3 New California Employment Laws in 2013

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2013 California Employment Law: Three Updates in the Law As we head further into the year 2013, California employment law continues to confound even the most savvy employers. Employers should familiarize themselves with these new guidelines, and be certain to review and update their practices are avoiding any potential pitfalls. Below are three of the most significant laws that went into effect in California on January 1. Social Media Policies As lines between business and personal lives continue to blur, social media is pushing to the forefront of new regulations. In California, employers are now prohibited from requesting or requiring disclosure of personal social media usernames or passwords. This law applies to both current employees and potential applicants. An employer considering a potential applicant for hire or a current employee for a promotion may run into trouble if they’ve perused the personal social media of the potential employee. If the employer elects not to hire or promote, they are liable to be accused of discrimination. For example, if an employer viewed a potential employee’s Facebook account stating that they are pregnant or of a particular religion, the employer may accused of not hiring based on the information they read, which could be regarded as discriminatory. An employer in this situation should take care to provide clear non- discriminatory reasons for deciding not to hire. For example, they can maintain that the person in question does not possess particular technical knowledge or skills that are required for the job. In general, negative comments about employers posted by their employees are considered a protected class and are not liable for investigation. The one exception to this law is the investigation of employer-issued electronic devices. Fixed Salaries and Overtime Employers can no longer create wage agreements for fixed sum payments for overtime. Fixed salaries may only be set for an employee’s regular hours of, for example, 40 hours per week. In light of this amendment,

Transcript of 3 New California Employment Laws in 2013

Page 1: 3 New California Employment Laws in 2013

2013 California Employment Law: Three Updates in the Law

As we head further into the year 2013, California employment law continues to confound even the most savvy employers. Employers should familiarize themselves with these new guidelines, and be certain to review and update their practices are avoiding any potential pitfalls. Below are three of the most significant laws that went into effect in California on January 1.

Social Media Policies

As lines between business and personal lives continue to blur, social media is pushing to the forefront of new regulations. In California, employers are now prohibited from requesting or requiring disclosure of personal social media usernames or passwords. This law applies to both current employees and potential applicants.

An employer considering a potential applicant for hire or a current employee for a promotion may run into trouble if they’ve perused the personal social media of the potential employee. If the employer elects not to hire or promote, they are liable to be accused of discrimination. For example, if an employer viewed a potential employee’s Facebook account stating that they are pregnant or of a particular religion, the employer may accused of not hiring based on the information they read, which could be regarded as discriminatory. An employer in this situation should take care to provide clear non-discriminatory reasons for deciding not to hire. For example, they can maintain that the person in question does not possess particular technical knowledge or skills that are required for the job.

In general, negative comments about employers posted by their employees are considered a protected class and are not liable for investigation. The one exception to this law is the investigation of employer-issued electronic devices.

Fixed Salaries and Overtime

Employers can no longer create wage agreements for fixed sum payments for overtime. Fixed salaries may only be set for an employee’s regular hours of, for example, 40 hours per week. In light of this amendment, employers should ensure that all employees fill out time sheets and receive overtime pay for any hours beyond the normal work week.

Personnel Records

The year 2013 has ushered in a substantial change to employee’s rights to access personnel records. The following list summarizes the changes:

1. Former employees are now allowed to inspect their personnel records2. Both former and current employees may both inspect and copy their personnel records3. The request for inspection must be in writing4. Employers must arrange for access within 30 days of the request5. Employers are obligated to maintain records for a minimum of three years following the

employee’s termination

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6. Former employees may only request their records one time per year. Employers must submit to up to 50 requests per month by current employees

7. Prior to inspection or copying of personnel records, employers may remove the names of nonsupervisory employees

8. Breaching this amended labor code may result in liability for a $750 penalty, injunctive relief and attorney’s fees

Keeping abreast of the new changes to California employment law and implementing necessary modifications in the workplace will help employers maintain an compliant and successful workplace.