California Employment Law Update

Category Archives: Wage and Hour

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November 2023 California Employment Law Notes

We invite you to review our newly-posted November 2023 California Employment Law Notes, a comprehensive review of the latest and most significant developments in California employment law. The highlights include: Company That Hired Competitor’s Employee Was Not Entitled To Arbitrate Claims Disability Discrimination Claim Was Properly Dismissed On Summary Judgment Employee’s Attorney’s “Pervasive Incivility” Justified … Continue Reading

Employee’s Meal and Rest Break PAGA Claims Survive Summary Judgment

Arce v. Ensign Grp., Inc., 96 Cal. App. 5th 622 (2023) Cecilia Arce worked as a certified nursing assistant at a skilled nursing facility. After her employer terminated her, she brought claims under the Private Attorneys General Act (“PAGA”) that she worked through meal and rest periods and was not paid premiums she was owed … Continue Reading

The Case for a PAGA Adequacy Requirement

In Arias v. Superior Court, 46 Cal. 4th 969 (2009), the California Supreme Court ruled that Private Attorneys General Act (PAGA) actions need not satisfy class action requirements, and in the fourteen years since, PAGA plaintiffs have routinely (and often successfully) resisted attempts to apply class action principles to PAGA actions.  A recent unpublished California … Continue Reading

Is the California Supreme Court Going to Throw Employers a Bone on PAGA?

On November 8, 2023, the California Supreme Court heard oral argument in Estrada v. Royalty Carpet Mills, Inc., a case that could have profound implications for the future of Private Attorneys General Act (PAGA) litigation.  The Court granted review in order to decide whether courts have the power to strike or limit PAGA claims that … Continue Reading

In a Surprise Move, California Enacts Boatload of New Pro-Employer Laws – Nah, Just Kidding, It’s Going to be More Burdensome than Ever!

In what has become an annual tradition, California – that fabled workers’ paradise on earth – has enacted a slew of new laws that, come January, may keep even the most hearty HR professionals up at night. As we reported earlier this year (here), the California Chamber of Commerce initially identified 11 “Job Killer Bills” … Continue Reading

Nurse May Proceed With Class Certification On Wage Statement Claim

Woodworth v. Loma Linda Univ. Med. Ctr., 93 Cal. App. 5th 1038 (2023) Nicole Woodworth was a registered nurse at Loma Linda University Medical Center from December 2011 to June 2014.  In June 2014, she filed a putative class action against Loma Linda, alleging various wage and hour claims on behalf of herself and other … Continue Reading

Fire Chief Was Terminated For Misconduct Not Because Of His Religion

Hittle v. City of Stockton, 76 F.4th 877 (9th Cir. 2023) Ronald Hittle served as the City’s Fire Chief before he was fired (following an investigation by an outside investigator) because he lacked effectiveness and judgment in his ongoing leadership of the Fire Department; used City time and a City vehicle to attend a religious … Continue Reading

Industry and Labor Serve Up $20 Minimum Wage Deal For Fast Food Workers

A two-year standoff between the fast food industry and labor unions ended this week as stakeholders announced a deal that will increase the minimum wage to $20 for California workers at fast food chains with more than 60 locations nationwide. As we previously reported, in September 2022, California passed A.B. 257, which created a 10-member … Continue Reading

Put it in Writing: Los Angeles Imposes New Requirements on Employers of Independent Contractors

As readers may know, the Los Angeles Freelance Worker Protections Ordinance took effect on July 1, 2023.  The new law imposes additional requirements on businesses in the City of Los Angeles who have contracts with freelance workers.  Perhaps most notably, for any contract between a hiring entity and a freelance worker valued at $600 or … Continue Reading

SCOTUS Provides Further Support For Staying PAGA Court Actions Pending Arbitration

With Adolph v. Uber Technologies, Inc. in the books, it is now clear that Private Attorneys General Act (PAGA) plaintiffs do not lose standing to pursue representative claims in court when their individual PAGA claims are sent to arbitration.  In Adolph’s wake, disputes may arise regarding whether the representative court action should be stayed pending … Continue Reading

July 2023 California Employment Law Notes

We invite you to review our newly-posted July 2023 California Employment Law Notes, a comprehensive review of the latest and most significant developments in California employment law. The highlights include: Enforcement of PAGA Carve Out Suggests Need For New Revisions To Arbitration Agreements PAGA Debt Not Dischargeable in Bankruptcy Distributors Not Liable For Unpaid Wages Of … Continue Reading

No Implied Waiver Of Disqualification Of Judge For Bias Or Appearance Of Impartiality After One Year

North Am. Title Co. v. Superior Court, 91 Cal. App. 5th 948 (2023) During oral argument on a motion, the trial judge accused the employer-defendants of participating in a “name change shell game,” a “corporate game of three-card monte” and “trickery” and “scheming” to evade payment of a $43.5 million judgment to plaintiffs in this wage-and-hour … Continue Reading

Court of Appeal Clarifies Employers’ Expense Reimbursement Obligations for Pandemic-Related Remote Work

California Labor Code section 2802 (“Section 2802”) requires employers to reimburse employees for “all necessary expenditures or losses” they incur as a “direct consequence of the discharge of … [their] duties, or … [their] obedience to the directions of the employer.”  So, in March 2020, when Governor Newsom issued a broad stay-at-home order requiring all … Continue Reading

West Hollywood Wins The Gold Medal For Highest Minimum Wage In The Nation — $19.08!

The so-called “Fight for 15” – those widespread protests for a $15 minimum wage – are so passé now! As of July 1, 2023, West Hollywood takes the crown for the highest mandated minimum wage in the United States at $19.08.  Why they didn’t just top it off at $20 is anyone’s guess.  (Not to … Continue Reading

Don’t Expect to Discharge That PAGA Debt in Bankruptcy

As we have written here on multiple occasions, the Private Attorneys General Act (PAGA) disadvantages employers in several ways.  Despite permitting recovery similar to what might be obtained in a class action, class certification rules do not apply and it is an open question whether courts can even limit an unmanageable claim before trial.  Plaintiffs … Continue Reading

Under-the-Radar Concessions in Adolph Could Shorten PAGA’s Parade Of Horribles

On May 10, 2023, the California Supreme Court heard oral argument in Adolph v. Uber Technologies, Inc., a closely watched case that will decide whether a Private Attorneys General Act (PAGA) plaintiff loses standing to pursue a representative claim when their individual PAGA claim is compelled to arbitration. Observers hoping for a sign that the court was inclined … Continue Reading

12 California Counties and Municipalities Increasing Minimum Wage Rates on July 1

As we previously covered here, the State of California and select California cities increased the minimum wage effective January 1, 2023.  Now, another round of minimum wage increases from a dozen localities will take effect on July 1, 2023. The following list contains the local minimum wage rate, effective July 1, 2023, for non-exempt employees … Continue Reading

It May Be Time To Update Those Arbitration Agreements Again!

Back in the “good old days,” arbitration agreements barred just about any type of civil litigation that was filed in court. Then, as we reported in 2014, the California Supreme Court determined that Private Attorneys General Act (“PAGA”) claims are immune from arbitration in Iskanian v. CLS Transp. Los Angeles, LLC – which, unsurprisingly, led … Continue Reading

Employers Face New Accommodation Requirements For Nursing Mothers

In our recent blog post, we highlighted legislation that will impact employers this year related to nursing and pregnant employees: the Providing Urgent Maternal Protections for Nursing Mothers Act (the “PUMP Act”) and the Pregnant Workers Fairness Act (the “PWFA”).  As this legislation becomes effective—with the PUMP Act taking effect on April 28, 2023 and … Continue Reading

Reminder: Employer Considerations When Contemplating Delaying Payroll

On March 10, 2023, financial markets were rocked by uncertainty over the future of certain significant financial institutions.  Among other concerns, bank failures raise the prospect of temporary or long-term cash flow problems for account holders, as deposits totaling more than $250,000 exceed the amount covered by the Federal Deposit Insurance Corporation.  Often, companies’ largest … Continue Reading

Good News for Employers: Good Faith Belief of Compliance Precludes Both Final Wage and Wage Statement Penalties

Last summer, we reported here the California Supreme Court ruling that premium payments owed under Labor Code section 226.7 for meal and rest break violations constitute “wages.” The Naranjo et al. v. Spectrum Sec. Servs., Inc., 13 Cal. 5th 93, 102 (2022) decision had significant ramifications because it triggered related obligations for employers to report … Continue Reading

Court Puts New Controversial Fast-Food Worker Law on Hold

On January 13, 2023, a Sacramento County Superior Court judge issued a preliminary injunction to stop the controversial Fast Food Accountability and Standards Recovery Act or “FAST Recovery Act” (AB 257) from taking effect, pending a vote by California voters.  Previously, on December 30, 2022, the court had issued a temporary restraining order against the … Continue Reading

IRS Increases Mileage Rate for 2023

On January 1, 2023, the IRS mileage rate increased to 65.5 cents per mile for driving done for business purposes.  This is a three (3) cent increase from the rate set for the second half of 2022.  According to the IRS, this rate applies “to electric and hybrid-electric automobiles, as well as gasoline and diesel-powered … Continue Reading

Congress Adds Additional Protections for Pregnant Workers

In the recent $1.7 trillion Omnibus Spending Bill passed by Congress and signed into law by President Biden, two measures were included aimed at providing additional workplace protections for pregnant employees. The first measure is the Pregnant Workers Fairness Act (the “PWFA”) which applies to employers with 15 or more employees. The PWFA extends the … Continue Reading
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