Are You Ready? Notice to Employees of Void CA Non-Competes Required by February 14, 2024

California law has for many years treated agreements that restrain one from engaging in a lawful profession, trade, or business as void and unenforceable, unless an exception applies. This applies to most non-compete and non-solicitation agreements with California employees.

Citing to California Supreme Court precedent that voided a post-employment non-compete and to state public policy favoring employee mobility, AB 1076 and SB 699, both effective January 1, 2024, prohibit employers from including, entering into, and attempting to enforce a noncompete clause in an employment contract, or otherwise requiring an employee to enter a noncompete agreement, absent an exception.

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Don’t Labor Under New Laws

California is a state of perpetual motion when it comes to new and evolving employer regulations. While most of the 305 bills introduced in the last legislative session mentioning “employer” did not pass the Legislature, many did and were signed into law by Gov. Gavin Newsom. With that comes more rules and risks for employers dealing with non-compete agreements, anti-discrimination, Labor Code enforcement, workplace safety, leaves of absence and a plethora of minimum wage increases.

To borrow from Kelly Clarkson, “… what doesn’t kill you makes you stronger, stand a little taller …”

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State & Local Employment Law Developments: Q4 2023

As we witnessed in the first, second and third quarters of 2023, state and local governments continued to increase workplace regulations in the fourth quarter of the year. Read our update for an overview of recent and upcoming legislative developments to help you and your organization stay in compliance.

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New California Laws for 2024 and Beyond: What Employers Should Know

California Gov. Gavin Newsom signed several laws impacting California employers in 2023. Some of the new laws became effective immediately and others, including some that were signed into law just weeks ago, take effect January 1, 2024, or later. These new laws address several topics, including expanding paid sick leave, leave of absence for reproductive loss, minimum wage increases for fast-food restaurant employees and health care workers, restraint on trade, and workplace violence prevention standards.

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California Supreme Court: Whistleblower Statute Protects Employees Who Disclose Allegedly Unlawful Conduct Even When it is Already Known to the Employer

 Recently, the California Supreme Court ruled in The People ex rel. Lilia Garcia-Brower v. Kolla’s Inc. that California’s whistleblower protection statute (Labor Code § 1102.5) protects employees who disclose unlawful conduct, even when the recipient of the disclosure is already aware of the conduct.  This ruling expands the definition of “disclose” such that the law now covers a wider array of employee retaliation claims against employers.

Background

Section 1102.5(b) states that employers may not retaliate against an employee for disclosing information (or because the employer believes that the employee has disclosed or will disclose information) about conduct which the employee reasonably believes is unlawful.

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California Supreme Court: PAGA Plaintiffs Can Pursue Representative State Court Claims Even if Their Individual PAGA Claims Are Compelled to Arbitration

The California Supreme Court recently held that Private Attorneys General Act (PAGA) plaintiffs do have standing to pursue their representative PAGA claims in state court even if their individual PAGA claims are compelled to arbitration.

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