In California, a law exists to help regulate competition between different types of businesses: the California Unfair Competition Law (UCL). One of the main objectives of the UCL is to reduce the amount of false advertising that takes place in certain industries.
When was the last time your company offered management and/or employee training programs? It’s well known that these informative programs have both practical and legal significance for your business. When run correctly, these programs are vital, as they should be specific to addressing the needs of your business and its organizational mission.
The Practical Importance of Training Programs
It is important to understand the requirements and protections covering employee paychecks under California law. Employees have numerous rights and legal protections, with a myriad of laws protecting them. Employers must understand what is required to avoid running into legal problems, including class action lawsuits.
When Are Employees Entitled to Receive Their Pay?
In California, most employment is at-will. This means that employees may be fired or quit their job for almost any reason. Yet, there are times when a worker may be let go in California and be eligible to file a wrongful termination claim. Here are a few of the most common reasons for a wrongful termination claim under California law.
If a worker is employed with a company through an employment contract, it’s likely that the contract includes a clause about how the employer can only fire the worker for “good cause” or for specific reasons (such as use of illegal drugs or stealing from the company). If a worker is fired in violation of the terms of the contract, they may have a wrongful termination claim.
Running a business in California can be, for lack of a better term, tricky business. With a seemingly infinite number of employment-related laws, many of which oftentimes appear to contradict each other, many small, medium, and large sized business owners are often left with more questions than answers. Here, we break down some of the basic employment laws in California. For an in-depth discussion, reach out to experienced legal counsel.
Employees vs Independent Contractors
Perhaps one of the biggest employment issues in the state, the issue of whether a worker is an employee or is not, continues to plague employers – to the point of litigation.
California’s “Day of Rest” statute continues to plague employers, but a recent case brings with it some good news. Under California Labor Code section 550-558.1, an employer is prohibited “from ‘caus[ing] his employees to work more than six days in seven” unless “the total hours of employment do not exceed 30 hours in any week.”
According to a California Supreme Court ruling that just came down the pipe, employees must average no less than one day of rest for every seven over the course of a calendar month, giving even more work-scheduling flexibility to employers.
Prior to AB 2337, a law that expands the rights of certain employees, victims of domestic violence, sexual assault, and stalking were protected if:
- their employers retaliated against them,
- they took time off,
- they requested reimbursement for lost wages and work benefits, or
- sought equitable relief from the Division of Labor Standards Enforcement as it related to their abuse, assault, or stalking.
Things are changing, however, and, with the approval of AB 2337, victims now receive more extensive protection and information.
Overtime pay, or the alleged lack thereof, is an issue we regularly see pop up in the California courts. While California employers generally recognize that non-exempt employees (e.g. many hourly employees) who work overtime must receive overtime premiums on their base pay, not all are aware that these premiums may also be required on other, “supplemental” aspects of compensation to nonexempt employees. A common example? Bonuses.
Under the California Labor Code, employers are required to adhere to various wage and hour requirements for benefit of employees. Indeed, employers must provide employees with specific information concerning the wages they are paid, and failure to do so may result in legal penalties, including a potential wage and hour class action.
The California Labor Code Private Attorneys General Act (PAGA) authorizes aggrieved employees to file lawsuits to recover civil penalties on behalf of themselves, other employees, and the State of California for alleged Labor Code violations. In other words, PAGA gives a private citizen the right to pursue fines that would normally only be available to the State of California, thereby allowing a private citizen to act as an “attorney general”. Defending these claims can be time consuming and costly for employers, and a California appellate court recently made things even more challenging for business owners across the state when it affirmed that arbitration is not permitted for PAGA claims. Indeed, arbitration clauses are undergoing a change up in employment agreements across the state, read more here.