Beyond the labor and employment developments taking place at the state level in California, employers must keep an eye on breaking news at the local level as well.1 In recent years, municipalities up and down the coast have passed ordinances affecting employers, such as wage increases and scheduling ordinances. This article highlights some of the gnarliest laws that have been enacted, or are currently in the pipeline, in several major California cities.
Articles about California Labor And Employment Law.
Employment Law Goes Local – California Municipalities Regulate the Hiring and Scheduling of Workers
As workplace regulations spread among California cities, employers confront a tangled web of local rules – particularly those companies with operations in multiple locations. Addressing this compliance challenge with practical suggestions, Corinn Jackson with Littler’s Workplace Policy Institute (WPI) and Sacramento Shareholder Bruce Sarchet, also a member of the WPI team explore new regulations in Emeryville, San Jose, and San Francisco that mandate advance notice of work schedules and require offering additional work hours to part-time employees before hiring from the outside. Corinn and Bruce encourage employers to carefully evaluate whether the laws apply to their operations and, if so, provide training and guidance to supervisors and managers who will need to implement the requirements. Additionally, Bruce and Corinn note that ongoing monitoring of compliance will be critical, along with legal consultation.
Are You Ready for Important California and City of Los Angeles Regulations Effective July 1, 2017?
Both California and the City of Los Angeles have enacted regulations effective July 1, 2017 governing employer use of applicant and employee criminal history in making employment decisions. Below we summarize these upcoming changes as well as the City of San Francisco’s ordinance already in effect.
California’s New Regulations Offer More Protection for Transgender Individuals
California’s Department of Fair Employment and Housing (DFEH) has approved new regulations to protect transgender individuals, effective July 1, 2017.
Golden State Worriers: California Labor & Employment Bills to Watch
When it comes to legislation, for California employers it’s the final countdown. June 2 was the last day for bills to pass out of their house of origin. September 15 is the deadline for these bills to pass both legislative houses, and the governor will have until October 15 to sign or veto bills. Generally, California laws take effect January 1 the following year. Below we briefly highlight notable pending Golden State labor and employment measures.
California’s Fair Pay Laws Continue To Evolve
Ilyse Schuman, Co-Chair of Littler’s Workplace Policy Institute, talks with Sacramento Shareholder Bruce Sarchet about two new bills pending in the California legislature dealing with the concept of equal pay for equal work. One would prohibit employers from asking about salary history during the job application process, and another would require large employers to file reports regarding pay for men vs. pay for women. Bruce provides background on California’s current equal pay law, discusses national – as well as California state and local – legislative trends surrounding equal pay, and outlines potential future legal challenges.
Sixth Circuit Joins Ninth and Seventh Circuits on Class Action Waivers
Last week, the Sixth Circuit Court of Appeals issued its decision in NLRB v. Alternative Entertainment, Inc. holding that a mandatory employment arbitration agreement prohibiting class or collective claims violates the NLRA. With this holding, the Sixth Circuit is now aligned with the Ninth and Seventh Circuits, both of which issued similar decisions last year. The Second, Fifth, and Eighth Circuits, by contrast, have held that class and collective waivers in mandatory arbitration agreements do not violate the NLRA and are enforceable. In January of this year, the U.S. Supreme Court agreed to review this issue and to resolve the Circuit split. Briefing is underway in the three consolidated cases before the Supreme Court. Briefing is currently scheduled to be completed in August, making oral argument likely in the fall, with a decision shortly thereafter. Given that the Supreme Court will be issuing the definitive answer on this issue in the near future, the timing of the Sixth Circuit’s decision to enter the fray now (rather than staying its pending case) is odd to say the least. In any event, employers litigating in federal courts in states that are part of the Sixth Circuit (as well as the Ninth and Seventh Circuits) will not succeed in enforcing class or collective action waivers in mandatory employment arbitration agreements unless and until the U.S. Supreme Court issues a decision confirming, once and for all, that such waivers do not violate the NLRA.
Assembly Bill 1008 is the Icing on the Cake for Proponents Seeking to Prevent Employers from Considering Criminal Convictions in the Hiring Process
Assembly Bill 1008 is making its way through the California legislature, after being passed in its amended form by the Committee on Appropriations on May 26, 2017. The Bill would repeal Labor Code section 432.9 and make it unlawful for an employer to include on an application for employment any question regarding the applicant’s criminal history or to inquire into an applicant’s criminal history until after the applicant receives a conditional offer. The justification offered for the bill is that employment of formerly incarcerated individuals is essential to reintegrating them into society and reduces recidivism.
Third Time’s the Charm: California’s Proposals to Expand its Equal Pay Protections . . . Again
With amendments to the California Fair Pay Act (“CFPA”) in effect for less than six months, the state legislature has introduced three new bills to further expand the state’s equal pay laws.
Judge Flattens Tires on Uber Self-Driving Car Project Through Injunction And Other Orders
On February 23, 2017, Waymo (Google’s self-driving car subsidiary) sued Uber, under the DTSA in the Northern District of California, alleging that Waymo’s former star engineer, Anthony Levandowski, conspired with Uber to steal its trade secrets to allow Uber to make a technological leap forward on its self-driving car project. Early litigation has been complicated by a separate arbitration against Levandowski and Levandowski invoking his Fifth Amendment rights that stymied document production and discovery. This heavily litigated matter has over 447 separate docket entries since it was filed a couple of months ago.
Class Action Waiver in Employment Arbitration Agreement is Unenforceable, Court Rules
A class action waiver in an arbitration agreement is unenforceable under the National Labor Relations Act, Judge Gonzalo P. Curiel has ruled. Neal Pataky et al. v. The Brigantine, Inc., No. 3:17-cv-00352 (S.D. Cal. May 3, 2017).
Equal Pay Laws and Use of Prior Salary as a Justification for a Pay Disparity
The Ninth Circuit recently issued is decision in Rizo v. Yovino, reversing a district court ruling holding that an employer violated the federal Equal Pay Act through its bright-line policy of paying new employees 5% more than their prior salary. According to the district court (and the stated position of the EEOC), basing compensation on an applicant’s prior compensation only serves to further historical wage disparity between men and women, and therefore violates the Equal Pay Act. The Ninth Circuit surprisingly (given its notoriously liberal bent) disagreed.
A Primer on Substituting Paid Leave for Unpaid Disability Leave Under Federal and California Law
Among the many questions California employers face when navigating the ins and outs of various disability leave laws is under what circumstances an employee may choose or be required to utilize paid time off for an otherwise unpaid leave of absence. When dealing with these issues, it is important to consider some nuanced differences between various federal and California state laws. The following are some guidelines for employers to keep in mind:
California Supreme Court Clarifies “Day of Rest” Provisions
California employers can now schedule employees with more confidence when the press of business requires employees to work beyond their normal work schedule. The California Supreme Court has clarified California’s “day of rest” statute. The ruling affords employers flexibility in scheduling employees and clarifies some of the law’s ambiguities while leaving a few unanswered issues.
California Supreme Court Clarifies Day of Rest Rules
Today, the California Supreme Court issued its opinion in Mendoza v. Nordstrom, clarifying California’s day of rest requirements. These requirements are set forth in Labor Code sections 551 and 552. Section 551 provides that “every person employed in any occupation of labor is entitled to one day’s rest therefrom in seven,” and Section 552 prohibits employers from "causing their employees to work more than six days in seven." However, Section 556 exempts employers from the duty to provide a day of rest “when the total hours of employment do not exceed 30 hours in any week or six hours in any one day thereof.” While these provisions do not appear too complicated or hard to follow at first blush, compliance has been challenged in wage and hour litigation, raising several questions of what these provisions technically mean.