California employment-related laws from the 2024 legislative session address several issues impacting agricultural employers. Updates include changes to the Fair Employment & Housing Act (FEHA) and employer-paid sick leave benefits. Prompt action should be taken to assure compliance with all updates. Below is a summary of many of the laws affecting employers in the state, effective January 1, 2025, unless otherwise noted.
Minimum Wage Increase
The minimum wage increases to $16.50 per hour. Exempt employee minimum salary levels increase to $68,640 per year ($5,720 per month).
SB 1137 – Intersectionality
SB 1137 amends FEHA to address claims based on any combination of protected characteristics, or “intersectionality” (i.e., discrimination based on any combination of protected classifications).
AB 2499 – Victims of Violence
AB 2499 prohibits discrimination/retaliation/discharge of employees taking time off for jury service, to appear in court as a witness, as a victim of a qualifying act of violence, for their/their child’s health, safety, welfare and (employers with 25-plus employees) to assist a family member impacted by a qualifying act of violence. AB 2499 provides reasonable accommodation eligibility and paid sick leave benefits for qualified employees.
SB 1100 – Discrimination: Driver’s License
SB 1100 introduces a two-part test governing when employers may require job applicants to possess a driver’s license: 1) Employers must reasonably expect driving to be one of the job functions, and 2) Believe that using an alternative form of transportation would not be comparable in travel time or cost to the employer.
AB 1815 – Discrimination Race/Hairstyles
AB 1815 expands the definition of “race” and “protective hairstyles” across several statutes by removing the term “historically” and including traits associated with race beyond hair texture and protective hairstyles.
SB 1340 – Discrimination: Local Enforcement
SB 1340 allows political subdivisions of the state to enact/enforce anti-discrimination laws that are at least as protective as state law. Local enforcement may occur only after the Civil Rights Department issues a right-to-sue notice and before the expiration of the time to file a civil action.
SB 399 – Worker Freedom from Employer Intimidation Act
SB 399 prohibits “captive audience” meetings discussing religious/political matters, including union-representation discussions. Discrimination/retaliation, threats of discharge, or taking “any other adverse action” against employees who decline to attend captive meetings or refuse to participate in/receive/listen to employer communications regarding religious/political matters are prohibited.
SB 1105 – Paid Sick Leave – Agricultural Employees
SB 1105 expands paid sick leave benefits for agricultural employees under the Healthy Workplaces, Healthy Families Act of 2024. Leave uses now include avoiding smoke, heat or flooding conditions created by a
local/state emergency.
AB 2738 – Alternative Enforcement
AB 2738 authorizes public prosecutors to recover all remedies available under the Labor Code. Recovered remedies go first to workers for unpaid wages, damages or penalties, with the remainder to the state’s General Fund. Recovery of fees/costs to a prevailing plaintiff are also authorized.
Heat Illness Prevention (Indoor)
Cal/OSHA requires indoor workplaces to be cooled below 87°F when employees are present, and below 82°F in areas where workers wear protective clothing or work in high radiant heat areas, if feasible. When temperatures reach 87°F, employers should cool down the work area, implement work-rest schedules and supply personal heat-protective equipment. Regulations apply to all indoor workplaces, including warehouses, restaurants, manufacturing facilities and spaces under a ceiling/overhead covering restricting airflow.
SB 553 – Workplace Violence Prevention Plan (WVPP)
SB 553 mandates employers develop/implement a WVPP meeting specific standards, including maintaining a violent incident log, providing training to all employees and recordkeeping. Look for regulations to be adopted by the Standard Board by December 31, 2026.
AB 2288 and SB 92 – Private Attorneys General Act of 2004 (PAGA)
AB 2288/SB 92 include more restrictive standing requirements for PAGA plaintiffs, a codified need for manageability of claims and a reformed penalty structure, among other provisions. Notable changes include reduced penalties for wage statement errors, default penalty limits and penalty reductions through compliance efforts. Limitations on penalty stacking and enhanced judicial oversight are also included in the amendments.
AB 3234 – Social Compliance Audit
AB 3234 requires an employer voluntarily subjecting itself to a “social compliance audit” relating to labor laws (regardless of whether the audit is to determine if the employer uses child labor) to post a report detailing the findings of its compliance with child labor laws on its website. A “social compliance audit” is a voluntary, nongovernmental inspection or assessment of employer operations/practices evaluating compliance with state/federal labor laws.
SB 988 – Freelance Worker Protection Act
SB 988 mandates hiring parties pay Independent Contractors (IC) by the contract date or within 30 days of service completion if unspecified. It prohibits reducing agreed compensation, demanding extra services, or additional intellectual property rights for timely payment. A written contract, retained for at least four years, is required. The law prohibits discriminating against ICs who assert their rights and provides for injunctive relief, damages, fees and costs.
AB 2299 – Whistleblower Protections
AB 2299 clarifies responsibilities of the Labor Commissioner include developing a model list of employee rights/responsibilities under existing whistleblower laws and codifies its duty to develop the model notice. Employers posting the model list will be considered compliant with notice requirements.
AB 1870 – Workers’ Compensation Notice
AB 1870 requires employers to inform injured employees of their ability to consult an attorney to advise them of their rights and that attorney’s fees may be paid from an injured worker’s award. Look for an updated notice before January 1, 2025.
AB 2123 – Paid Family Leave
AB 2123 eliminates employer’s ability to require employees use earned and unused vacation before the employee’s initial receipt of EDD Paid Family Leave benefits during any 12-month period in which employees are eligible for benefits.
In light of these legislative changes, it is imperative for employers to thoroughly review their existing policies and procedures to ensure they are in full compliance with the new rules. Additionally, training managers and supervisors on these updates is crucial, as their understanding and adherence to the new laws will be instrumental in maintaining compliance. Proactive measures taken now will help mitigate risks and also reduce penalties under the new PAGA amendments.