Tomlinson v. Qualcomm, Inc.
2002 Cal. Daily Op. Serv. 3376, 118 Cal. Rptr. 2d 822, 97 Cal. App. 4th 934 (2002)
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Rule of Law:
The California Family Rights Act (CFRA) does not grant an employee on family leave immunity from termination as part of a legitimate, company-wide workforce reduction. An employee on leave possesses no greater right to reinstatement or other employment benefits than if the employee had been continuously employed during the leave period.
Facts:
- In September 1997, Lona Tomlinson began working for Qualcomm, Inc.
- Tomlinson signed an employment application and a 'Terms of Employment' agreement, both of which explicitly stated her employment was 'at-will' and could be terminated with or without cause.
- The employment agreement stipulated that it superseded all other agreements and could only be modified in writing by Qualcomm's Chairman of the Board.
- In October 1998, Tomlinson requested and was granted maternity and family leave pursuant to the CFRA.
- Qualcomm's written approval of her leave stated that her job was 'guaranteed' if she returned by a specified date.
- While Tomlinson was on approved family leave, Qualcomm implemented a company-wide workforce reduction affecting over 300 employees.
- On February 2, 1999, Qualcomm informed Tomlinson that her employment was being terminated as part of the workforce reduction.
Procedural Posture:
- Lona Tomlinson sued Qualcomm, Inc. in a California trial court for breach of contract, CFRA violations, and other claims.
- At the close of Tomlinson's case-in-chief at trial, Qualcomm moved for a nonsuit.
- The trial court granted the motion for nonsuit on all claims except for pregnancy discrimination.
- A jury rendered a verdict in favor of Qualcomm on the remaining discrimination claim.
- The trial court entered judgment in favor of Qualcomm.
- Tomlinson, as appellant, appealed the judgment to the California Court of Appeal.
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Issue:
Does the California Family Rights Act (CFRA), or an employer's personnel policies, immunize an at-will employee on family leave from termination as part of a legitimate, company-wide workforce reduction?
Opinions:
Majority - McDonald, Acting P. J.
No. Neither the CFRA nor Qualcomm's policies immunize an at-will employee on family leave from a legitimate, company-wide layoff. The court held that the CFRA's guarantee of reinstatement does not confer superior employment rights on an employee taking leave. Citing California Code of Regulations, title 2, section 7297.2(c), the court affirmed that 'an employee has no greater right to reinstatement... than if the employee had been continuously employed during the CFRA leave period.' Therefore, if an employee's position would have been eliminated in a layoff regardless of their leave status, the employer's obligation to reinstate them ceases. Regarding the breach of contract claim, the court found that Tomlinson's express at-will employment agreement was controlling. An implied contract arising from personnel handbooks or policy statements cannot contradict the explicit terms of a written at-will agreement, especially when that agreement specifies an exclusive method for modification that was not followed.
Analysis:
This decision clarifies that family leave under the CFRA serves to protect an employee from being penalized for taking leave, but it does not act as a shield against legitimate, non-discriminatory business decisions. It aligns California's CFRA protections with the federal FMLA's 'no greater rights' principle, establishing that a leave of absence does not insulate an employee's job from a company-wide restructuring or layoff. The case also strongly reinforces the primacy of express, written at-will employment contracts, making it difficult for employees to later claim that company handbooks or informal guarantees created an implied contract that supersedes the original written terms.
