LawWiki
HomeCodesSearchGlossaryAPIAbout
LawWiki

Plain English summaries of California law with zero-hallucination AI. Every summary is verified against official source text.

Product

  • Search
  • Codes
  • About

Legal

  • Privacy Policy
  • Terms of Service
  • Disclaimer

© 2026 LawWiki. All rights reserved.

HomeGovernment CodeDiv. 5Pt. 3Ch. 14Art. 3§ 21578 Employee Merger Transition Rules

§ 21578 Employee Merger Transition Rules

Government Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 21578 Employee Merger Transition Rules

Key Takeaways

  • •This rule is for workers whose jobs are part of a special federal system.
  • •If two companies merge, the workers from both companies keep following this rule.
  • •The rule stops working for these workers after 5 years from the merge date.

Example

Company A and Company B merge into one big company.

Workers from both companies must follow this rule for 5 years after the merge. After 5 years, the rule no longer applies to them.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 21578 Employee Merger Transition Rules

This article shall apply to employees of a contracting agency whose services are included in the federal system when employees of another contracting agency who are subject to this article are made by lawful merger of the contracting agencies the employees of the contracting agency. In that case, the application of this article shall be limited to those employees to whom it applied prior to the merger and shall terminate upon expiration of five years following the date of the merger. (Amended by Stats. 1996, Ch. 906, Sec. 194. Effective January 1, 1997.)

Last verified: January 22, 2026

Key Terms

contracting agencyfederal systemlawful merger

Related Statutes

  • § 21577 Contracting Agency Coverage Election
  • § 21583 1959 Survivor Allowance Election
  • § 21574.5 Local Member Death Benefits
  • § 21579 Post-Federal Coverage Members
  • § 21580 Surviving Spouse Pension Rights

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Government Code. Section 21578.
View Official Source