Rincon Valley Union Elementary School District

In Rincon Valley Union Elementary School District (1988), an employee organization challenged the employer's change in medical benefits for current and future retired employees. An administrative law judge determined the employee organization's charge had merit with respect to the current employees but, on his own motion, dismissed that portion of the claim concerning current retirees. The judge noted, "the EERA covers only 'employees,' as that term is defined in the Act." (Id. at p. 758.) Citing the San Leandro case, the judge found the EERA's definition of employee "does not include retirees." (Ibid.) Thus, the judge concluded "retirees are not entitled to collective bargaining rights under the Act." (Ibid.) Furthermore, the PERB has held retiree medical benefits constitute a negotiable subject for public school employers, the employees, and their employee organizations only where it can be established with certainty these benefits vitally affect negotiable terms and conditions of employment of active employees. (Rincon Valley Union Elementary School District, supra.) "The effect on active employees must be established with certainty. Mere speculation about the impact of retiree benefits on active employees does not satisfy the 'vitally' affects test." (Ibid.)