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Legal Resources | Title 5 |  T5  42805  

Settlement Payments.   

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(a) When and to whom paid. Any academic year employee and any ten-month employee paid under a 10-12 pay plan shall receive a settlement payment in the following events:

(1) If there has been an interim reduction in pay pursuant to Section 42804 due to a noncompensable absence, a settlement payment shall be required at the completion of the period of service, or upon termination of the assignment for any reason, whichever event occurs earlier.

(2) If the employee serves less than the complete period of service covered by the assignment, a settlement payment shall be required upon termination of the assignment for any reason.

(3) If the total time required for completion of the period of service is changed, a settlement payment shall be required upon completion of the period of service.

(4) If the employee is transferred to service in a position falling under a different period of service or pay plan, a settlement payment shall be required upon termination of service in the previous position.

(5) The settlement payment shall be made to the employee on the state pay day immediately following the date described in the foregoing subsections when the settlement payment is required.

(b) Academic Year Employee. When required, the amount of a settlement payment which shall be paid to an academic year employee shall be equal to the difference between the total salary earned and the total amount previously paid to the employee for the period of service.

Full pay shall be allowed for each semester or quarter for which all required service has been completed.

For each semester or quarter for which the employee served less than the complete period of service, the settlement payment shall be computed by determining the amount that bears the same ratio to one-half (for a semester) or one-third (for a quarter) of the employee's total annual salary, adjusted for any changes in salary rate and time base for the periods covered by such adjustments, as the total number of workdays served by the employee bears to the total number of workdays in the semester or quarter. The same computation shall be used if the total employment time required of an employee in an academic year position or positions is changed.

(c) Ten-Month Employee. When required, the amount of a settlement payment which shall be paid to a ten-month employee shall be equal to the difference between the total salary earned and the salary previously paid to the employee for the period of service. The total salary earned is that amount which bears the same ratio to his or her regular annual salary for the position, adjusted for any changes in salary rate and time base for the periods covered by such adjustments, as the number of workdays served bears to the total number of workdays in the ten-month period. The same computation shall be used if the total employment time required of an employee in a ten-month position or positions is changed.

(d) Ten-Month Employees Paid Under a 10-12 Pay Plan. When required, the amount of a settlement payment which shall be paid to ten-month employees serving in ten-month assignments under a 10-12 pay plan shall be computed in the same manner as prescribed in subdivision (c) of this section.

(e) Report to Controller. The final settlement payment shall be computed by the campus and notification of the amount due furnished to the Controller.

Authority cited:

Education Code 66600

Education Code 89030

Education Code 89035

Education Code 89500

Reference:

Education Code 89500

(Amended by Register 84, No. 41.)