The California Court of Appeal recently held that an individual (i.e., an owner, director, officer, or managing agent of a corporate employer) can be found liable for civil penalties resulting from the employer’s failure to comply with California’s overtime pay and minimum wage laws  with no showing that the individual misused or abused the corporate laws for a wrongful or inequitable purpose.

Continue Reading Individuals In California May Be Personally Liable For Civil Penalties Resulting From Wage And Hour Violations

California just became the first state to require companies to put female directors on their boards.

“Given all the special privileges that corporations have enjoyed for so long, it’s high time corporate boards include the people who constitute more than half the ‘persons’ in America,” Governor Jerry Brown wrote in signing Senate Bill 826 into law on September 30. The legislation appears sparked by recent debates around sexual harassment, workplace culture and gender equality, and it comes less than one year after Brown signed the state’s salary history ban.

Continue Reading California Becomes First State To Mandate Female Board Of Directors

With the modern workforce comes modern employment problems. Businesses and workers alike have embraced the “gig economy,” but employment laws were not designed for workforces dominated by independent contractors and freelancers. This disconnect leaves gig economy businesses open to significant liability where such workers should have been classified as employees under the law.

Continue Reading New York Delivers Good News For Independent Contractors, But Risks Remain

Last month the California Supreme Court ruled in favor of a class of 1,400 student bus drivers who sued their employer for failing to comply with state background check laws. The Court’s decision is notable because it is part of a broader trend of states and cities making it more difficult for employers to use background checks. Under Connor v. First Student, Inc., employers in California must comply with overlapping statutes regulating investigative consumer reporting agencies.

Continue Reading California Supreme Court Pro-Employee Ruling Affirms Employer Duty To Comply With Overlapping Background Check Laws

This month the California Supreme Court reaffirmed that workers’ compensation laws are the exclusive remedy for an employee’s injuries. In King v. CompPartners, the Court ruled that an employee’s tort claims against a utilization review company and a doctor performing a mandatory utilization review were preempted. In so doing, the Court reminded employees that the Court construes the Workers Compensation Act (WCA) liberally and broadly, in favor of awarding workers’ compensation, not in permitting civil litigation.

 

Continue Reading California Supreme Court Affirms Broad And Liberal Construction Of Workers’ Compensation Exclusivity Provision

The First District Court of Appeal’s August 1, 2018 decision in Nishiki v. Danko Meredith, APC reminds employers of the harsh consequences for failing to timely (and properly) pay an employee’s wages upon resignation or termination.

The Court of Appeal addressed the Superior Court’s order 1) affirming the California Labor Commissioner’s award of $4,250 in “waiting time” penalties (i.e., the statutory penalty under Labor Code section 203 for the time an employee has to wait for the late payment of final wages), and 2) awarding Nishiki attorneys’ fees in the amount of $86,160 following the employer’s unsuccessful appeal from the Labor Commissioner to the Superior Court. On further appeal to the Court of Appeal, the employer argued the waiting time penalties were unwarranted and the attorney fees award was excessive. Though the Court of Appeal reduced the waiting time penalties, it otherwise affirmed the judgment and remanded for the trial court to award Nishiki additional attorneys’ fees incurred in responding to Danko’s appeal to the First District.

Continue Reading Substantial Penalties For Innocent Mistakes Regarding Final Wages Upon Termination

Since January 1, 2018, California law has prohibited employers from asking applicants about their salary history. Earlier this month, Governor Jerry Brown signed AB 2282 into law to clarify several aspects of the salary history ban.

Continue Reading California Clarifies Its Salary History Ban, Making It Easier For Employers To Comply

Last week, in Troester v. Starbucks Corporation (Case No. S234969), the California Supreme Court weighed in for the first time on the viability of a de minimis defense to California wage and hour claims.

Many commentators have since rushed to declare that “de minimis” is dead. Not so.

Continue Reading California Supreme Court Leaves Open The Possibility Of A De Minimis Defense For Wage And Hour Claims – But Not Under The Facts Of This Case

By now, you have no doubt heard about the passage of the California Consumer Privacy Act of 2018, going into effect January 1, 2020. This new privacy legislation will force many companies – whether headquartered in or out of California – into compliance with several onerous requirements. Some have called it California’s answer to the (notorious) GDPR. But what does this mean from an employment perspective?

It means that despite the title, the Act extends certain protections to California employees because it defines “consumer” as “any natural person who is a California resident.” Therefore, regardless of where your company is located, if it employs at least one individual who is living or domiciled in the state and also meets one of the thresholds below, it must comply at least with regard to all California residents, including employees.

Continue Reading Yes, The California Consumer Privacy Act Covers California-Based Employees

In late May, California announced new amendments to the Fair Employment and Housing Act (FEHA) strengthening the protections afforded to applicants and employees, including those who are undocumented, on the basis of national origin. The changes go into effect July 1, 2018. The new regulations significantly broaden the definition of “national origin” as well as conduct that constitutes discrimination based on national origin.

Continue Reading California Expands National Origin Protections In The Workplace