Labor & Employment Law Blog

Unfortunately, there can be no doubt that the political environment in the United States right now has everyone a little bit on edge, especially in the midst of an ongoing international health crisis.  Passions are running high, and tempers are flaring; however, California employers have particular cause to exercise caution and diligence when their employees voice and/or demonstrate their political beliefs.

On December 22, 2020, the United States Department of Labor (“DOL”) finalized a rule opening tip pools to employees who do not normally receive tips themselves. As the restaurant industry looks towards easing lockdown restrictions and a hopeful return to “business as usual” in 2021, California restaurants should be mindful of the impact of the DOL’s new regulations.

On August 18, 2020, the Sonoma County Board of Supervisors enacted an emergency ordinance to establish supplemental Paid Sick Leave (“PSL”) requirements for private employers with employees who work in its unincorporated areas. The Paid Sick Leave Ordinance (“PSLO”) became operative immediately upon enactment and will run concurrently with the federal Families First Coronavirus Response Act (“FFCRA”), expiring on December 31, 2020; however, the PSLO would be automatically extended by any extension of the provisions of the FFCRA.

 In a 7-2 decision authored by Justice Alito, the U.S. Supreme Court reaffirmed the ministerial exception set forth in Hosanna-Tabor Evangelical Lutheran Church and School v. EEOC, 565 U.S. 171 (2012).  (Our Lady of Guadalupe School v. Morrissey-Berru, Case Nos. 19-267 and 19-348 (July 8, 2020)(“OLG”)).

With the local minimum wage in several California cities increasing on July 1^st, employers should take time to verify that they are meeting the minimum wage requirements of the cities in which they operate and prepare for any increases.

On June 15, 2020, the Supreme Court of the United States handed down a landmark opinion for the LGBTQ community and civil rights, holding employees are protected from discrimination based on sexual orientation or transgender status under Title VII of the Civil Rights Act of 1964 (“Title VII”).  Bostock v. Clayton County, Georgia (17–1618, June 15, 2020).

In December 2018, California announced the start of its CalSavers retirement savings program.  The program is available to California employees whose employers do not offer a workplace retirement plan, to self-employed individuals, and to others who want to increase their retirement savings.  Through this program, employees working for a participating employer may automatically contribute a portion of their pay to a Roth (post tax) Individual Retirement Account.  Individuals who do not work for a participating employer but want to save under CalSavers can set up recurring contributions. 

The Wage and Hour Division of the United States Department of Labor (the “DOL”) withdrew Sections 779.317 and 779.320 from the Fair Labor Standards Act (“FLSA”) which categorically excluded certain businesses from the retail sales exemption for payment of overtime compensation under Section 7(i). 

Los Angeles Mayor Eric Garcetti recently signed into law Ordinance No. 186602 and Ordinance No. 186603, which give certain laid-off workers a right of recall (i.e. hire priority).  The ordinances take effect on June 14, 2020, and apply to employees working within the City of Los Angeles. 

On May 12, 2020, the Oakland City Council approved an ordinance establishing emergency paid sick leave for Oakland employees during the COVID-19 pandemic.  Oakland now joins several other jurisdictions in California in taking action to supplement the emergency sick leave already provided by the federal Families First Coronavirus Response Act (FFCRA).