California’s strict independent contractor law known as AB 5 – which prohibits businesses from classifying a worker as an independent contractor unless they can pass all three prongs of the stringent “ABC Test” – may soon be a thing of the past. On March 17, 2023, the Ninth Circuit Court of Appeals concluded in Olson… Read More
Posts Categorized In: General Business
Federal Court Blocks Implementation of CA’s Anti-Arbitration Statute AB 51
In a rare win for California employers the Ninth Circuit Court of Appeals recently ruled that AB 51 could not be enforced in California because it unduly burdened the right to agree to arbitration in violation of the Federal Arbitration Act (“FAA”). AB 51 is the California statute that, in effect, prevented employers for asking… Read More
Workplace Legal’s Blog Selected to “Top Employment Law Blogs” List
On February 9, 2023, Feedspot announced that Workplace Legal’s blog had been selected as one of the top employment law blogs in California. Feedspot’s ranking of the “70 Best Employment Law Blogs” lists Workplace Legal at #41, ahead of several national employment law firms. We spend a lot of time here at Workplace Legal staying… Read More
The Best Employee Benefit Employers Don’t Know They Can Offer
Last week, the Federal Reserve reported that American owed $1.76 trillion in student loan debt. For the class of 2021/2022, which is the most recent data available, 53% of students graduated with student loan debt, and the average loan debt was $22,600. According to popular consumer finance site, NerdWallet, the average U.S. household with student… Read More
California Announces New Guidance on Mandatory Payroll Data Reporting
California law requires employers with 100 or more U.S. employees to annually submit data on the pay, hours worked, and demographics of all employees who either work within California or who are assigned to a California establishment, even if they reside or telework from another state. This data must be submitted every year to the… Read More
Scholars Claim Best Work-From-Model is “Organized Hybrid”
In a recent Harvard Business Review article, Stanford Professor of Economics Nicholas Bloom and his co-authors argue that today’s work-from-home push is being hampered by a “major disconnect” between employees and management. That disconnect centers around notions of productivity and attendance. With respect to productivity, for example, managers believe that work from home reduces productivity… Read More
FTC Proposes Nationwide Ban on Non-Compete Clauses
On Thursday, January 5, the Federal Trade Commission (FTC) announced a new proposed rule that would ban employers nationwide from using non-compete clauses. These clauses, which are often inserted into employment agreements, typically prohibit the employee from leaving the employer’s business and, for a 1- or 2-year period, working for any other business that competes… Read More
Are Layoffs Really the Answer? Research Says No
As employers across the country consider and implement layoffs, Harvard Business School Professor Sandra Sucher writes that “[R]esearch shows that layoffs continue to have detrimental long-term effects on individuals and companies.” In a recent Harvard Business Review article, Professor Sucher and her colleague, Dr. Marilyn Morgan Westner, explain how the “short-term cost savings” from layoffs are outweighed… Read More
New California Laws Require Training for Alcohol Servers
Two new California laws, AB 1221 and AB 82, require every server of alcohol and their managers to be trained in responsible alcohol service. The new laws took effect on July 1, 2022 and require all existing alcohol servers to complete their training by August 31, 2022. New hires must complete their training within 60… Read More
CA Supreme Court: Meal/Rest Period “Premium Pay” Is Wages
On May 22, 2022, the California Supreme Court held in Naranjo v. Spectrum Security Services, Inc. that premium payments owed by an employer to a non-exempt employee for missed meal/rest periods are “wages” and not penalties. Thus, when those premium payments are owed but not timely paid, the employer can be subject to additional penalties… Read More
