Employment Law Changes in 2017 CA

Posted on December 6, 2016 by Rick Rossignol


Main Topic


Effective Date

SB 1342 Agency Enforcement To enforce local laws or ordinances, including local wage laws, the city or county can delegate authority to a county or city official or a department head to issue subpoenas and report a failure to comply with subpoenas to a state court judge. 1/1/2017
AB 184314 Background Checks Prohibits juvenile-court-related inquiries with limited exceptions. 1/1/2017
AB 128915 Background Checks Drivers participating with a Transportation Network Company in California will be subject to mandatory criminal background checks, regardless of whether a driver is considered an employee or an independent contractor. 1/1/2017
SB 124116 Contracts Contracts entered into, modified, or extended on or after January 1, 2017 cannot require employees who primarily reside or work in California to adjudicate certain claims outside California. 1/1/2017
AB 1785 Cellphones & Driving Prohibits driving while holding and operating a handheld wireless telephone or a wireless electronic communication device unless in hands-free mode, but allows using hands under limited circumstances. 1/1/2017
SB 1128 Employee Benefits (Commuting) San Francisco Bay Area Commuter Benefits program was set to expire January 1, 2017, but has been extended indefinitely. 1/1/2017
SB 1234 Employee Benefits (Retirement) Implements previously approved California Secure Choice Retirement Savings Program on January 1, 2017. Once initiated, employers with 5 or more employees that do not offer an employer-sponsored retirement plan or an automatic enrollment payroll deduction IRA must provide notice about the program to new and existing employees. 1/1/2017
AB 282817 Data Breach Businesses must disclose a data security breach to California residents whose encrypted personal information was, or is reasonably believed to have been, acquired by an unauthorized person along with an encryption key or security credential that could render that personal information readable or useable. 1/1/2017
AB 1676 Equal Pay Prior salary by itself cannot justify compensation disparity under the bona fide factor exception. 1/1/2017
SB 1063 Equal Pay Prohibits paying employees less than employees of another race or ethnicity for substantially similar work. 1/1/2017
SB 1001 Immigration Prohibits requesting more or different documents than are required under federal law, refusing to honor documents that on their face reasonably appear to be genuine, refusing to honor documents or work authorization based on the specific status or term of status that accompanies the work authorization, and reinvestigating or re-verifying an employee’s work authorization. 1/1/2017
AB 908 Leave of Absence Increases the amount of paid family leave insurance benefit employees can obtain for claims filed on or after January 1, 2018. Eliminates one-week waiting period. 1/1/2017
SB 318 Paid Leave Extends paid sick leave benefits to qualifying in-home supportive services workers. 1/1/2017
San Francisco Ordinances 160065 & 16071919 Family Bonding Leave Employers must provide pay to employees receiving state paid family leave insurance benefit when leave is taken for bonding with a new child. *Coverage is phased in based on employer size: 50 or more employees (January 1, 2017); 35 or more employees (July 1, 2017); 20 or more employees (January 1, 2018). 1/1/2017*
San Francisco Proposition E20 Paid Leave Amends paid sick leave ordinance to better align with state law. Expands permitted uses to include leave connected to domestic violence, as well as bone marrow and organ donation. 1/1/2017
Santa Monica Ordinances 2509 & 251521 Paid Leave Delays operative date of paid sick and safe time law to January 1, 2017. Phases in how many sick days must be provided each year. 1/1/2017
Los Angeles Ordinance 18432022 Paid Leave Paid sick leave ordinance’s requirements apply to employers with 25 or fewer employees. 7/1/2017
Berkeley Ordinance 750523 Paid Leave Creates a paid sick and safe time law. Covered employees accrue 1 sick leave hour for every 30 hours worked.  For small businesses, there is a cap of 48 hours per year; for all other businesses the cap is 72 hours. Leave accrued up to the cap must be carried over to the following year. There is no express limit on how many leave hours can be used per year. Leave can be used for an employee, an employee’s family member, or a designated person. 10/1/2017
AB 1847 Notification Employers must notify employees that they may be eligible for the California (in addition to the federal) Earned Income Tax Credit. 1/1/2017
AB 2337 Notification Employers must inform new employees (and current employees, upon their request) of their rights regarding discrimination against victims of domestic violence, sexual assault, and stalking. *The law is effective January 1, 2017, but notice is not required until the state labor department posts an online a model notice, which must occur by July 1, 2017. 1/1/2017*
Annual Adjustment of Computer Software Employee Pay Rate Overtime Increases the hourly rate employees must be paid from $41.85 to $42.35 per hour, increases the monthly rate from $7,265.43 to $7,352.62, and increases the annual rate from $87,185.14 to $88,231.36. 1/1/2017
Annual Adjust of Licensed Physician and Surgeon Pay Rate Overtime Increases the hourly rate employees must be paid to be considered overtime-exempt from $76.24 to $77.15 per hour. 1/1/2017
AB 2535 Pay Stubs Wage statements for various employees that are exempt from state minimum wage or overtime requirements need not show total hours worked. 1/1/2017
AB 1978 Recordkeeping Employers that enters into contracts, subcontracts, or franchise arrangements to provide janitorial services must keep for three years: names and addresses of employees engaged in rendering actual services for any business of the employer; hours worked daily by each employee, including the times the employee begins and ends each work period; wage and wage rate paid each payroll period; age of all minor employees; and any other conditions of employment. 1/1/2017
AB 1732 Restroom Accommodation Single-user toilet facilities must be identified as all-gender. 3/1/2017
Emeryville Ordinance 2016-607 Scheduling Covered retail and hospitality industry employers must, among other items, provide two weeks’ notice of schedule, predictability pay for schedule changes, and offer hours to existing part-time employees before hiring new employees 7/1/2017
San Jose Measure E Scheduling Covered retail and hospitality industry employers must offer additional work hours to existing qualified part-time employees before hiring new staff. TBD
SB 5 Smoking Smoking prohibitions are amended to include a definition of smoking. Workplace smoking bans will apply to electronic cigarettes and vapes. Eliminates ability to allow smoking in designated employee vented breakrooms and for employers with five or fewer employees to smoke in certain nonwork areas. 1/1/2017
AB 1245 (2015)24 Unemployment Employers with 10 or more employees must file all reports and returns electronically, and remit all contributions for unemployment insurance premiums by electronic funds transfer, except as otherwise provided. 1/1/2017
Proposition 64 Marijuana Legalizes recreational marijuana for individuals age 21 or older, but permits drug-free workplaces, and does not require accommodation of marijuana use in the workplace or affect policies prohibiting use. VARIES

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