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“Knowledge is power” is cliché, but true. California heads the nation in regulating employee relations.
“Knowledge is power” is cliché, but true.
California heads the nation in regulating employee relations. While workplace laws usually arise to police the few employers crossing the line into worker exploitation, they subject the vast bulk of well-intentioned businesses to thousands of technical rules requiring close attention.
Enacted in 2004, the Private Attorneys General Act (PAGA) has become the epitome of our state’s intensive employment practices oversight. It is also the curse for a growing number of businesses that law has driven to the point of bankruptcy or exodus to more employer-friendly lands.
PAGA was originally intended to deter widespread Labor Code violations by deputizing employees to act as private attorneys to sue employers in place of the state. The suit need only name one aggrieved employee (former or current) to represent all others and collect penalties for each of the confirmed violations. Money recovered goes to the state and the affected employees, with a losing employer also paying successful opposing lawyers their fees and costs.
With penalties ranging from $10,000 [independent contractor misclassification] and $100/per violation, even minor non-compliance can be devastating. For example, if an employer underpaid 20 aggrieved employees overtime every week over 18 months, this would equal 1,560 “workweek” violations. This single violation thus carries possible $150,600 minimum penalty (1,560 x $100 minimum).
This business-crushing potential lead the legislature in 2024 to provide some greater options for employers to examine, detect and cure violations before and after being hit with a PAGA suit. See, Workplace Roulette, Reducing the Odds of PAGA Purgatory (December 13, 2024).
While future articles will cover those “cure” alternatives in greater detail, the greatest protection is initiative to review, spot and fully remedy violations before a dissatisfied employee and his lawyer contemplate a PAGA challenge.
Take-Aways:
Best practice demands periodic “friendly” internal audits to know whether workplace practices are in- or out-of-compliance in California’s highly regulated climate. In many cases, the cost to fix any problems found before PAGA comes knocking is a business-saving investment.
For more information on our help with such audits, please contact Tim Bowles, Cindy Bamforth or Helena Kobrin.
See also:
Tim Bowles
January 24, 2025
AB 2299 requires employers to “prominently display in lettering larger than size 14 point type” a list of whistleblower rights and responsibilities and the state’s reporting hotline telephone number(s) .
AB 2299 requires employers to “prominently display in lettering larger than size 14 point type” a list of whistleblower rights and responsibilities and the state’s reporting hotline telephone number(s). It tasked the Labor Commissioner (LC) with publishing a sample list. See What’s New In 2025 Whistleblower Posting: January 1, 2025 Implementation Deadline, Updated Notice Soon Available (October 4, 2024).
That LC model whistleblower notice is now available online. While employers are not required to use the state’s template, there is no evident reason to re-invent the wheel.
Take-Aways:
Without delay, employers should post prominently in an employee-frequented area the LC model notice or an alternative.
For further information, please contact Tim Bowles, Cindy Bamforth or Helena Kobrin.
See also:
Helena Kobrin
January 24, 2025
The federal Department of Labor (DOL) Wage and Hour Division (WHD) has cited Naya Ding, Inc., owner of Rowland Heights restaurant, Ma’s Kitchen, $17,311 for unpaid overtime and an illegal tip pool.
The federal Department of Labor (DOL) Wage and Hour Division (WHD) has cited Naya Ding, Inc., owner of Rowland Heights restaurant, Ma’s Kitchen, $17,311 for unpaid overtime and an illegal tip pool.
The restaurant distributed only a portion of tips to the employees and kept the rest. It also did not maintain correct time records and failed to pay some employees overtime for work over 40 hours.
WHD’s Rafael Valles stated: “Burdening employees with business expenses takes hard-earned wages out of workers’ pockets. That’s why the U.S. Department of Labor is committed to ensuring employers pay workers their fully earned wages in compliance with federal law, and its Wage and Hour Division will use every enforcement tool necessary to resolve cases like this.”
California law and federal law prohibit management from sharing in employees’ tips. Tip pooling with other service workers, such as cooks and bussers, is permitted.
Take-Aways:
Employers must pay all overtime employees earn and may never keep a portion of employees’ tips.
For further information, please contact Tim Bowles, Cindy Bamforth or Helena Kobrin.
See also:
Helena Kobrin
January 13, 2025
We provide this 1/9/25 Cal/OSHA public notice: Advisory – Release Number: 2025-06 January 9, 2025 Wildfire Smoke Alert: Cal/OSHA urges employers to protect workers from unhealthy air in Los Angeles County.
We provide this 1/9/25 Cal/OSHA public notice:
Advisory – Release Number: 2025-06
January 9, 2025
Wildfire Smoke Alert: Cal/OSHA urges employers to protect workers from unhealthy air in Los Angeles County.
Cal/OSHA is reminding employers to protect workers from unhealthy air due to wildfire smoke. Several fires are currently impacting air quality throughout Los Angeles County. Refer to the California Department of Forestry and Fire Protection (Cal Fire) for the latest status on the fire, road closures and evacuation orders.
Currently, wildfire smoke is impacting many areas of Los Angeles County but could eventually spread even further.
What you need to know: Cal/OSHA’s Protection from Wildfire Smoke standard requires employers to protect workers from unhealthy air due to wildfire smoke.
To protect workers, employers must monitor air quality, adjust work practices, and provide N-95 respirators for voluntary use. Cal/OSHA’s standard also outlines specific training requirements. Full details, including resources in both English and Spanish, can be found at www.WildfireSmokeCalifornia.org and www.HumodeIncendios.org.
Monitoring air quality: When wildfire smoke might affect a worksite, employers must monitor the Air Quality Index (AQI) for PM2.5 before and throughout the work shift.
Where the AQI for PM2.5 is above 150, the employer must provide respirators to all workers and encourage workers to use respirators.
Where the AQI for PM2.5 exceeds 500, respirator use is required.
Air quality can be tracked through websites like the U.S. EPA’s AirNow or local air quality management district websites. Employers can also use their own instruments to measure PM2.5 at worksites per Cal/OSHA’s requirements.
Evacuation Zones: In California, it is illegal for employers to retaliate against workers for refusing to work in unsafe conditions, including in evacuation zones. Read more in the fact sheet Worker Safety Wildfire Smoke and Evacuation Zones.
ADDITIONAL RESOURCES:
More resources for wildfire smoke safety:
Cal/OSHA within the Department of Industrial Relations helps protect workers from health and safety hazards on the job in almost every workplace in California. Cal/OSHA’s Consultation Services provides free and voluntary assistance to employers to improve their health and safety programs.
Workers who have questions about wildfire smoke hazards and protections can call 833-579-0927 to speak with a Cal/OSHA representative. Complaints about workplace safety and health hazards can be filed confidentially with Cal/OSHA district offices.
Employers with Questions on Requirements May Contact: InfoCons@dir.ca.gov, or call your local Cal/OSHA Consultation Office
January 10, 2025
California Division of Occupational Safety and Health (Cal/OSHA) has penalized Van Nuys’ Parkwood Landscape Maintenance $276,425 for deliberately and knowingly violating state heat illness prevention regulations.
California Division of Occupational Safety and Health (Cal/OSHA) has penalized Van Nuys’ Parkwood Landscape Maintenance $276,425 for deliberately and knowingly violating state heat illness prevention regulations.
Cal/OSHA found the company:
Marking its first willful heat violation citation, Cal/OSHA Chief Debra Lee stated: “Employers have a responsibility to protect their workers from the dangers of extreme heat. It is unacceptable for any business to blatantly ignore safety protocols, putting their employees at serious risk.”
Take-Aways:
Covered employers must correctly implement and comply with all applicable outdoor and indoor heat illness prevention procedures.
For further information, please contact Tim Bowles, Cindy Bamforth or Helena Kobrin.
See also:
Cindy Bamforth
January 10, 2025
California Division of Occupational Safety and Health (Cal/OSHA) has penalized San Pedro’s Harbor Animal Services Center $563,250 for permitting overcrowding that led to worker injuries, including a May 2024 mauling and hospitalization of...
California Division of Occupational Safety and Health (Cal/OSHA) has penalized San Pedro’s Harbor Animal Services Center $563,250 for permitting overcrowding that led to worker injuries, including a May 2024 mauling and hospitalization of a supervisor. According to the LA Times, the victim was getting a dog out of its kennel to show to a rescue group when it “flipped out” and attacked her leg.
Cal/OSHA found serious training and safety issues, including:
Debra Lee, Cal/OSHA Chief, stated: “This incident underscores the severe consequences that arise when employers fail to take proper measures to protect their staff from preventable risks. While we cannot undo the harm caused, we can hold employers accountable. Every employee deserves a workplace that prioritizes their health and safety.”
Take-Aways:
Attention to and investment in workplace safety and accident prevention are not backburner matters.
For further information, please contact Tim Bowles, Cindy Bamforth or Helena Kobrin.
See also:
Helena Kobrin
January 3, 2025
AB 3234 , enacted to enhance transparency, requires an employer to post a website link to the child labor findings of any voluntary self-audit on workplace practices, including: (1) When the audit was conducted (year, month, day, time, and...
AB 3234, enacted to enhance transparency, requires an employer to post a website link to the child labor findings of any voluntary self-audit on workplace practices, including:
(1) When the audit was conducted (year, month, day, time, and whether conducted on a day or night shift);
(2) The result – i.e., did the employer engage in or support use of child labor (persons under 18);
(3) A copy of any written policies and procedures regarding child employees;
(4) Any exposures to hazardous or unsafe situations for minors;
(5) Work during or outside school hours or night hours; and
(6) A statement that the auditing company is not a government agency and is not authorized to verify compliance with state and federal labor laws or other health and safety regulations.
This new law begs the question of whether a public posting requirement actually discourages employers from engaging in such audits by opening them to government scrutiny, rather than confidentially looking for errors and fixing them.
Take-Aways:
Employers should follow all child labor laws when hiring minors. When determining compliance after-the-fact, they should obtain attorney advice to decide if conducting voluntary self-audits of child labor will be more helpful than harmful and the safest way to do so. If an attorney conducts the audit, it may shield the results from public posting as confidential attorney work product and attorney-client privileged communication.
See also:
Helena Kobrin
December 27, 2024
The Internal Revenue Service has announced its 2025 optional standard mileage reimbursement rate for employee business use of a personal vehicle, effective January 1, 2025, up from 67 to 70 cents/mile.
The Internal Revenue Service has announced its 2025 optional standard mileage reimbursement rate for employee business use of a personal vehicle, effective January 1, 2025, up from 67 to 70 cents/mile.
These rates apply to fully-electric and hybrid automobiles, as well as gasoline and diesel-powered vehicles.
These standard business mileage rates stem from annual government studies of fixed and variable automotive operating costs, including insurance, repairs, maintenance, gasoline and oil.
Under California Labor Code section 2802, employers must reimburse employees for all actual work-related expenses necessarily incurred.
Take-Aways:
Employers applying the IRS standard should reimburse work-related employee vehicle use at the new 70 cents/mile rate starting January 1, 2025.
For further information, please contact Tim Bowles, Cindy Bamforth or Helena Kobrin.
See also:
Cindy Bamforth
December 20, 2024
Effective January 1, 2025, California minimum wage will increase to $16.50 per hour for all employers, regardless of size. The California cities and counties below have ordinances with higher minimum wage standards.
Effective January 1, 2025, California minimum wage will increase to $16.50 per hour for all employers, regardless of size.
The California cities and counties below have ordinances with higher minimum wage standards. Employers must comply with the local rules. For more information, the UC Berkeley Center for Labor Research and Education publishes regular updates.
Covered employers must post conspicuously the current wage notice, which can be downloaded through the links above.
Employers with remote workers in more than one location may need to apply different minimum wage rates in each. Employers can solve this complexity by paying the highest applicable rate across the boards.
California employers in the fast food and health care industries should check their applicable minimum wage increases.
See also:
Helena Kobrin
Daniska Coronado
December 13, 2024