Authored by Sara Mostafa
The following article regards certain significant new California employment laws that will take effect January 1, 2025. We advise you to review these laws, as well as other new laws pertinent to your business, carefully and alter your policies accordingly. We are available to assist you with updating your policies and employee handbooks and in connection with any questions or concerns.
AB 2123- Access to Paid Family Leave
Effective January 1, 2025, employers may not require employees to use up to two weeks of vacation time before accessing paid family leave (PFL); employees may immediately access PFL without having to use any accrued vacation or PTO. PFL provides wage replacement benefits for employees who take time off to care for seriously ill family members, bond with a child, or help a family member called to active duty.
SB 1137- Intersectionality of Protected Characteristics
Effective January 1, 2025, California will become the first state to adopt the term “intersectionality” in anti-discrimination laws. This means that employers will be prohibited from discriminating or harassing employees based on any combination of protected characteristics, such as race, age, disability, sex, or religion. In defending against claims with combined traits, an employer will be required to show that it does not discriminate against people with either/any of the relevant traits, or a combination of the traits.
AB 2499- Expanding Scope of “Victim”
Effective January 1, 2025, this law expands the definition of “victims” for purposes of the CA Fair Employment and Housing Act to include those who have experienced a “qualifying act of violence,” which includes the following, regardless of whether anyone is arrested for, prosecuted for, or convicted of committing any crime: 1) domestic violence; 2) sexual assault; 3) stalking; and 4) an act, conduct, or pattern of conduct that includes an individual who causes bodily injury or death, uses a firearm or other dangerous weapon, or makes a threat of use of force. Similar to existing laws, the new law prohibits employers from retaliating or discriminating against employees who serve upon a jury and are called as a witness in a judicial proceeding, as well as employees who are crime victims, for taking time off from work to obtain relief, including a restraining order or other injunctive relief, for themselves or their child. Additionally, the new law adds protections for certain employees with family members who are crime victims. AB 2499 specifically prohibits employers with 25 or more employees from discriminating and retaliating against employees who are victims, or who have family members who are victims, for taking time off of work for a number of specified additional prescribed purposes relating to a qualifying act of violence. Family members are defined as a child, parent, grandparent, grandchild, sibling, spouse, domestic partner, or designated person. A designated person may be an individual whose association with the employee is the equivalent of a family relationship and must be identified by the employee at the time the employee requests the leave. An employer may limit an employee to one designated person per 12-month period. Under the new law, employers with 25 or more employees may limit the amount of leave time taken by an employee as follows: 1) to an overall leave time total of 12 weeks; 2) to 10 days if the employee’s family member is the victim (not deceased); and 3) to five days if the employee’s family member is the victim (not deceased) and the leave is for relocation purposes. The new law also requires that this leave run concurrently with leave taken pursuant to the federal FMLA and the California Family Rights Act. Additionally, the new law will expand paid sick leave to allow employees to use such leave when an employee or their family member is a victim. The law requires an employer to inform each employee of their rights under the law with a notice to be provided to new employees upon hire, to all employees annually, at any time upon request, and any time an employee informs an employer that the employee or the employee’s family member is a victim.
SB 1100- Requiring Driver’s Licenses
This law prohibits employers from including statements in job advertisements that require applicants to have a driver’s license, except in circumstances where both of the following criteria are met: 1) the employer reasonably expects driving to be one of the job functions; and 2) the employer reasonably believes that an alternative form of transportation (e.g., ride-hailing services, taxis, carpooling, bicycling, and walking) would not be comparable in travel time or cost to the employer.
SB 988- Freelance Worker Protection Act
This law establishes the Freelance Worker Protection Act, which sets minimum requirements for contracts between hiring parties and freelance workers, effective January 1, 2025. The new law defines a “freelance worker” as a person who is hired as a bona fide independent contractor to provide professional services in exchange for an amount equal to or greater than $250. The referenced professional services include marketing, human resources, graphic design, photography, estheticians, and others. In addition to requiring a freelance worker’s contract be in writing, the law will also require that a hiring party provide a signed copy of the contract to the freelance worker and that the contract be retained for four years. The information required to be contained in the contract includes the following: (1) the name and address of each party; (2) an itemized list of all services to be provided, including the value of the services and the rate and method of compensation; (3) the date the hiring party will pay; and (4) the date by which the freelance worker will submit a list of services rendered for timely payment. Under the new law, a hiring party must pay a freelance worker on or before the date compensation is due pursuant to the contract and, if the contract does not specify, no later than 30 days after the completion of the contracted work. Additionally, once a freelance worker has started performing services under the contract, the hiring party cannot require the freelance worker to accept less compensation or provide more services than agreed upon in the contract. The law specifically prohibits the waiver of any of its requirements, as well as any discrimination against a freelance worker for taking steps to enforce the provisions of the law.
SB 399- No Captive Audiences
The new law bans employer-sponsored “captive audience” meetings. Effective January 1, 2025, the law will prohibit California employers from requiring their employees to attend mandatory meetings on religious or political matters, including anti-unionization. Employers may not retaliate against employees for refusing to attend such meetings. Employees who are scheduled to work during the meeting must be paid for their time regardless of whether they attend the meeting. Employers who violate the new law will be subject to a $500-per-employee civil penalty.
AB 1034- Extended PAGA Exemption
The new law extends the exemption in the California Private Attorneys General Act of 2004 (PAGA) for certain construction industry employees to January 1, 2038. Under the existing law, PAGA, which allows aggrieved employees to bring a civil action on behalf of themselves and other employees to enforce violations of the CA Labor Code, contains an exemption for certain construction industry employees with respect to work performed under a valid collective bargaining agreement (CBA) in effect any time before January 1, 2025. To qualify, the CBA must contain specific wage information and meet express requirements regarding the prohibition of all Labor Code violations redressable by PAGA, the waiver of PAGA requirements, and the authorization of an arbitrator to award remedies.
AB 3234- Voluntary Social Compliance Audits
Effective January 1, 2025, California employers who have voluntarily subjected their company to a social compliance audit will be required to post a clear and conspicuous link to the results of the audit on their website. A social compliance audit is defined as a “voluntary, nongovernmental inspection or assessment of an employer’s operation or practices to evaluate whether the operations or practices are in compliance with state and federal labor laws, including, but not limited to, wage and hour and health and safety regulations, including those regarding child labor.”
AB 1870- Workers’ Compensation Posters
California law requires employers to provide employees with notice of their rights under workers’ compensation laws via posted notice. Under the new law, employers will be required to obtain an updated workers’ compensation poster that, in additional to existing requirements, informs employees that they may consult with a licensed attorney to advise them of their rights under workers’ compensation laws.
SB 1105– Access to Paid Sick Leave for Agricultural Employees
Effective January 1, 2025, the new law expands California’s paid sick leave requirements to allow agricultural employees who work outside to use paid sick leave to avoid smoke, heat, or flooding conditions created by a local or state emergency.
