Best Practices For California Employers

The last two weeks have been busy on the California employment law front, and California employers must remain vigilant about new employment law developments still going forward this summer.  As we enter the second half of 2022, here are five issues California employers need to pay attention to:

1. IRS mileage rate increases July 1

There are certain rights provided by the California Labor Code that employees cannot waive, including some of the following:

1. Minimum wage
Labor Code Section 1194 provides a private right of action to enforce violations of minimum wage and overtime laws. That statute clearly voids any agreement between an employer and employee to work for

Mediation is one of the aspects of litigation that can be confusing for parties in a lawsuit, but there are few rules to understand about the process that can make it a lot less daunting.  Mediation is a non-binding meeting where the parties in a lawsuit hire an independent mediator (a retired judge or lawyer)

On May 12, 2022, Governor Newsom announced that the state minimum wage could increase to $15.50 per hour on January 1, 2023 due to inflation.  However, many California employers are already facing minimum wage increases much earlier – as many local jurisdictions throughout California are raising their minimum wage rates on July 1, 2022. 

Do employers need to have a computerized timekeeping system to comply with their requirements under California law?  With technological advances, it is hard to remember that just 10 years ago these questions were on top of everyone’s mind, but today it is sometimes assumed that it must be legal to keep these records electronically.  However,

Employers should remember to take time to review their employee documentation, retention policies, and how this information is being saved on a periodic basis.  Here are five record retention issues employers should audit as of April 2022:

1. Are employee time records maintained for at least four years?

The statute of limitations can reach back

Five reminders about the timing and location requirements for providing final wages to employees in California:

  1. An employee who is discharged must be paid all of his or her wages, including accrued vacation, immediately at the time of termination.
  2. An employee who gives at least 72 hours prior notice of quitting, and quits on the

In Mendoza v. Trans Valley Transport, the California Court of Appeal held that an arbitration agreement contained in an employee handbook was unenforceable by the employer because the parties did not enter into a binding agreement to arbitrate.  The appellate court’s analysis in Mendoza illustrates some problems for employers who place arbitration agreements in employee

Pay equity and transparency laws are being considered within the United States and by many countries.  For example, internationally, Europe is reviewing a potential law requiring all wages to be published, Iceland requires companies to prove pay equity since 2018, and a similar law in Canada has passed for employers with 10 or more employees.