Do I lose my exemption if I do work "outside the scope of my employment?"
Yes. You lose your exemption for the entire compliance period, with the exception of "qualified" pro bono work (see details below).
Full-time employees of the State of California or the United States government are exempt under 2.54(A)(3) and 2.54(A)(4) only if the sole legal work done by the attorneys is within the scope of their employment.
If these attorneys engage in any legal activity outside the scope of their employment, including pro bono work (see below for exception) or legal work for the attorney personally, close friends or immediate family (such as drafting a will for a relative, reviewing a contract for a non-profit association of which the attorney is a member and giving advice respecting it, they are not covered by the exemption of section 2.54(A)(3) and 2.54(A)(4) and must comply with the full MCLE requirements.