On October 7, Governor Newsom signed S.B. 311, the Silenced No More Act (“Act”), into law. The Act will take effect January 1, 2022. Existing California law limits the use of non-disclosure agreements (“NDAs”) to settle already-filed claims alleging assault, discrimination, harassment, or retaliation on the basis of sex. The Act expands the law to include any legally protected basis. The Act also clarifies that NDAs cannot be used in certain employment agreements (including bonus or separation agreements) to prevent or restrict the disclosure of factual information related to unlawful acts in the workplace.(more…)
Employment Law
FDA Approves First COVID-19 Vaccine-What This Means For Employers
The Federal Drug Administration’s (“FDA”) approval of the Pfizer-BioNTech COVID-19 vaccine clears the way for employers hesitant to mandate vaccines authorized under the FDA’s Emergency Use Authorization (“EUA”) to now require employees receive an FDA approved vaccine.(more…)
Statute of Limitations no Longer Applies to PAGA Representative Plaintiffs
On July 21, 2021, the Court of Appeal held an employee has standing to bring a PAGA claim on behalf of other employees even if her individual claim is time-barred. This ruling expands the pool of potential plaintiffs and continues the trend of increasing the risk employers will face in connection with PAGA claims.(more…)
Employment Law Update – 2021
Several important new California employment laws have been passed in 2020. With exceptions as noted, the laws described below take effect on January 1, 2021.
COVID-19-Related Legislation
AB 1867—Supplemental Paid Sick Leave, Handwashing, & Small Employer Family Leave Mediation
The “ABC” Test, As Modified
In 2018, the California Supreme Court (in Dynamex Operations West, Inc. v. Superior Court) created a strict new test for determining whether a worker is an employee or an independent contractor, with a greater presumption that workers should be characterized as employees. As previously discussed, the “ABC” test presumes that a worker is an employee unless the an employer can meet its burden of proof with respect to all three of the following factors:(more…)
DOL Opinion Letter That Some Gig Workers Are Contractors Has Little Significance In California Given Dynamex
On April 29, 2019, the U.S. Department of Labor’s Wage and Hour Division (“DOL”) issued an Opinion Letter in response to an inquiry by a single, unnamed company that sought the Department’s guidance on whether its workers could properly be considered contractors under the Fair Labor Standards Act (“FLSA”), which mandates minimum wages and overtime pay for employees, but not for independent contractors.(more…)
The Rapidly Evolving Cannabis Laws: It’s Time to Think About Your Drug Use Policy
Federal, state, and local laws regarding the legalization of marijuana, and medical use of marijuana, are rapidly changing, which puts employers in a tough situation when they learn of an employee’s marijuana use. Federal law still classifies marijuana as a Schedule 1 drug, but California has legalized both recreational and medical marijuana use. As of today, California employers are not required to accommodate an employee’s use of medical marijuana outside of work. Given the rapid changes in the laws, however, it’s a good idea to make sure that your company’s drug use policy is up to date.(more…)
Update — Important Changes In Sexual Harassment And Other Laws In California
Outgoing Governor Jerry Brown signed dozens of bills into law on Sunday, September 30, 2018. Many of these new laws are in response to the #metoo movement and specifically target sexual harassment. This blog summarizes the key features of these laws and their effect on employers as well as others, such as VCs, who can now be held legally responsible under the sexual harassment laws for harassing non-employee persons who work for actual or potential portfolio companies.(more…)
The U.S. Supreme Court Upholds Class Action Waivers In Employment Arbitration Agreements
The United States Supreme Court has issued its much-anticipated opinion in Epic Systems Corp. v. Lewis, 584 U.S. __ (2018), and two companion cases. In a decision that will be welcomed by employers, the Court has upheld the use of arbitration agreements with class action waivers that require employees to litigate any claims against their employers individually in arbitration. Specifically, the Court has held that class action waivers in arbitration agreements between employers and their employees do not violate the National Labor Relations Act (NLRA) by preventing employees from engaging in protected concerted activity. (more…)
The New “ABC Test” For California Employees and Its Potential Impact On The “Gig Economy” And Otherwise
On April 30, 2018, the California Supreme Court issued its decision in Dynamex Operations West, Inc. v. Superior Court of Los Angeles County, 2018 Cal. LEXIS 3152 (Cal. Apr. 30, 2018), announcing new guidelines that could result in widespread reclassification of California workers and, at the least, presents significant new challenges for certain employers. (more…)