On January 7, 2016, Governor Brown’s office submitted a 22-page Budget Change Proposal for 2016-2017 (http://web1a.esd.dof.ca.gov/Documents/bcp/1617/FY1617_ORG7350_BCP474.pdf) in an effort to “stabilize and improve the handling of Private Attorneys General Act cases.”
Articles Discussing General Workplace Issues in California.
The budget change proposal for the 2016/17 Fiscal Year [document:
Last week, California Attorney General, Kamala D. Harris – who has been mentioned as a potential nominee to fill Justice Antonin Scalia’s recently vacated seat on the U.S. Supreme Court – issued the California Data Breach Report (Report). The Report provides an analysis of the data breaches reported to the California AG from 2012-2015.
Even before California’s 2016 session gets underway in January, legislative committees have been scheduling bills for hearing next month. So far, hearings on bills of interest to California private-sector employers include the following:
Effective January 1, 2016, California employers face a Labor Commissioner with significantly enhanced authority to enforce judgments for unpaid wages under California’s Fair Day’s Pay Act.
Employers’ risk of liability for the misclassification of workers continues to grow, as employee misclassification remains a top enforcement priority for the U.S. Department of Labor (“DOL”), and class actions asserting misclassification claims are filed almost daily in federal and California state courts. Employers regularly using independent contractors should examine those relationships periodically to ensure that the classification remains defensible.
The California Supreme Court’s recent decision to review the Second District Court of Appeals’ ruling in Parrish v. Latham & Watkins, 238 Cal. App. 4th 81 (2015) sets the stage for a potential sea change in the litigation of Uniform Trade Secrets Act (“UTSA”) claims, and could lead to an unsuccessful UTSA claimant being subject to a malicious prosecution action.
Employers doing business in California have seen a barrage of class actions and representative claims for various alleged wage and hour Labor Code violations. Some cases are premised solely on “technical” wage statement violations, where the employer may not have even realized the practice was occurring or was unlawful.
On October 27, the Sacramento City Council, by a 6-3 vote, passed an ordinance that will raise the minimum wage to $12.50 in gradual increments. The new city minimum wage will provide for citywide minimum wages for most businesses as follows:
With holiday hiring in full swing, it is a good time to review some basic rules about employment applications in California. In general, employers should not request the following information on employment applications:
On October 6, 2015, California Governor Jerry Brown signed three new laws which substantially alter and expand the state’s security breach notification requirements. The new changes to California Civil Code sections 1798.29 and 1798.82, the Golden State’s laws that require notifications by state agencies and private sector entities of certain breaches of security (i) provide a definition for encryption, (ii) establish new requirements for the content and form of breach notifications, and (iii) add license plate information gathered through automated license plate recognition (ALPR) systems to the definition of personal information subject to the state’s notification requirements. These changes become effective January 1, 2016.
Recent class actions have claimed that companies have violated California consumer fraud and unfair competition laws resulting from alleged forced labor in their global supply chains. These state law claims argue that companies are liable for allegedly misrepresenting in various corporate declarations their efforts to eradicate forced labor from their global supply chains. Plaintiffs have argued that corporate statements referring to international standards, such as the U.N. Guiding Principles on Business and Human Rights (the “UN Guiding Principles”) and International Labour Organization (the “ILO”) Conventions, contribute to the companies’ duties to disclose the use of any forced labor in their supply chains.
On October 9, 2015 Governor Jerry Brown signed Assembly Bill 622 into law. AB 622 expands the definition of an unlawful employment practice to include the misuse of the E-Verify system. The new law prohibits employers from using the E-Verify system to inquire on the employment authorization status of an employee outside of the time and manner permitted under federal law. Additionally, employers that use E-Verify are now required to give employees copies of the derogatory notices issued to the employer from E-Verify. This new law provides for a civil money penalty of up to $10,000 per occurrence.
We previously reported on several employment-related bills passed by California’s Legislature and signed by the Governor. These include AB 304 (which clarifies certain aspects of the state paid sick leave law), AB 1506 (which provides a limited right to cure certain wage statement violations), SB 327 (which clarifies the law surrounding meal period waivers in the health care industry), SB 358 (which strengthens laws against wage differentials on gender lines), and AB 622 (which provides a private right of action for misuse of E-Verify). Yesterday was the last day for the Governor to sign or veto bills so we are now reporting on the outcome of other employment bills that were passed by the Legislature this term.
Experts are predicting a 95% chance of heavier-than-usual seasonal rainfall this year in Southern California based on the phenomenon known as “El Niño.” Did the California Legislature and its Governor produce a comparable deluge of new employment laws for the state’s private sector employees?