Why is a new employee, who is out on a medical leave, receiving less than 60% of their entitled state disability insurance?

While the general rule is that state disability insurance (SDI) payments are usually about 60% of an employee’s wages, there are several reasons that the payments may be less than that.

The most likely scenario in this case, since the employee is relatively new, is that the Employment Development Department (EDD) is basing their benefit on whatever their earnings were long before they started their job with you.

SDI benefits are not based on what your employee is earning at the time they file their claim, but rather on wages earned in a one-year base period that is five to 18 months before