Section 1256-17 - Voluntary Leaving -Good Cause -Pensions and Retirement(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.Cal. Code Regs. Tit. 22, §§ 1256-17
1. New section filed 4-18-80; effective thirtieth day thereafter (Register 80, No. 16).
2. Change without regulatory effect amending COMMENTS paragraph filed 3-30-92 pursuant to section 100, title 1, California Code of Regulations (Register 92, No. 14). Note: Authority cited: Sections 305 and 306, Unemployment Insurance Code. Reference: Section 1256, Unemployment Insurance Code.
1. New section filed 4-18-80; effective thirtieth day thereafter (Register 80, No. 16).
2. Change without regulatory effect amending COMMENTS paragraph filed 3-30-92 pursuant to section 100, title 1, California Code of Regulations (Register 92, No. 14).