Adobe s Paid Paternity/Adoption Leave
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1 Adobe s Paid Paternity/Adoption Leave SCOPE The guidelines and procedures outlined in this document and in all policies relating to Paternity/Adoption leave apply to regular Adobe employees in the United States. This document serves as a summary of procedures. For more detailed information about Adobe s Paternity/Adoption Leave policies, please refer to the Total Rewards Handbook. ELIGIBILITY Paternity/Adoption Leave is granted to eligible employees for the purposes of bonding with a newborn or newly placed child. Paternity/Adoption Leave at Adobe consists of two components. 1. Two weeks of Paternity/Adoption Leave is granted with pay and made available to new fathers and adoptive parents. You are eligible for the two weeks if you are an Adobe employee regularly scheduled to work at least 24 hours per week. This time may run concurrently with FMLA, if eligible. 2. If you are eligible for FMLA (you have been employed by Adobe for 1 year and have worked a total of 1250 hours), you may take a Paternity/Adoption Leave of up to 12 weeks in the designated 12-month period (inclusive of the above two weeks of paid leave). Once you begin a Paternity/Adoption Leave, Adobe counts all of the time off for this purpose (or any other FMLA-qualifying purpose) toward the 12-week allotment. After the two-week paid Paternity/Adoption Leave, additional days are granted as unpaid leave, though California and New Jersey employees may also be eligible for benefits under the state s Paid Family Leave (PFL) Program. California employees who participate in the Voluntary Disability Insurance (VDI) you do not need apply for State Disability. Use of Adobe Time Off During Leave: The first two weeks of Paternity/ Adoption Leave are paid by Adobe s Payroll per the dates you provide Liberty. If you take more than one period of Paternity/ Adoption leave (e.g. take in separate blocks of time), each subsequent instance of leave will be unpaid up to 10 additional weeks. Use of Sabbatical while on Paternity leave: Exempt or Non Exempt employees can use Their Sabbatical concurrently with their Paternity leave to receive pay after exhausting available Adobe Paid Paternity/Adoption Leave. (CA and NJ employees should not overlap state family leave pay with sabbatical as the state may consider it an overpayment.) With manager s approval may use to extend time away after exhausting FMLA-eligible period, or if not eligible for FMLA Company breaks while on Paternity leave: If you are extending your leave beyond the 2 weeks Exempt employees will receive no pay for company breaks if an employee is on leave status If you are extending your leave beyond the 2 weeks Non Exempt employees will not have PTO deducted (nor holidays paid) if employee is on leave status Company Holidays while on Paternity leave: If you are extending your leave beyond the 2 weeks Exempt employees will only be paid for holidays that occur during the one-week waiting period. Otherwise no holidays paid if an employee is on leave status Page 1 of 3
2 If you are extending your leave beyond the 2 weeks Non Exempt employees no PTO deducted (nor holidays paid) if employee is on leave status Sick time/pto while on Paternity leave: If you are extending your leave beyond the 2 weeks Non Exempt employees may use for the one week waiting period, borrowing up to 40 hours if needed, or unpaid once reach 40 hours borrowed time. Cannot use during leave. With manager s approval may use to extend time away after exhausting FMLA-eligible period, or if not eligible for FMLA. (CA and NJ employees should not overlap state family leave pay with additional time off as the state may consider it an overpayment.) Use of Sabbatical during a Paternity/Adoption Leave: 1. To use your earned Sabbatical during (concurrently) your unpaid Paternity Leave, notify the ERC (erc@adobe.com) and provide them the date that your sabbatical is to begin. Do not submit a Sabbatical form; just notify the ERC at least one pay-cycle before your unpaid leave is to begin. California and New Jersey employees should not overlap PFL benefits and Sabbatical. 2. To use your earned Sabbatical after you exhaust your available Paternity Leave (i.e. to extend your time off beyond your Liberty-approved leave entitlement period), you must: Obtain pre-approval from your manager. Let your manager know that you are exhausting your available leave time and the date you are exhausting it; and Submit a Sabbatical form at least one pay-cycle before your leave is to end to ensure your time off is in place and that you will be paid correctly. Pay during your Paternity/Adoption leave: 1. The first 2 weeks are automatically paid by Adobe and will be paid through Adobe Payroll 2. You may decide to take an additional 10 weeks of unpaid leave. If you reside in CA or NJ, Starting on week 3 through week 8 you will be paid a state benefit approximately 55% for your weekly salary for up to 6 weeks. You must contact Liberty Mutual for details on how to receive this benefit. Weeks 9 through12 will be unpaid Adobe Benefits During your Leave: If the Company, in accordance with FMLA, CFRA, PDL or any other applicable federal or state laws, grants you an approved leave, you may, during the continuance of such approved leave, continue your health care coverage for you and your eligible dependents. At the time you request the leave, you must agree to make any contributions required by the Company to continue coverage. The amount you must pay toward this coverage will not exceed the amount an active employee pays for coverage under the same plan. If you are granted continued coverage while on an approved leave, your coverage will end the earliest of the following: The date you are required to make any contribution and you fail to do so; The date Liberty determines your approved leave is terminated and you have not yet returned to work; or, The date the program (or a particular coverage within the program) is discontinued; however, coverage for health expenses may be available to you under another plan sponsored by the Company Page 2 of 3
3 1. Health Care, Life, AD&D, STD, LTD Insurance: Coverage continues up to a maximum of 12 months if you are on an approved Medical Leave and remain an Adobe employee. Adobe will waive your contributions for up to a maximum total of 12 months for any period that you are unpaid by Adobe. The medical waiver credit will cease after your last Adobe paycheck and for the duration of your leave. Coverage continues up to a maximum of 12 weeks. Adobe will waive your contributions for any period that you are unpaid by Adobe. The medical waiver credit will cease after your last Adobe paycheck and for the duration of your leave. 2. Flexible Spending Accounts: Pre-tax contributions are suspended until you return to work. If you do not pay for coverage, any expenses incurred are not reimbursed. Restrictions apply if your return to work is in the following year. You must submit the FSA Payment Election Form 30 days prior to the start of your leave to make arrangement to pay your FSA contributions. You must submit this form to be eligible for the Adobe Dependent Care FSA child care contribution. The following options are available: Pre-pay before the leave begins (pre-tax) Pay (catch-up) missed contributions when you return from leave (pre-tax) if within the same plan year. 3. Health Savings Account (HSA): For questions regarding your HSA account, please contact Adobe s Benefits Call Center at extension 6Help or adobebenefits@xerox.com 4. Time Off, Sick Time and PTO: Sick Time (exempt) accrual will stop on your last Adobe paycheck and resume when you return from leave. Time Off (exempt) is not an accrued benefit. Discuss your time off needs with your manager when you return to work. PTO (non-exempt) will accrue for the first 30 days of your leave and then stops until you return to work. You can use the PTO Cash Out Program at any time during your leave. 5. Holiday Pay: Holidays are not paid during the leave period, but only for days that occur during the one week waiting period. 6. Sabbatical :Your sabbatical eligibility date will be adjusted by the length of your leave that extends beyond 30 calendar days. 7. Employee Stock Purchase Plan (ESPP): Deductions will stop once you are no longer receiving an Adobe paycheck and will resume upon your return to Adobe payroll. If a purchase period occurs during your leave, the deferral amount in your account will be used to purchase stock on the purchase date 8. Stock Options: Vesting will not be affected, except for Incentive Stock Options (ISOs) as may be required in accordance with plan documents and/or securities and tax regulations. 9. Performance Awards: For leaves in excess of 30 days, payment of final value will be prorated. 10. Restricted Stock Units (RSU): Vesting will not be affected (k): Contributions, including loan payments, will cease once you are no longer receiving an Adobe paycheck and will resume upon your return to Adobe payroll. You can change your deferral percent at any time. You must contact Vanguard the 401(k) Plan Administrator to make loan payment arrangements. If your leave of absence exceeds 12 months, your service date for vesting purposes may be adjusted. 12. AIP: Bonus is prorated based on time actually worked during the eligibility period. Refer to the Annual Incentive Plan summary and discuss any questions with your manager. 13. Check In s and pay Increase s: Check ins will not occur while you are on leave. However, you should resume the check in s once you are released and return to work. Any pay increases will be evaluated at the same time as everyone else and will be based on the work you accomplished during the period you worked. Any increase to your salary will not take effect until you are back on Adobe Payroll. 14. Compensation Plan: You will receive commissions and/or quota credit to the extent earned in accordance with the terms of your Sales Compensation Plan 15. Deferred Compensation Plan (DCP): You continue to be eligible for the DCP, but are excused from fulfilling your annual deferral amount to the extent compensation ceases or is reduced during your leave. If your leave results in a separation of service due to a reduction in your service level, your DCP account balance will be paid out to you in accordance with plan rules. Note that these are general statements regarding the effects of a leave on DCP participation, and you are advised to contact Vanguard for additional detail at the start of your leave Savings Plan: It is your responsibility to submit contributions directly to Alliance Bernstein once you Page 3 of 3
4 are no longer receiving an Adobe paycheck. 17. Educational Reimbursement: You are eligible to complete course(s) in progress before your leave began; otherwise, your eligibility is suspended until you return to work. 18. Group Legal Plan: Coverage continues up to a maximum of 12 months at no cost to you. 19. Long term Care (LTC) Plan and Other Voluntary Insurance (Auto, Pet, and Home): You must make arrangements directly with the insurance carrier to send in monthly payments or your coverage will be canceled. If you are enrolled in the LTC plan and coverage lapses due to nonpayment of any premium, you will need to re-enroll and provide evidence of insurability upon return to work to resume coverage. Paternity/Adoption Leave FAQ 1. What is the Paid Paternity/Adoption Benefit? Two weeks of Paternity/Adoption Leave is granted with pay and made available to new fathers and adoptive parents. 2. I plan to take time off when my wife goes back to work, not when the baby is born, do I have do use my paid paternity leave right away? No, you just have to complete your leave before your new born Child s First birthday. You must contact Liberty Mutual to initiate your leave. The first two weeks you take will be paid under this program. 3. Do holidays extend out my paid paternity/adoption time? No, your paid weeks will be inclusive of any holidays that occur in the week. 4. How do I request paid paternity (or adoption) leave? You can request your leave telephonically from Liberty Mutual at 1-(800) Provide Liberty Mutual the following information: Type of leave( Paternity or Adoption) Begin and end dates of your leave (i.e. your first day out of the office on leave and the date you are returning to work). Notify Liberty promptly if your dates change for any reason. Your Contact Information while on leave Your Manager s name 5. How will I receive my two weeks of leave pay? Once Liberty Mutual has approved your Paternity Leave, your first 2 weeks of Paternity/adoption leave will be paid through Adobe Payroll. 6. Can I take paternity leave for more than two weeks? If you are eligible for FMLA (you have been employed by Adobe for 1 year and have worked a total of 1250 hours), you may take a total of 12 weeks Paternity/Adoption Leave within the designated 12-month period of the birth of your child. This time is inclusive of the two weeks of paid leave. The remainder 10 weeks to bond with your child will be unpaid under FMLA guidelines. If you are not FMLA-eligible only the two weeks of leave from work are available to you (i.e. the Paid Paternity weeks). Contact Liberty to verify your FMLA-eligibility. 7. Do I have to take all of my Paternity/Adoption leave (FMLA) at one time? Page 4 of 3
5 Generally, Paternity/Adoption leave must be requested in a minimum duration of at least two weeks, You may take more than one Paternity/Adoption Leave for purposes of birth or placement of a child, provided the total time off for this and any other FMLA-qualifying leaves within the designated 12-month period does not exceed 12 workweeks. 8. I live in California or New Jersey and we are expecting our child in February, can I use this Paternity / Adoption leave benefit with the state PFL program? In California regardless of whether you are receiving SDI or VDI benefits, Liberty will automatically file a claim for PFL on your behalf after your disability period is over. In New Jersey you will need to proactively apply for PFL in order to set up payments. You can reach the New Jersey LWD at if you have questions. Paternity/Adoption Bonding Leave Checklist Contact Liberty, Adobe s disability and FMLA leave administrator, if you become aware that you will need to be out of the office due to your own serious illness (including pregnancy and postpartum recovery), to care for an immediate family member suffering a serious illness, or if you need to care and bond with a newborn, foster or adopted child. Employee Responsibility: 1. Notify your manager of your leave plans as soon as possible but no less than 30 days before your leave begins. This notice is so that your manager can plan for business coverage during your absence; it does not initiate or set up your leave. Provide your baby s due date or if adopting use the date that you take custody of your child, and the date you expect to begin your absence from work (i.e. your leave start date) and your expected return to work date. It is very important that you contact your manager to update if your dates change for any reason. 2. Open your Paternity/Adoption Bonding leave claim online at My Liberty Connection. (Claimant Service ID: ADOBELOA) or by calling a Liberty Intake at approximately 30 days before your leave is to begin. Liberty will administer your leave of absence and advise you of your FMLA eligibility. Provide Liberty your baby s due date, or if adopting use the date that you take custody of your child, and the date you expect to begin your absence from work (i.e. your leave start date) and your expected return to work date. It is very important that you always provide Liberty timely notification of any changes that affect your leave (e.g. baby s date of birth, your last day worked, your return to work date, etc.) as this will impact your Adobe pay and benefits. 3. Apply for the Paid Family Leave ( PFL ) insurance program if you are in California or New Jersey to bond with your baby In California regardless of whether you are receiving SDI or VDI benefits, Liberty will automatically file a claim for PFL on your behalf after your 2 week period is over. In New Jersey you will need to proactively apply for PFL in order to set up payments. You can reach the New Jersey LWD at if you have questions. Page 5 of 3
6 4. Flexible Spending Account (FSA): If you are planning a leave for over 30 days, you must maintain your FSA deductions. Complete and submit the Flexible Spending Account Payment Election Form to the ERC (erc@adobe.com) to indicate how you will pay for your share of benefit contributions for the period that you are not receiving Adobe paychecks. Read the special IRS rules that apply in the Total Rewards Handbook. 5. Health Savings Account (HSA): For questions regarding your HSA account, please contact Adobe s Benefits Call Center at extension 6Help or adobebenefits@xerox.com. 6. After the birth, enroll your baby or make any other changes to your benefits. You have 31 days starting from the baby s birth to add coverage and submit changes on the Adobe Benefits Enrollment Site. You can review and change your overall benefit elections, including, opting out of health insurance and/or the healthcare and dependent care FSA plans. If you make changes, review any changes to your paycheck deductions and out of pocket costs. Planning Ahead for Your Return to Work: 1. You must return to work at the end of your Liberty-approved leave. Liberty is available to assist you with any questions you have about your leave, including when your leave entitlement under FMLA ends. 2. Prior to returning from your leave, contact your manager and Liberty to confirm your return to work date. 3. You must obtain pre-approval from your Manager for any additional Time Off (exempt), PTO (non-exempt), Sabbatical or a Personal Leave of Absence that extends your time off beyond your Liberty-approved FMLA leave entitlement period. Liberty can provide you the date you will exhaust your leave entitlement; you are due back at work the next scheduled work day. If you obtained your manager s pre-approval for additional time off, you are responsible for submitting the applicable forms through LiveCycle before your Liberty-approved Family Care Leave ends to ensure your time off extension is in place. State Specific Forms and Links: Below are links to application forms for states that offer disability and family care pay benefits. (These programs provide you income, they cannot grant/approve your time away from work.). California SDI benefits (CA EDD): California PFL benefits (CA EDD): RI Disability: NY: Download an application or order an application by mail at New Jersey PFL benefit: Page 6 of 3
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