In addition to passing their own paid sick leave laws, Los Angeles and San Diego have also chosen to raise minimum wages over the course of several years.
The Los Angeles ordinance provides the following schedule of minimum wage increases:
For employers with 26 or more employees:
Continue Reading Los Angeles and San Diego Raise Minimum Wage
The California Court of Appeals recently held that California employers may not combine required 10 minute rest periods into one larger rest period absent justifiable circumstances, further clarifying the California Supreme Court’s decision in Brinker Restaurant Corp. v. Superior Court, which had held that employers were not always required to provide a rest period before a meal break (suggesting that they may in fact be combined).
The California Legislature originally authorized the Industrial Welfare Commission (IWC) to issue wage orders governing wages, hours, and working conditions for workers in various industries and occupations. Although the IWC has since been defunded, the wage orders still generally hold the force of law in California. Under those wage orders, employers must provide all employees with a 10 minute paid rest period for every four hours, or major fraction thereof, worked. If an employer fails to provide a required rest period, the employer must pay a wage penalty equivalent to one hour of pay at the employee’s regular rate of pay for each workday that the rest period was not provided.Continue Reading California Employers Generally May Not Combine Required Rest Periods
On April 21, 2016, San Francisco became the first city to impose a mandatory paid parental leave ordinance. Under the new law, certain covered employers must provide supplemental compensation to employees who are receiving California Paid Family Leave (PFL) for purposes of bonding with a new child. Employers should be mindful of these new obligations, which are likely to expand to other cities and possibly the entire State of California in the future.
Under previously existing law, no California city required that employers provide paid parental leave for bonding with a new child. Employers were only required to notify employees of their rights under the state’s PFL program. The PFL program is a component of the California State Disability Insurance (SDI) program and entitles employees who have paid into SDI to receive up to 55% of their lost wages when they must take a leave of absence to care for a child, parent, parent-in-law, grandparent, grandchild, sibling, spouse, or registered domestic partner. Benefits are capped at six weeks in a 12-month period, and benefits are funded entirely by the SDI program. (Note that California Governor Jerry Brown recently signed legislation that will increase the benefits paid by the California PFL program for eligible leaves from 55% to 60% (or 70% in some cases) beginning on or after January 1, 2018.)
Continue Reading San Francisco Becomes First City to Require Employers to Fund Paid Family Leave
The General Counsel for the National Labor Relations Board (the “Board”) recently revealed the Board’s policy initiatives for 2016 in a memorandum to local regional offices. The memo informs the NLRB regions which cases it considers to be of particular concern and requires that they be submitted to the Division of Advice at the Board’s Washington, D.C. headquarters so the General Counsel’s office may “provide a clear and consistent interpretation of the [National Labor Relations] Act” that is consistent with the General Counsel’s view. While the memo contains few surprises, it does offer employers a cautionary warning of possible changes to current labor law jurisprudence. Because these changes may negatively impact employers, employers would be wise to take note of its warnings.
Continue Reading NLRB Policy Initiatives for 2016: Employers Be Warned
After a lengthy period of public comment and several revisions, California’s Fair Employment and Housing Council finally adopted amendments to the California Fair Employment and Housing Act (FEHA) regulations. The amendments, which went into effect on April 1, 2016, generally reinforce existing law but also impose several new and detailed requirements for employers.
Requirements for harassment, discrimination and retaliation policy:
As of April 1, every California employer must have a harassment, discrimination, and retaliation policy that:
Continue Reading New Amendments to California Fair Employment and Housing Act Now Effective
A number of significant developments in California labor and employment law occurred in 2015. This article will highlight the developments we believe are most important for California employers, including a new mandatory paid sick leave law, a substantial overhaul of the Fair Pay Act, the solidification of special meal period waivers for healthcare employees, the prohibition of certain no-hire clauses in California settlement agreements, and a few others.
California Paid Sick Leave Laws
On July 1, 2015, California became the second state in the nation (following Connecticut) to implement a mandatory paid sick leave law and the first state in the nation to require paid sick leave for all employers. Unlike Connecticut, there is no small employer carve out.Continue Reading California Case Law 2015 Recap
On Thursday, February 25, 2016, the U.S. Department of Labor proposed new rules to implement Executive Order 13706, which requires certain federal contractors to provide qualifying employees with at least seven days of paid sick leave each year, including paid leave for family care. The Department of Labor intends to publish a final version of these rules by September 30, 2016, and employers who contract with the federal government should begin preparing for their implementation now. Noncompliance could result in suspension of federal payments or even termination of a federal contract.
Continue Reading New Mandatory Paid Sick Leave Rules Could Ensnare Unwary Federal Contractors
Home healthcare agencies and other third party employers of home care workers recently lost a key fight to prevent the Department of Labor (“DOL”) from eliminating Fair Labor Standards Act (“FLSA”) exemptions for employees who provide companionship services and live-in care within a home. On August 21, the District of Columbia Court of Appeals reversed a district court decision invalidating the regulations, meaning that employers in at least 27 states (where state law has not afforded the home care workers with minimum wage or overtime protections) should now modify their pay practices to conform with the new regulations.
Continue Reading New Ruling Impacts Home Care Worker Exemptions Under the FLSA
Bass, Berry & Sims attorneys Tim Garrett and Dustin Carlton authored an article outlining the actions employers should take to avoid violating the Dodd-Frank Act relating to confidentiality agreements. Rule 21F-17 was adopted by the SEC to prevent employers from taking any action that would prevent an employee from “directly communicating with the Commission staff…
A Maryland-based construction company required to pay “prevailing wages” under a Federal government contract recently settled for $400,000 claims that it had violated the False Claims Act (“FCA”) by failing to properly supervise lower-level contractors in the payment of prevailing wages to their workers. The case serves as a reminder that government contractors who fail to ensure compliance with wage requirements – whether under the Davis-Bacon Act (“DBA”), Service Contract Act (“SCA”), or Walsh-Healy Public Contracts Act (“PCA”) – can face significant liability. It also highlights the ongoing expansion of the federal government’s battle against procurement fraud.
Continue Reading The Growing Risks of Non-Compliance with Wage Rate Determinations
