The State Worker

Chronicling civil-service life for California state workers

February 16, 2012
California Earthquake Authority will pay furlough back wages

The state's quasi-private earthquake insurer is planning to pay furlough back wages to current and former agency employees who lost salary to the policy.

California Earthquake Authority spokeswoman D'Anne Ousley left a voice mail message with The State Worker Wednesday evening, confirming our earlier speculation that the agency would expand furlough lawsuit settlement terms reached with SEIU Local 1000 and California Attorneys, Administrative Law Judges and Hearing Officers in State Employment to non-represented staff.

The state's four other "off-budget" agencies that settled furloughs with the unions -- the Prison Industry Authority, the First 5 California Commission, the California Housing Finance Agency and the California State Lottery -- announced similar decisions earlier this week.

The repayment plans exclude members of Professional Engineers in California Government and California Association of Professional Scientists because those two associations are pressing on with furlough litigation. Local 1000 and CASE agreed to drop their remaining furlough lawsuits if their members in off-buget departments received furlough back pay.

The Earthquake Authority, a publicly-managed, privately-funded organization that provides
residential earthquake insurance, employs about 25 state civil service workers. Repaying them won't come from the state budget, since the agency operates on money taken in from investments and policyholder premiums.

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About The State Worker

Jon Ortiz The Author

Jon Ortiz launched The State Worker blog and a companion column in 2008 to cover state government from the perspective of California government employees. Every day he filters the news through a single question: "What does this mean for state workers?" Join Ortiz for updates and debate on state pay, benefits, pensions, contracts and jobs. Contact him at (916) 321-1043 and at


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