Estes v. City of Grover City

In Estes v. City of Grover City (1978) 82 Cal.App.3d 509, a police officer sought judicial review of an administrative decision that suspended him for three days and reduced his pay grade by two steps based on a finding of misconduct. Recognizing at the outset that the officer had a fundamental vested right in his employment, the Court of Appeal focused its inquiry on "whether the vested and fundamental nature of the right to public employment encompasses the right to employment without substantial open-ended reduction in pay grade." (Id. at p. 514.) In examining the nature of such right, the court noted that it could not simply "'"weigh the economic aspect of it,"'" which in the officer's case was a pay cut of $ 49 per month, but also had to consider "'"the effect of it in human terms and the importance of it to the individual in the life situation."'" (Id. at pp. 514-515.) The court reasoned that "pay grade was certainly important in 'the life situation' to a modestly compensated public employee," and that the discipline imposed on the officer could adversely impact his future earnings beyond the $ 49 decrease in monthly pay. (Id. at p. 515.) On that basis, the court held that the disciplinary action affected a fundamental vested right, requiring the trial court to apply the independent judgment standard of review. (Ibid.)