Across the country, minimum wage rates will increase July 1 in several counties, cities and states. A few jurisdictions have postponed their scheduled increases in light of the COVID-19 global pandemic, but most jurisdictions have not, and employers will need to implement the higher minimums by month’s end. Below we summarize for you the upcoming increases.

California

The Bay Area cities of Hayward and San Carlos voted to delay their local minimum wage increases until January 1, 2021. Other jurisdictions are considering delays, but for now, local minimum wages will increase in the following jurisdictions effective July 1, 2020.


Continue Reading Minimum Wage Increases in July 2020: Are You Prepared?

The COVID-19 pandemic is forcing companies to re-examine their work from home or remote work policies. There is no one size fits all plan. Many companies have moved rapidly to a remote workforce during the pandemic, often with employees relocating to (or been stranded in) locations outside of their normal worksites. For some, remote work

As companies begin to reopen, a new trend has emerged – the idea of permanently remote employees. During this 15-minute moderated discussion, we will explore cross-border issues and challenges US employers face with employees working remotely from locations outside their home countries.

Click here to view the video chat on demand.

US employers are rethinking how and where their employees work as a result of COVID-19 and shelter in place orders. Whether your company is considering rolling out telecommuting options for the first time or has allowed telecommuting for years, setting expectations and establishing clear guidelines is critical for your workforce.

Here are 10 key ingredients

Companies are permitting (or requiring) employees to work remotely right now in response to COVID-19 concerns. This decision, calculated to minimize certain risks, presents new and wide-ranging concerns for the protection of trade secrets. In this “temporary” working remotely environment, employees will have considerable opportunity to access, download, or store sensitive information from company systems and databases. Have you vetted these circumstances or otherwise addressed their use? Think – home printers? Cell phones? Tablets? Personal email accounts? Working in public places such as libraries and coffee shops? Companies may also be inclined to relax otherwise well thought out document management rules or allow for workarounds from the usual security measures in the interest of business continuity. In such an environment, employees may make assumptions that they have wider latitude to email, copy, send, print, or download information, given the circumstances. Compounding these insider risks are a series of unknowns, such as whether your employees’ home networks have security anywhere near on par with in-office network security that could allow outsiders to intrude or access data.

Trade secret litigation has grown exponentially in the United States, in part due to the passage of the Defend Trade Secrets Act (18 U.S.C. § 1836, et seq.) in 2016, and in response to the incredible value embodied in companies’ customer lists, knowhow, processes, formulas, business strategies, salary structures, and numerous other forms of intellectual property. If information is valuable, kept secret, and derives value from its secrecy, then it can be a protectable trade secret — as long as the company puts in place reasonable measures to maintain the secrecy.

Whether your company has a sophisticated trade secret protection plan in place or not, the current work environment will stress policies and procedures. Employees pose the biggest threat to securing a company’s valuable IP, and several remote-working concerns raise long-term policy questions to be addressed over time. But, the action items can’t all wait until a calmer moment. Consider the following immediate steps as your company reacts to recent events.

1. Communicate current obligations and requirements in the remote working environment

If you have a robust work-from-home policy, review it now with a specific focus on maintaining your company’s most valuable secrets. If you do not have such a policy, implement something immediately, even if it is temporary. Set clear expectations on what information the business considers to be confidential or trade secrets and what particular steps employees are required to follow when using or accessing that information. Not only does it make business sense to keep employees on notice of company policies and procedures, but federal case law under the DTSA has made clear that employees can only be held to trade secret obligations where they are specific and clear, such that employees are “on notice” of the trade secrets.
Continue Reading Keep Trade Secret Protections Top Of Mind While You Deploy Remote Working

As multinational companies compete for highly skilled employees around the world, they are often confronted with a deceptively simple question: Do they impose a noncompetition agreement on their employees?

This article is part one of a two-part article addressing how multinational companies can use a noncompetition agreement on their highly skilled employees to protect their

Mark your calendars for a new law prohibiting “no-rehire” provisions in settlement agreements. California Governor Gavin Newsom signed Assembly Bill No. 749 into law on October 12, 2019. Effective January 1, 2020, “no-rehire” provisions are void as a matter of law in California.

Continue Reading New Law For 2020 Prohibits “No-Rehire” Provisions

Despite the hubbub, a new California law purportedly banning mandatory employment arbitration agreements does not completely change the game, and federal law still allows employers to use such agreements.

On October 10, 2019, Governor Newsom signed AB 51 (to be codified as Cal. Lab. Code § 432.6(c)). The new law on its face prohibits employers from requiring California employees to arbitrate certain employment disputes, even if the employees are given the option of opting out of arbitration. More ominously, AB 51 criminalizes retaliation against employees who refuse arbitration, among other remedies.


Continue Reading Slow Your Roll: Federal Law Preempts California’s Latest Assault On Employment Arbitration Agreements

On September 24, 2019, the Department of Labor (finally) issued the final rule on the minimum salary threshold required for employees to qualify for the Fair Labor Standards Act’s “white-collar” exemptions.

The final rule:

  • Raises the new minimum salary threshold to $35,568 per year ($684 per week). The previous salary threshold, which had been in place since 2004, was $23,660 ($455 per week).
  • Raises the “highly compensated” employee salary threshold from $100,000 to $107,432 per year.
  • Allows employers to count certain non-discretionary bonuses, incentives, and commissions to satisfy up to 10% of an employee’s salary level.
  • Does not impact the job duties test.
  • Is estimated to make an additional 1.3 million more workers eligible for overtime.
  • Will take effect quickly — on January 1, 2020.


Continue Reading DOL Issues Long-Awaited Final Overtime Rule

Today California Governor Gavin Newsom signed a landmark bill making it more difficult for companies to engage independent contractors. (See our previous coverage HERE.) Assembly Bill 5 “will help reduce worker misclassification — workers being wrongly classified as ‘independent contractors’ rather than employees, which erodes basic worker protections like the minimum wage, paid sick days and health insurance benefits,” Newsom wrote in a statement.

Continue Reading The Controversial ABC Test From Dynamex Is Codified In Law — California’s Gig Economy Braces For Change