New employment laws could affect your California
business' day-to-day operations and company policies in 2012. Download CalChamber's
white paper "An Overview of New 2012 Laws Affecting California Employers"
for detailed information on the changes in the law and how each of these
California laws could affect your business.
- Credit Check
AB 22 prohibits employers and prospective employers, not including
certain financial institutions, from obtaining and using consumer
credit reports (credit information) about applicants or employees.
- Pregnancy Disability Leave
SB 299 requires all employers with five or more employees to continue
to maintain and pay for health coverage under a group health plan
for an eligible female employee who takes Pregnancy Disability Leave
(PDL) up to a maximum of four months in a 12-month period. The benefits
are at the same level and under the same conditions as if the employee
had continued working during the leave period.
- Willful Misclassification of Independent Contractors
SB 459 provides new penalties of between $5,000 to $25,000 for the
"willful misclassification" of independent contractors, defined
as "avoiding employee status for an individual by voluntarily and
knowingly misclassifying that individual as an independent contractor."
- Written Commission Agreement
AB 1396 requires employers who have commission pay arrangements
to put those agreements into a signed written contract that sets
forth the method by which the commissions will be computed and paid.
- Notice of Pay Details
AB 469 requires employers to provide nonexempt employees, at the
time of hire, a new notice that specifies, among other things, specific
information regarding payment of wages. This legislation also increases
penalties for wage violations.
- Organ and Bone Marrow Donor Leave
SB 272 clarifies the implementation of California's organ and bone
marrow donor leave law (Labor Code sections 1508-1512).
- Genetic Information
SB 559 amends the Fair Employment and Housing Act (FEHA) to state
that employers are prohibited from discriminating against employees
on the basis of genetic information.
- Gender Expression
AB 887 amends the Fair Employment and Housing Act to further define
"gender" to include both gender identity and "gender expression,"
as defined by the new law, and to make clear that discrimination
on either basis is prohibited.
- E-Verify
AB 1236 allows employers to continue to choose to use E-Verify,
but prohibits California state agencies and local governments from
passing mandates that require employers to use E-Verify.
- Interference With Rights Under Leave Laws
AB 592 adds language to the California Family Rights Act (CFRA)
and the Pregnancy Disability Leave law (PDL) that makes it unlawful
to interfere with or in any way restrain the exercise of rights
under these laws.
- Administrative Penalties
AB 240 allows an employee that alleges a minimum wage violation
to recover liquidated damages pursuant to any complaint brought
before the Division of Labor Standards Enforcement.
- Wage Penalties
AB 551 increases the maximum penalty from $50 to $200 per calendar
day for each worker paid less than the determined prevailing wage
and increases the minimum penalty from $10 to $40 per day for violations
of prevailing wage obligations.
- Farm Labor Contractors – Wage Notices
AB 243 amends Labor Code section 226 to expand the information that
must be included on pay statements, but only for farm labor contractors.
- Agricultural Labor Relations
SB 126 affects the certification of bargaining representatives for
agricultural employees in instances where there has been employer
misconduct during the election.
- Insurance Non-Discrimination Act
SB 757 prevents employers that operate in multiple states from discriminating
against same-sex couples by not providing the same insurance coverage
for domestic partners as they do for spouses.
- State Contracts – Gender or Sexual Orientation Discrimination
SB 117 outlaws the state of California from entering into contracts
of more than $100,000 with companies that discriminate against the
employees on the basis of gender or sexual orientation with regard
to benefits.
- Apprentice Programs
SB 56 changes the audit requirements for apprenticeship programs.
AB 1136 provides that general acute care hospitals must maintain
a safe patient handling policy for patient care units, including
trained lift teams or training in safe lifting techniques for staff.
- Safe Lifting – Hospitals
AB 1136 provides that general acute care hospitals must maintain
a safe patient handling policy for patient care units, including
trained lift teams or training in safe lifting techniques for staff.
- Workers' Compensation
AB 335 requires the workers' compensation administrative director
(AD) to work with the Commission on Health and Safety and Workers'
Compensation (CHSWC) to develop regulations regarding notices to
injured workers; requires AD and CHSWC to develop and make accessible
a booklet written in plain language about the workers' comp claims
process; streamlines and simplifies other notices to employees.
The new law also states that workers' compensation notices posted
by employers must now include the website address and contact
information that employees may use to obtain further information
about the workers' compensation claims process and an injured employee's
rights and obligations, including the location and telephone number
of the nearest information and assistance officer.
- DFEH Procedural Regulations
The Department of Fair Employment and Housing (DFEH) has instituted
new regulations relating to procedures for filing, investigating
and processing discrimination and harassment claims. This law is
already in effect.