California’s stair-step climb to a $15-dollar minimum wage continues. Effective January 1, 2021, the minimum wage for employers with 25 employees or less will increase to $13.00 per hour, and for employers with 26 or more employees, the minimum wage will increase to $14.00 per hour. Employers must remember this increase also affects minimum salary
Wage and Hour
Proposition 22 Passed – What Does It Mean for the Gig Economy in California?
While some of the 2020 election is still undecided, California voters were fairly definitive in their support of Proposition 22, which will now allow app-based rideshare and delivery companies to hire drivers as independent contractors if various conditions are met.
A key part of Prop 22 provides workers with minimum compensation levels, health insurance…
Time to Review Employee Wages and Salaries for 2021
The California 2020 legislative session has closed, and employers should be preparing for 2021 by updating policies and procedures. Employers should ensure that the minimum wage for non-exempt employees’ wages will be appropriately increased for 2021. Since 2017, California has been working its way up to an eventual $15 minimum wage. Industry groups rallied…
California Supreme Court to Hear Oral Arguments on Retroactive Application of Dynamex
On November 3, 2020, while the rest of the country is focused on the 2020 election, the California Supreme Court will hear oral arguments in Vazquez v. Jan-Pro Franchising Int’l, Inc. to address an unanswered question stemming from the Court’s 2018 decision in Dynamex Operations West, Inc. v. Superior Court 4 Cal. 5th 905…
Governor Signs Legislation Extending Exemption from Rest Period Requirements for Safety-Sensitive Employees at Petroleum Facilities
On September 30, 2020, Governor Newsom signed Assembly Bill 2479, which extends until January 1, 2026, the exemption from the rest period requirements for specified employees who hold a safety-sensitive position at a petroleum facility and are required to respond to emergencies. Before the passage of this legislation, the exemption was scheduled to remain…
Expanded Exemptions for Independent Newspaper Carriers
On September 30, 2020, the Governor signed Assembly Bill 323 (“AB 323”), which is intended to support local journalism.
Part of the new law focuses on California’s official advertising, requiring the Department of General Services publish by July 1 each year information relating to payments of placement marketing and outreach advertising material by each state…
Give Those Rest Break Premiums a Rest Already – Unionized Security Officers May Be Required to Take On-Duty Rest Breaks
On September 30, 2020, Governor Newsom signed Assembly Bill 1512 (“AB 1512”), which for the first time allows employers to require their unionized security officers to take on-duty rest breaks. Historically, employees could agree to take on-duty meal breaks (with certain prerequisites), but the law was silent as to on-duty rest breaks. In enacting AB…
AB 736 Expands Professional Exemption
On September 9, 2020, Governor Newsom signed Assembly Bill (“AB”) 736, which expands the professional exemption under Industrial Welfare Commission (“IWC”) Wage Orders Nos. 4-2001 and 5-2001 to include part-time, or “adjunct,” faculty at private, non-profit colleges and universities in California.
AB 736 amends the Labor Code to add Section 515.7, which states that…
Governor Expands Exemptions to California’s Independent Contractor Law
One of the first employment-related bills signed by Governor Newsom this legislative session was Assembly Bill (“AB”) 2257, which recasts, clarifies, and expands exemptions to AB 5, last year’s bill relating to independent contractors.
In September 2019, Governor Newsom signed into law AB 5, which codified the “ABC Test” adopted by the California…
Reimbursements and Remote Work 101
In March 2020, many employers suddenly found themselves managing a mostly remote workforce due to COVID-19. As the pandemic stretches on, some businesses remain remote because of necessity, while others are considering the many advantages of a remote workforce.
As employees continue teleworking, employers should familiarize themselves with the requirements for reimbursement under California law.…