Navigating CNA Contracts in California: What You Need to Know

CNA Contracts Overview

While most people have at least heard of a CNA, Certified Nursing Assistant, fewer are aware of what a CNA contract is or why it matters. A Certified Nursing Assistant contract is an agreement between the CNA and the entity that employs the individual in which they agree to remain with the company for a specific amount of time. In general, these contracts are for two years, but they can be longer. These contracts include clauses that require the employee to work at the facility for the entire length of the contract. If the employee does not remain with the company for the entirety of the contracted period, they’re often required to pay liquidated damages.
For example, if a CNA decides to leave the company after only nine months and the contract was for two years, they may have to pay the company back for the time they were employed there . The monetary amount that they pay back is called the liquidated damages. Both parties benefit from these contracts. For the employer, they ensure that the company doesn’t spend a lot of money on a new employee who then leaves the company shortly after being hired. When a company hires a new employee, they have to train that person and pay them during the time when they aren’t yet fully trained. If the employee doesn’t stay with the company for long enough to pay back these costs, the company loses money.
For the employee, these contracts provide financial stability for the employee and their family because they know how long they’ll be employed with a company and know what they’re going to be paid during that entire timeframe. Having a set salary is particularly important for a CNA since they generally work for non-profit companies. Without a contract, they could lose their job with no notice.

CNA Contract Prerequisites

While there is no federal law governing CNA contracts, there are important state standards that must be followed. Of especially note is Labor Code section 6205, which prohibits "any person, firm, association, or corporation from employing any person to render services under a contract for hire . . . unless the contract for services is in writing and signed by the contracting parties." This requires the employment contract to be in writing and that it be executed (signed) by both the employer and the employee.
A second requirement for legally valid CNA contracts is that they must be based upon a good faith estimate of hours of work to be performed. An example of a way to comply with this requirement would be to provide the nurse with a written list of cases where the nurse will be working and an estimate of the time spent at each case. Neither this provision itself, nor any other statutory requirements is intended, however, to limit flexibility in the scheduling of the nurses time.
Additional state laws that are important to CNA contracts include:
• The written contract must describe the compensation and other terms of employment.
• Contracts must specify that the contractor (CNA) must make contributions to Social Security, the California Unemployment Insurance Fund and the State Disability Insurance Fund, and that the contractor must withhold federal and state income taxes.
• The contractor must allow the nurse access to copies of all documents prepared in connection with the offering of the contract.
• The contracting party must arrange with either the Internal Revenue Service or the Employment Development Department to have any communications made regarding the contract to be made by the Internal Revenue Service to the nurse, and not the contracting party.
• The contracting party must maintain completed copies of all contracts and all documents submitted and received in connection with the contract for a minimum of three years.
• The contracting party retains full responsibility for any contributions required by or on behalf of the nurse, even if those amounts are withheld from the nurse’s compensation.

CNA Contract Elements

Common Elements of CNA Contracts in California
Like most employment contracts, CNA agreements contain similar provisions across the board. An understanding of these provisions can help to shed light on the specific terms to be included in any given contract.
Compensation. The first provision that will come up in any CNA contract is the employee’s compensation. Compensation can be paid hourly or on a salary basis. It is important to note that while many employers will provide wages that are equal to or above the state and federal minimum wage, smaller employers should examine budgets to determine whether they can afford to pay top wages. Nurses who will be required to do over fifty percent travel should be especially cautious so that they do not fall below minimum wage.
Duties. A CNA contract must also set forth the specific duties of the employee. This information should be as detailed as possible. General descriptors such as "care for patients in an efficient, effective manner" should be avoided. Instead, the employee should be apprised of their specific responsibilities so that they have reasonable expectations and are not surprised by any additional duties.
Confidentiality. As with most employment contracts, CNA agreements contain a confidentiality clause that requires the employee to keep all internal information private. This can even include compensation information. When preparing a CNA contract, the employer should consider what employees will have access to the information and take the appropriate precautions.
Termination. While all CNA employment contracts will have a term, the duration will vary widely. The contract can be for a fixed term of five years or a rolling contract that is renewed every month. Most CNA employment agreements have a termination provision that is in line with the Notice of Termination and Statement of Termination that must be issued by the employer. The contract should also make the employee aware of any additional documentation that will need to be completed. The contract can terminate at any time with or without cause. This sentence should be clearly written and understood.

CNA Contract Negotiations

Strategies for Successful CNA Contract Negotiations
In California, CNAs have the right to negotiate their contracts to some extent. The extent to which negotiation is allowed may vary depending on the employer or union at play, and it is possible that unions will take a more ‘hands-off’ approach to negotiation.
Therefore, unless otherwise agreed to, the CNA has the opportunity to bring up terms they are dissatisfied with, and negotiate with their employer or union to come to an agreement.
When dealing with negotiations, it is important to approach the process in a positive way. Consideration should be given to the fact that everybody wants to be treated fairly, and that individuals should be able to govern their own environments to an extent .
As a CNA, you should keep track of your health, and what health care you receive and when. Being able to provide accurate and helpful information when negotiating with your employer can help build a relationship built on mutual respect.
When considering your health care needs in the future, emphasis should be placed on what is reasonable and customary, as well as what is required by law. It is likely that most employers will be willing to discuss options for coverage if the request is reasonable.
If an employer is refusing to negotiate contract terms with you, consider whether other employees are dealing with similar situations. If they are, you may wish to band together to negotiate together.

CNA Contract Dilemmas and Solutions

CNAs might face several challenges when trying to understand their contracts. One of the most common difficulties is simply deciphering the medical and administrative jargon. Provisions such as "independent contractors" and "beneficiary" can be written in complex language that makes it difficult for the layman to understand what they mean. The solution to this is straightforward, as the California Department of Managed Health Care has a useful glossary of terms available on their website that CNAs can access to help understand common terminology. Another issue could be contract amendments that do not line up with previous agreements or policies. A recent Private Utilization Review decision showed how some plans might make changes to their policies without notifying CNAs, resulting in a disagreement over reimbursement. The best way to prevent this is to look at the relevant documents, as excessive paper trails are preferable to assuming a document is correct. For instance, a document could only apply to contracts going forward and not the existing one, or it could just amend a policy. However, if the situation is unclear or it represents a trend with a given plan, then the next best option is to contact the relevant health plan to discuss the matter. Finally, CNAs might have an issue understanding their rights. When faced with a claims denial, many CNAs might not know the process of appealing or who to contact. The California Department of Insurance provides the relevant forms and information directly on their site, including how to contact them.

Conclusion: Making the Most of CNA Contracts

For CNAs in California, it is crucial to understand and maximize the benefits that come with a CNA contract. First, it is important to fully understand the terms and conditions of the contract. A CNA contract is typically governed by California law, which means that any disputes arising from the contract will be subject to California’s legal requirements. In addition, it is important to be aware of any specific provisions that may be included in the contract, such as non-compete clauses, scope of work, and fees charged for certain procedures. It is also important to ensure that the contract is properly enforced in order to receive the full benefits allowed under the contract. This may require monitoring for any violations of the contract and seeking potential remedies . In addition, it is crucial to consult with an experienced attorney if there are any areas of the contract that are not understood. An attorney can provide guidance and clarification on the contract, and may also be able to help with enforcing the contract in the event of a dispute. In conclusion, for CNAs in California, it is important to fully understand the terms and conditions of the contract, and to be aware of any specific provisions that may be included in the contract. In addition, it is crucial to ensure that the contract is properly enforced, and to seek any potential remedies in the event of a breach. With the right knowledge and guidance, CNAs can fully maximize the benefits that their contract has to offer.