Tag: california law


Laboring Under New Laws

Posted on January 9th, by Editor in Audits/Due Diligence, Counseling & Compliance Training, Crisis Management, Fair Pay Act Obligations, Wage/Hour Class Actions. Comments Off on Laboring Under New Laws

By Mark E. Terman

*Originally published by CalCPA in the January/February 2017 issue of California CPA — the original article can be found here.

Few things in this world can be certain, except that the California Legislature will expand regulation of employers each year and the sun will come up tomorrow. In an apparent pendulum swing, 569 bills introduced in 2016 mention “employer,” compared to 224 in 2015 and 574 in 2014. Most of those bills did not pass, and of the ones that did, most were not signed into law by Gov. Brown. Essential elements of selected bills that became law affecting private employers, effective Jan. 1, 2017, unless otherwise mentioned and organized by Senate and Assembly bill number, follow.

California Minimum Wage Ascending to $15
SB 3 sets a state minimum wage for non-exempt employees that will escalate annually over the next … Read More »


Summary of Key New California Laws for 2017: What Employers Should Know

Posted on October 13th, by Editor in Audits/Due Diligence, Counseling & Compliance Training, Fair Pay Act Obligations, Wage/Hour Class Actions. Comments Off on Summary of Key New California Laws for 2017: What Employers Should Know

By Pascal Benyamini

Governor Brown has this year signed several new laws impacting California employers, some of which have already gone into effect and others that will be effective or operative in 2017 or later. A summary of key new laws follows. The effective date of the particular new law is indicated in the heading of the Assembly Bill (AB) and/or Senate Bill (SB).[1] The list below is in numerical order by the AB or SB.

ABX2-7 – Smoking in the Workplace (Effective June 9, 2016)

By way of background, California law already prohibited smoking of tobacco products inside an enclosed at a place of employment for certain employers. This Bill amends Labor Code Section 6404.5 and expands the prohibition on smoking of tobacco products in all enclosed places of employment to all employers of any size, including a place of employment where … Read More »


My House My Rules: California Reigns In Employers’ Use Of Forum-Selection and Choice-of-Law Clauses to Avoid California Law

Posted on October 5th, by Editor in Counseling & Compliance Training. Comments Off on My House My Rules: California Reigns In Employers’ Use Of Forum-Selection and Choice-of-Law Clauses to Avoid California Law

By Philippe A. Lebel

Last week, California Governor Jerry Brown signed into law Senate Bill 1241 (“SB 1241”).  The new law (available here), which takes effect on January 1, 2017, adds section 925 to the California Labor Code (“Section 925”).  In general, Section 925 will prohibit employers from requiring California-based employees to enter into agreements requiring them to:  (1) adjudicate claims arising in California in a non-California forum; or (2) litigate their claims under the law of another jurisdiction, unless the employee was represented by counsel.  Section 925 represents a considerable limit on parties’ rights to contract and may be the end of forum-selection and choice of law provisions, currently common in employment agreements.

For years, employers based outside of California have incorporated forum-selection and/or choice-of-law provisions in agreements with their California employees.  Some employers used these provisions to create company-wide uniformity … Read More »


Have a Seat: The California Supreme Court Clarifies the Wage Orders’ Suitable Seating Rules

Posted on April 5th, by Editor in Audits/Due Diligence, Counseling & Compliance Training. Comments Off on Have a Seat: The California Supreme Court Clarifies the Wage Orders’ Suitable Seating Rules

By Philippe A. Lebel and Thomas J. Barton

On April 4, 2016, the California Supreme Court issued an opinion concerning the Industrial Welfare Commission’s (IWC) Wage Orders’ suitable seating rules. According to the California Supreme Court, whether an employer must provide seating while employees are actively engaged in duties depends on employees’ tasks performed at given work locations. The Court determined that if the tasks being performed at any given location reasonably permit sitting, and provision of a seat would not interfere with performance of any other tasks that may require standing, an employer must provide a seat. The Court held that the determination of whether work “reasonably permits” sitting is a question to be resolved objectively, based on the totality of the circumstances. While an employer’s business judgment and the physical layout of the workplace are relevant factors, they are … Read More »


Get the Most Out of Your Employee Payroll Audit

Posted on March 29th, by Editor in Audits/Due Diligence, Counseling & Compliance Training, Fair Pay Act Obligations. Comments Off on Get the Most Out of Your Employee Payroll Audit

By Kate S. Gold, Heather B. Abrigo and Philippe Lebel

Employee payroll audits, which have long been recommended as a best practice for corporations that want to stay on the right side of the law, have become even more critical with the current proliferation of labor and employment laws at the state level. Among other things, the California Fair Pay Act, which went into effect on January 1, 2016, places new demands on California employers that in many cases can only be effectively satisfied by means that include a payroll audit.

Earlier this month, we held a webinar to discuss the CA Fair Pay Act requirements and what employees should do to comply. Below you will find some of the key takeaways.

What is the California Fair Pay Act?

The new law goes further and imposes more obligations on employers than longstanding federal and … Read More »


California Employers: New Poster to be Posted April 1, 2016

Posted on March 28th, by Editor in Counseling & Compliance Training. Comments Off on California Employers: New Poster to be Posted April 1, 2016

By Pascal Benyamini

Did you recently update your workplace posters? Time to do it again.

In California, all employers have obligations to satisfy workplace posting, such as posting information related to wages, hours and working conditions. The workplace posters must be placed in an area frequented by employees where these posters may be easily read during the workday.

As a result of new amended regulations pertaining to the California Fair Employment and Housing Act (“FEHA”) going into effect on April 1, 2016, certain covered employers must post a new poster on April 1, 2016. Employers with 5 or more employees (full-time or part-time) are covered by the FEHA and must post a specific notice, which replaces Pregnancy Disability Leave (“PDL”) Notice A. This new poster, titled “Your Rights and Obligations as a Pregnant Employee,” provides clarifications of the PDL, including, but not limited … Read More »


Don’t Labor Under New Laws — What Employers Need to Know About 2016 California Labor Laws

Posted on January 7th, by Editor in Audits/Due Diligence, Counseling & Compliance Training, Crisis Management, Fair Pay Act Obligations, Wage/Hour Class Actions. Comments Off on Don’t Labor Under New Laws — What Employers Need to Know About 2016 California Labor Laws

By Mark Terman

*Originally published by CalCPA in the January/February 2016 issue of California CPA — the original article can be found here.

Many California employers feel over-regulated—and under-appreciated. Yet, surprisingly, proposed new regulation of employers has declined. In 2015, 224 bills introduced in the California Legislature mention “employer,” compared to 574 in 2014. Most of those bills did not pass, and of the ones that did, most were not signed into law by Gov. Brown. One veto blocked a bill (AB 465) that would have made pre-dispute arbitration agreements made as a condition of employment—the kind that are in widespread use across the state—unlawful. Another veto rejected a bill (AB 676) reintroduced this year that would have penalized employers for limiting job prospects of, or discriminating against, applicants who are not currently employed.

Key elements of some of the bills that became … Read More »


Q&A: How to Ensure Compliance with California’s New Fair Pay Law

Posted on December 15th, by Editor in Fair Pay Act Obligations. Comments Off on Q&A: How to Ensure Compliance with California’s New Fair Pay Law

California’s Fair Pay Act, which takes effect Jan. 1, 2016, mandates that male and female employees doing “substantially similar” work be paid the same wages, unless employers can demonstrate that certain factors such as seniority, a merit system, education, training, experience or productivity can account for the gender disparities. As 2015 winds down, other companies either based in California or operating in the state may still be scrambling to ensure they’re prepared for the new law.

SHRM Online asked Los Angeles partner Mark Terman, as well as two other industry experts, to share their views about statistical analyses, labor law and compliance measures related to the Fair Pay Act.

Please click here to view the entire Q&A at SHRM Online.


Summary of Key New California Laws for 2016: What Employers Should Know

Posted on October 22nd, by Editor in Audits/Due Diligence, Counseling & Compliance Training, Fair Pay Act Obligations, Wage/Hour Class Actions. Comments Off on Summary of Key New California Laws for 2016: What Employers Should Know

By Pascal Benyamini

Governor Brown has signed several laws impacting California employers. A summary of some of the key new laws follows. The effective date of the particular new law is indicated in the heading of the Assembly Bill (AB) and/or Senate Bill (SB). As a reminder, the minimum wage in California is increasing to $10 per hour on January 1, 2016 based on previous legislation signed by Governor Brown in 2013.

AB 622 – E-Verify System (Effective January 1, 2016)

By way of background, under U.S. law, companies are required to employ only individuals who may legally work in the United States – either U.S. citizens, or foreign citizens who have the necessary authorization. E-Verify is an internet-based system that allows employers to determine the eligibility of their employees to work in the United States. The E-Verify system is administered by the … Read More »




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