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Labor and Employment


  •   May 2024 On April 23, 2024, the Federal Trade Commission (“FTC”) issued a final rule that would ban employment non-compete agreements for most employees in the United States.  The new rule was published in the Federal Register on May 7, so it is projected to go into effect on September 4, 2024.  Multiple parties, including the U.S. Chamber of Commerce, have filed lawsuits challenging the rule and seeking to stay its enforcement as the challenges work their way through the courts.  What Does the New Rule Do? Simply put, the FTC’s new rule would ban non-compete agreements for almost […]

  •   May 2024 California employees have until July 1, 2024 to prepare and implement a Workplace Violence Prevention Plan (“WVPP”). In 2023, the California Senate introduced Senate Bill (SB) 553 for the purpose of reducing instances of workplace violence. SB 533 was signed into law in September 2023, which was then codified under Labor Code section 6401.9. The requirement for employers to prepare and implement a WVPP, however, were pushed back to July 1, 2024 in part to give Cal/OSHA time to develop a model program. Who Must Comply? Almost all California employer must comply with the requirements of Labor […]

  • March 2024 As the use of artificial intelligence (AI) continues to explode, the California legislature is reacting by proposing legislation to regulate and reign in its use.  Legislators have proposed a host of new AI-based laws for 2024, and Assembly Bill (AB) 2930 may be the most impactful on employers.  AB 2930 would provide prosecutors with authority to combat “algorithmic discrimination,” including in the workplace.  Prosecutors could use AB 2930 to bring civil actions against employers with significant consequences.  Algorithmic discrimination under the proposed statute is defined as: The condition in which an automated decision tool contributes to unjustified differential […]

  • With the close of the 2023 California legislative session, it is time to take a look at a few of the most important new and updated employment laws to ensure your business is prepared and compliant for the new year. Expanded Leave Protections SB 616 – Increase in Paid Sick Days Accrual and Use[1] Under existing law, employers are required to provide a minimum of 3 days (or twenty-four hours) of paid sick leave each year. Additionally, employees are entitled to accrue 6 days (or forty-eight hours) of paid sick leave which may be carried over from one year to […]

  •   August 2023   Dynamix Operations W. v. Superior Court and the subsequent passage of AB 5 represent seismic shifts in independent contractor rules in California.  We have previously provided details of these changes and their impacts. The Recent Evolution of Independent Contractor Laws; California Assembly Bill 5: Drastic Changes to the Healthcare Industry Are Certain and Immediate; California Motor Carriers Are Subject to AB-5; Ten Common Employment Law Violations; New California Employment Laws for 2022; California Employment Law Update 2021. But how do these laws impact the construction industry, and specifically the relationship between the prime contractor and subcontractors?  […]

  •   August 2023 On June 20, the United States Supreme Court denied a petition by Mobilize the Message LLC (“Mobilize”) challenging California’s test for classifying workers as independent contractors.  We have previously addressed how California made it significantly harder to classify workers as independent contractors when it passed Assembly Bill 5 (“AB 5”).  The Recent Evolution of Independent Contractor Laws; California Assembly Bill 5: Drastic Changes to the Healthcare Industry Are Certain and Immediate; California Motor Carriers Are Subject to AB-5; Ten Common Employment Law Violations; New California Employment Laws for 2022; California Employment Law Update 2021. Mobilize contracts with […]

  • April 2023 Wage theft is undoubtedly a major issue in the United States.  According to a study by the Economic Policy Institute, wage theft could amount to $50 billion dollars per year owed to unpaid workers. To combat wage theft, California has passed onerous regulations and severe penalties for non-compliance.  These rules are often so burdensome that it can be difficult for even the most well-intentioned employers to comply with all requirements. The ramifications of non-compliance can be devastating to businesses as they may face crippling class-action lawsuits and Private Attorneys General Act (“PAGA”) claims. There are, however, steps that […]

  •   January 2023 It is common practice for an employer to round employer timesheets, usually in 5, 10, or 15-minute increments, to help simplify payroll.  In 2012, the California Supreme Court approved the use of rounding in See’s Candy Shops, Inv. v. Superior Court.  The Court held that rounding was appropriate so longer as the process was neutrally applied.  For example, if an employer rounds time in 10-minute increments, the employer can round down for any time less than five minutes and round up for any time over five minutes.  In theory, therefore, the employer and employee should equally benefit […]

  • October 2022 As is the case each year, the California legislature passed a flurry of new employment laws at the end of the legislative session, many of which have been signed into law by Governor Newsom. Employers should be aware of these new laws, determine if they apply to their businesses, and take necessary steps to comply, including updates to their employee handbooks. Leaves of Absence Last year, California amended the California Family Rights Act (“CFRA”) to make it apply to employers with five or more employees (it previously applied to employers with 50 or more employees).  This year, the […]

  •   August 2022   California notoriously has some of the most stringent and complex employment laws in the nation. As such, even well-intentioned employers can easily find themselves running afoul of California’s rules and regulations, oftentimes at a significant cost. The following is a list of some of the most common mistakes employers make regarding California employment laws: 1. Overtime Under federal law, non-exempt employees are entitled to overtime for any hours worked in excess of 40 hours in a week. California, however, also requires overtime for any hours worked in excess of 8 hours in a day. California also […]