the employee containing a notice of coverage under COBRA.
(2) The notification required by paragraph (1) shall be provided
to an employee no later than the date on which the employee’s wages are due and payable pursuant to Sections 201 and 202. If notification is required because of a reduction in hours, the notification shall be provided within one business day of the employee receiving notice that their hours are being reduced.
(b) (1) An employer may provide the notification required by subdivision (a) via hard copy or via email to an email account of the employee’s choosing in PDF, JPEG, or other digital image file type format, if an employee affirmatively, and in writing or by electronic acknowledgment, elects to receive electronic statements or materials.
(2) (A) In the case of electronic acknowledgment, the acknowledgment form shall do all of the following:
(i) Provide an explanation
that the employee is agreeing to electronic delivery of the notification required by this section.
(ii) Provide information to the employee about how the employee may revoke consent to electronic receipt.
(iii) Create a record of the employee’s agreement to electronic delivery of the notification required by this section.
(B) The employee may revoke the agreement at any time in writing, by email, or by any other form of electronic acknowledgment.
(c) An employer shall not discharge an employee or in any manner discriminate, retaliate, or take any adverse action against an employee who does not affirmatively, in writing or by electronic acknowledgment, elect to receive electronic statements or materials.
