As of January 1, 2025, several new employment laws took effect in California:
- Minimum Wage Increase: Effective January 1, 2025, California’s statewide minimum wage increased from $16.00 to $16.50 per hour for all employers, regardless of size. This also means that the new state salary basis threshold for most California exemptions will increase to $68,640 per year ($5,720/month). Additionally, fast food employees now have a minimum wage of $20.00 per hour. Other cities within California may have established higher minimum wage rates. For example, effective January 1, 2025, the City of Los Angeles’ minimum wage was increased to $17.28 per hour and the City of West Hollywood increased its minimum wage to $19.65 per hour.
- California Worker Freedom from Employer Intimidation Act (SB 399): Employers cannot require their employees to attend meetings or participate in communications where the employer expresses its views on religious, political, or union-related matters, also referred to as “captive audience meetings.” Employees have the right to refuse to attend or participate in such meetings or communications without fear of discharge, discrimination, retaliation, or any other adverse action. Violations may result in statutory penalties of $500 per employee for each violation.
- Driver’s License Requirement Restrictions (SB 1100): California Fair Employment and Housing Act (FEHA) is amended to prevent discrimination against individuals who may not possess a driver’s license by making it unlawful for employers to require that job applicants must possess a driver’s license unless driving is an essential function of the job and alternative transportation methods are not feasible.
- Paid Family Leave (AB 2123): It is unlawful for employers to require employees to use up two weeks of accrued vacation before receiving California’s Paid Family Leave (PFL) benefits. Employees can now access PFL benefits without first exhausting their vacation time.
- Anti-Discrimination Laws (SB 1137): California’s anti-discrimination statutes now explicitly prohibit discrimination based on the intersection of two or more protected characteristics and clarifies that unlawful discrimination can occur due to any combination of protected characteristics, not solely individual ones.
- Expanded Time off for Victims of Violence (AB 2499): Broadens definition of “victim” and employees are also now permitted to take protected time off to assist family members who are victims of specified crimes. Employees can use their paid sick leave for reasons related to being a victim of crime or abuse, or to support a family member who is a victim. This includes taking time off for medical attention, counseling, or legal proceedings.
- Freelance Worker Protection Act (SB 988): Hiring parties must provide written contracts to independent contractors in the private sector who are paid at least $250 for their services, also defined as freelance workers. Freelance workers must be paid on or before the date specified in their contract or, if no date is specified, no later than 30 days after completion of services. It is unlawful for hiring parties to retaliate against freelance workers who exercise their rights under the Act.
- Indoor Heat Illness Prevention: Employers are required to implement enhanced protections for indoor workers exposed to higher temperatures (equals or exceeds 82 degrees Fahrenheit), such as providing water, rest, cool-down areas, temperature monitoring, training and heat illness prevention plans.
- Workplace Violence Prevention: Employers are required to implement comprehensive workplace violence prevention plans. This aims to ensure a safer work environment for all employees.
