July 3, 2024 On April 23, 2024, the employment industry was rocked by the Federal Trade Commission’s (“FTC”) announcement of a rule called the “Non-Compete Clause Rule.” With some important exceptions, the impact of this rule is to prohibit U.S. employers from including non-compete clauses in employment agreements. Below we will discuss the basic parameters of the rule, its potential
Alert: The FTC Non-Compete Ban Explained
April 26, 2024 On April 23, 2024, the employment industry was rocked by the Federal Trade Commission’s (“FTC”) announcement of a rule called the “Non-Compete Clause Rule.” With some important exceptions, the impact of this rule is to prohibit U.S. employers from including non-compete clauses in employment agreements. Below we will discuss the basic parameters of the rule, its potential
Alert: California Law Renders Noncompete Agreements Virtually Unenforceable
By Adam Nathaniel Arce As of January 1, 2024. California has placed further restrictions on when a California employer can enforce a noncompete language in either a noncompete agreement, or as part of a larger contract. Additionally, employers with preexisting noncompete agreements must notify employees that these agreements are no longer valid. Here is what you need to know. What
Alert: San Francisco Employer Annual Reporting Requirements: Health Case Security Ordinance and Fair Chance Ordinance
All employers covered by San Francisco’s Health Care Security Ordinance and/or the Fair Chance Ordinance are required to submit a 2022 Employer Annual Reporting Form by May 1, 2023. The Health Care Security Ordinance (“HCSO”) applies to employers who have employees who work, either in person or remotely, within the geographic boundaries of San Francisco, and who have 20 or
Alert: What California Employers Need to Know About Mandatory Arbitration Agreements Following Chamber of Commerce v. Bonta
On February 15, 2023, the Ninth Circuit Court of Appeals issued its decision in Chamber of Commerce of the United States of America et al. v. Bonta et al. (9th Cir. No. 20-15291), which invalidates California Assembly Bill (AB) 51. This case is the latest development in the long-running litigation over whether California may prevent employers from requiring arbitration agreements
Alert: Pay Data Reporting, Pay Scales, and How SB 1162 Applies to Your Business
By Adam Nathaniel Arce The California State Senate passed Senate Bill 1162 (“SB 1162”), which modifies the CA Government Code and the CA Labor Code to create new requirements for Employers (large and small) to report, maintain, and/or post information relating to an employee’s pay and pay scales. Pay Data Reporting – Employers with 100 or more employees Government Code
ALERT: The Critical Importance Of Timely Paying Your Arbitration Fees Under The California Arbitration Act
By Connor M. Day Employers frequently require employees to sign arbitration agreements as a condition of their employment. In 1961, the California Legislature enacted the California Arbitration Act (“CAA”), codified in Code of Civil Procedure §§ 1280 – 1294.4, as a way to protect the rights of private parties to resolve their disputes through the “efficient, streamlined procedures” of arbitration.
Alert: An Employer’s Guide to Suitable Seating Compliance
By Julie Ann Giammona Most of California’s Industrial Welfare Commission (IWC) wage orders require that employees “shall be provided with suitable seats when the nature of the work reasonably permits the use of seats.” In 2016, for the first time, the California Supreme Court interpreted the IWC requirements to mean that employers must provide seats if any tasks at a
ALERT: SENATE BILL 331: SILENCED NO MORE
By Julie Ann Giammona Commencing January 1, 2019, California employers were prevented from including provisions in severance agreements that prohibited an employee from disclosing facts about workplace harassment and discrimination based on gender. Effective January 1, 2022, Senate Bill 331(SB 331), expands such prohibition to include the disclosure of facts related to claims of harassment or discrimination on the basis
ALERT: Wage Theft Equals Grand Theft
On September 27, 2021, Assembly Bill No. 1003 (“AB 1003”) was signed into law. AB 1003 makes the intentional “theft of wages” from an employee a form of “grand theft”, punishable by Penal Code Section 487m. Importantly, AB 1003 defines employee to include independent contractors, and employer to include the hiring entity of the independent contractor, expanding the scope of
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