New regulations addressing national origin discrimination under California’s Fair Employment and Housing Act (FEHA) go into effect on July 1, 2018 – are you ready? The regulations expand the definition of “national origin,” make language restrictions presumptively unlawful, and limit an employer’s ability to verify immigration status, among other significant changes. Continue Reading California’s New Regulations Expand National Origin Protections
In a time when workplace violence seems to be on the rise, many companies have adopted a strict no tolerance policy even for conduct outside the workplace. In California, however, employers need to be cognizant of the protections afforded individuals that may make such terminations riskier than the company may expect. One employer got just such a reminder last week when a California jury returned an $18M verdict against it for terminating an employee after he was arrested for threatening his girlfriend outside of the workplace.
When a franchisor provides a California franchisee with detailed instructions about how to operate the franchise business, but allows the franchisee to manage its own workforce, can the franchisor be held liable for the franchisee’s wage and hour violations? The California Court of Appeals found the answer to be no under the facts in Curry v. Equilon Enterprises, LLC, 2018 WL 1959472 (Cal. Ct. App. Apr. 26, 2018). There, the Court of Appeals concluded Equilon Enterprises, LLC, doing business as Shell Oil Products US (“Shell”), was not liable for the alleged wage and hour violations of the company that operated its Shell-branded gas stations throughout California. Continue Reading Are Franchisors Joint Employers in California Wage Cases?
The California Supreme Court has adopted a new three-part test to determine whether a worker is an independent contractor or an employee under California’s wage orders, which regulate wages, hours, and working conditions. The highly anticipated ruling could have wide ranging effects for businesses operating in California and beyond, as companies try to navigate the new gig economy.
The California Supreme Court issued a decision Monday in a case that is sure to cause headaches for employers when compensating employees through flat sum bonuses. In Alvarado v. Dart Container Corporation of California (S232607) the Court held that for purposes of calculating the regular rate, a flat sum bonus is to be allocated only to the nonovertime hours worked. This holding departs from the calculation methods broadly considered compliant outside of California under the Fair Labor Standards Act (“FLSA”) and regulations issued by the U.S. Department of Labor.
The new year brings new laws for California employers to grapple with. Below we highlight the most significant new employment laws affecting California employers as of January 1, 2018. Companies based in California or with operations in California are encouraged to review their policies and procedures in light of these developments.
On Friday, January 5, 2018, the U.S. Department of Labor (“DOL”) posted a brief statement and updated its Fact Sheet on Internship Programs Under the Fair Labor Standards Act to clarify that going forward, it will use the “primary beneficiary” seven factor test for distinguishing bona fide interns from employees under the FLSA. The DOL’s approach is consistent with the test adopted by appellate courts such as the Second and Ninth Circuits.
Equal pay issues continue to be a focus for new state legislation and of the private plaintiff’s bar. Partner Emily Burkhardt Vicente and Counsel Christy Kiely discuss how employers can best position themselves to defend against claims of compensation discrimination. View the 5-minute video here.
Allegations of sexual harassment have been flooding the news headlines lately. Partners Emily Burkhardt Vicente and Amber Rogers discuss how these trends may impact employers and identify common sense strategies for minimizing the risk of harassment claims in the workplace. View the 5-minute video here.
Hiring overseas employees is a complex issue, with many rules and laws to navigate. Hunton & Williams partners Tom Murphy and Emily Burkhardt Vicente discuss the labor and employment considerations that companies should keep top of mind when thinking about hiring workers outside of the United States. View the 5-minute video here.