California Legislative Update

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On July 16, 2021, Governor Newsom signed California Assembly Bill 150 into law, allowing certain owners of passthrough entities to find a way around the current $10,000 federal cap on state and local tax (SALT) deductions for individuals.  The new law, applicable to tax years beginning on or after January 1, 2021 and ending before January 1, 2026, allows for many partnerships, limited liability companies taxed as partnerships, and S-Corporations to pay an entity level tax based on electing individual owners’ share of income, and then grants the owners a credit against California personal income tax for the full amount of tax paid at the entity level on their distributive share of California taxable income.
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Continue Reading California Passes “Workaround” To Federal Limit on State Tax Deduction For Certain Owners of Pass-Through Entities

As travel begins to resume in California, the Legislature has imposed additional stringent requirements on employers in the travel and hospitality industries.  Beginning April 16, 2021, Senate Bill 93 will…
Continue Reading California Enacts Law Requiring Certain Employers to Offer Open Positions to Laid Off Employees in the Travel and Hospitality Industries

In a prior article, we explained Senate Bill 95, which requires employers with more than 25 employees in California to provide COVID-19 Supplemental Paid Sick leave.  You can read it here.  SB 95 creates California Labor Code Sections 248.2 and 248.3.  It goes into effect on March 29, 2021, and applies retroactively to January 1, 2021.  This new COVID-19 Supplemental Paid Sick Leave law allows covered employees to take up to an additional 80 hours of paid COVID-19 related sick leave.
Continue Reading Labor Commissioner Issues FAQs for Supplemental COVID-19 Paid Sick Leave Law

The end of 2020 was not the end of the California Legislature’s focus on employment-related legislation.  Just two months into the new year, the Legislature has already introduced several bills addressing the workplace that could impact employers who still may be implementing coronavirus-related legislation.  This article discusses two such bills on the horizon that employers will want to follow as they work their way through the Legislature.
Continue Reading California Legislative Update: Employment-Related Bills on the Horizon

Since 2005, California employers with 50 or more employees were required to provide at least 2 hours of sexual harassment training every 2 years to each supervisory employee, and to new supervisory employees within 6 months of their assumption of a supervisory position.  However, all employers may not yet know that the California anti-harassment training requirements were significantly expanded by the California legislature (SB 1343 and SB 788 – to read the prior article, click here).  Now, California employers with 5 or more employees must provide sexual harassment training and education by January 1, 2021 to not just supervisory employees, but non-supervisory employees as well. This new law requires many California employers to provide anti-harassment training, for the first time, in both English and Spanish. Specifically,
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Continue Reading California’s Deadline is Fast Approaching: Employers Must Complete Harassment Prevention Training for English and Spanish-Speaking Workforces by Year’s End

On September 30, 2020, California Governor Gavin Newsom signed Assembly Bill (“AB”) 1947 into law.  Effective January 1, 2021, AB 1947 will, among other things, authorize courts to award attorneys’ fees to whistleblowers who prevail against employers under Labor Code section 1102.5.  This amendment will likely incentivize employees (and their lawyers) to bring retaliation claims against California employers.  For our previous analysis of this bill, click here.
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Continue Reading Whistleblower Retaliation Lawsuits Are About to Become More Expensive in California

Amid a bevy of legislation crossing the Governor’s desk directly relating to the ongoing public health crisis, Governor Newsom approved AB 1947 with little public fanfare, but significant implications for employers.  The new legislation amends the Labor Code in two substantive ways:  (1) it lengthens the period of time in which employees can file complaints with the Division of Labor Standards Enforcement (“DLSE”); and (2) authorizes a court to award reasonable attorney’s fees to a plaintiff who prevails in a “whistleblower” action under Labor Code § 1102.5.  While not expressly considered “coronavirus” legislation, it is clear the coronavirus pandemic influenced the Legislature’s decision to further expand certain rights under California’s workplace antiretaliation laws.
Continue Reading AB 1947’S New Filing Period for DLSE Claims and Attorney’s Fees Provisions: Coronavirus Legislation in Sheep’s Clothing?

2020 has been a transformative year of everlasting uncertainty and constant change: employee privacy is no exception. California laws impacting employee data are changing yet again. This article highlights what employers need to know about (1) recent amendments to the California Consumer Privacy Act, and (2) what happens if the California Privacy Rights Act is approved by voters on November 3, 2020.
Continue Reading The Only Constant Is Change: How Evolving Privacy Laws Impact Employers

Effective immediately, Senate Bill (SB) 1159 is a new California law that establishes presumptions about workers’ compensation benefits for employees who contract COVID-19.  This article explains in a series of questions and answers what employers need to know about workers’ compensation under this new law if an employee tests positive for COVID-19.
Continue Reading Mother of All Presumptions 2.0: Expanding Workers Compensation Benefits to Employees That Test Positive for COVID-19

On July 1, 2020, as a result of rapid increases in the number of COVID-19 cases throughout California, and on the heels of the Fourth of July long weekend, Governor Gavin Newsom instructed businesses in 19 counties across the state to roll back their reopenings for at least the next three weeks.  The Governor’s instructions require the closure of:

  • All indoor, in-person dining at restaurants (outdoor dining and takeout are still permitted, so long as social distancing protocols are followed);
  • Indoor tasting rooms and wineries;
  • Indoor museums, zoos, and aquariums;
  • Indoor movie theaters and family entertainment centers; and
  • Cardrooms and satellite wagering facilities.

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Continue Reading California Places More COVID-19 Related Restrictions on Businesses and Employers