Question: What types of payments are included in the 4850 leave benefit for public safety employees?
Answer: California Labor Code section 4850 provides a leave of absence without loss of salary to public safety employees who are disabled, whether temporarily or permanently, by injury or illness arising in the course of their duties. While the phrase “without loss of salary” is not defined by Section 4850, it has been construed by courts to include all types of pay and benefits that an employee would normally receive if they were not on leave. This includes wages, bonuses, premiums, and other special pays. There is an exception where 4850 pay does not include any pay that is predicated on satisfying additional conditions beyond mere continued employment, such as holiday premium pay for actually working the holiday. 4850 payments are also non-taxable. The non-taxable status derives from the same principles that provide that workers’ compensation payments are non-taxable.