CA AB138

Approves memoranda of understanding between the state employer and State Bargaining Units 1, 2, 3, 4, 5, 7, 8, 10, 11, 13, 14, 15, 16, 17, 18, 19, 20, and 21, with expenditure provisions contingent on specific legislative appropriation

Requires state employees in Bargaining Units 1, 2, 3, 4, 5, 7, 11, 13, 14, 15, 16, 17, 19, 20, and 21 to participate in Personal Leave Program 2025 (PLP 2025) from July 1, 2025, through June 30, 2027, receiving reduced pay in exchange for monthly leave credits

Suspends employee and employer monthly contributions for prefunding retiree health care (other postemployment benefits) for fiscal years 2025-26 and 2026-27 for employees in State Bargaining Units 1, 2, 3, 4, 5, 7, 13, 14, 15, 16, 17, 19, 20, and 21

Delays adjustments to employee retirement contribution rates for certain bargaining units, freezing rates for State Bargaining Unit 2 safety members at 11.5% and suspending contribution increases for Bargaining Units 12 and 19 through June 30, 2027

Reduces Budget Act of 2025 appropriations by $528,074,000 total ($227.5 million General Fund, $216.4 million special funds, $84.2 million other funds) pursuant to collective bargaining agreements