Effective November 16, 2022,  non-governmental health care entities must offer eligible employees continued employment for at least four months following a change in control without any reduction in their wages and benefits – including paid time off, health care, retirement, and education benefits in accordance with Senate Bill No. 315 (the Law).  Change in control includes sales, transfers, assignments, mergers, and reorganizations and is deemed to “occur on the date of execution of the document effectuating the change.”

An “eligible employee” means any individual employed at the health care entity during the 90 days preceding a change in control or any former employee with recall rights under a collective bargaining agreement. The Law exempts managers, executive employees, or any employee discharged for cause during the 90-day period. “Cause” is not defined in the Law, however.
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