Managing employee injuries in California requires more than coordinating workers’ compensation benefits. It requires a clear understanding of when job‑protected leave begins, when it ends, and when disability accommodation obligations take over. One of the most common compliance breakdowns we see is not intentional wrongdoing, but hesitation. Employers often wait too long to initiate protected leave, or they assume that once 12 weeks of California Family Rights Act (CFRA) or Family and Medical Leave Act (FMLA) leave are exhausted, their obligations are complete. In California, that assumption can create significant legal risk.
CFRA and FMLA are triggered by a serious health condition—not by a specific number of missed workdays. Employers should initiate the CFRA/FMLA evaluation as soon as they become aware of the following:
- The employee’s injury or medical condition may result in more than three consecutive calendar days of incapacity with treatment,
- The employee is hospitalized, or
- The employee has medical restrictions that prevent them from working.
If the employee meets the eligibility criteria—generally 12 months of service, 1,250 hours worked in the prior 12 months, and the applicable employer size threshold, the employer should promptly provide the required notice of eligibility and rights, request medical certification, and designate the leave once eligibility is confirmed. When the injury is work‑related, CFRA/FMLA should run concurrently with workers’ compensation where permitted. Best practice is to act when a qualifying condition is reasonably anticipated rather than waiting for complete certainty. Early action preserves compliance and helps avoid inadvertent interference with protected rights.
Once designated, CFRA/FMLA provides up to 12 workweeks of job‑protected leave within a 12‑month period and requires continuation of group health benefits under the same terms as active employment. However, that protection is time‑limited. This is where many employers make critical mistakes. The exhaustion of CFRA/FMLA leave is not an automatic termination point, it is a legal transition point.
When protected leave ends and an employee is still unable to return to full duty, the employer’s obligations shift to disability accommodation under California law. Employers must initiate the interactive process under the Americans with Disabilities Act (ADA) and the Fair Employment and Housing Act (FEHA) if the employee:
- Requests additional time off,
- Continues to have medical restrictions, or
- Otherwise indicates a need for accommodation.
Importantly, this obligation can arise before CFRA/FMLA is exhausted if it becomes clear that accommodation will be necessary. The interactive process requires a good‑faith dialogue focused on the employee’s functional limitations and the essential duties of the job.
In some cases, additional leave may itself be a reasonable accommodation. This is especially true when the leave is defined or can be periodically reassessed, there is a reasonable expectation that the employee will return to work, and the leave does not create undue hardship for the organization. Other accommodations may include modified or transitional duty, adjusted schedules, or job restructuring. Employers must avoid blanket policies, such as requiring employees to be “100% healed” before returning to work. Decisions must be individualized and carefully documented.
To reduce risk, employers should avoid:
- Waiting for a fixed number of days before initiating CFRA/FMLA,
- Requiring employees to be fully healed before returning to work,
- Applying automatic termination policies at the end of 12 weeks,
- Allowing managers to manage medical leave independently, or
- Failing to document the interactive process.
Consistency, early identification, and clear documentation are the strongest safeguards.
A practical way to approach leave integration:
- Identify early.
If a serious health condition is reasonably anticipated, initiate CFRA/FMLA evaluation. - Designate appropriately.
Run protected leave concurrently with Workers’ Compensation when applicable. - Track carefully.
Maintain benefits and accurate records during protected leave. - Transition deliberately.
When protected leave ends, shift immediately into the interactive process if restrictions remain. - Decide based on essential functions — not time.
Employment decisions must be based on the ability to perform essential duties, with or without accommodation.
California leave management is less about memorizing statutes and more about recognizing the pivot points. Protected leave may end, but accommodation obligations often continue. Employers that adopt a structured, integrated approach reduce legal exposure, demonstrate good faith, and support employees during recovery in a way that strengthens both compliance and workplace trust.
If your organization hasn’t recently reviewed how, it manages leave transitions, this is an important time to do so. Your Risk Advisor or Risk Control Services contact can provide practical guidance and tools to help you implement a compliant, well‑integrated approach to leave integration.