Governor Newson recently signed into law several bills that will impose new requirements on employers. Unless specifically noted below, each of these new laws take effect on January 1, 2025, and some will require immediate changes to Employee Handbooks and company policies. Please contact your attorney at Hill Farrer if you have questions regarding the summaries below.
Assembly Bill (AB) 2499 – Employee Victim-of-Violence Leave Protections
Under the new law, employers are prohibited from retaliating or discriminating against employees because of their or their family member’s status as a victim of violence or for taking time off to engage in the legal process or obtain medical treatment related to the violent crime. Additionally, protections under California’s Fair Employment and Housing Act and paid sick leave are expanded under the new law to cover absences related to violence.
Employers will be required to provide reasonable accommodations to any employee who is, or who has a family member who is, a victim of crime, including the implementation of safety measures to protect the employee from further harm while at work. Employers must also update their handbooks and provide their employees with notice of their rights under the new law at the time of hire, annually, and upon request. The California Civil Rights Department will publish a form notice by July 1, 2025.
Senate Bill (SB) 1137 – Combined Characteristics Discrimination
California and federal laws already prohibit workplace discrimination and harassment based on numerous protected characteristics, such as race, age, religion, sex, gender, etc. The new law will amend the California Fair Employment and Housing Act among other laws, to prohibit discrimination or harassment based on a combination of protected characteristics. In particular, the new language provides that protected employees include: (A) any combination of protected characteristics; (B) a perception that a person has a characteristic or characteristics within protected categories or a combination of those characteristics; and (C) a perception that a person is associated with a person who has or is perceived to have a protected characteristic or combination of protected characteristics.
Assembly Bill (AB) 1815 – Revisions to the CROWN Act
This new law amends the definition of “race” in the anti-discrimination provisions of the California Government Code as well as the definition of “protective hairstyles.” The new definitions may recast existing, formerly lawful company restrictions on hair styling as unlawful discrimination. Accordingly, employers should review and revise, if necessary, their anti-discrimination policies and employee handbooks to comport with the new definition of race to ensure compliance with state anti-discrimination laws.
Senate Bill (SB) 1100 – Driver’s License Discrimination
The new law makes it an unlawful employment practice under California’s Fair Employment and Housing Act to include statements about the need for a driver’s license in job advertisements, postings, and applications unless: (1) the employer reasonably expects driving to be one of the job functions for the position; and (2) the employer also reasonably believes that satisfying the job function using an alternative form of transportation (e.g., carpooling or walking) would not be comparable in travel time or cost to the employer.
Senate Bill (SB) 399 – California Worker Freedom from Employer Intimidation Act (Captive Audience Meetings)
The Act makes it unlawful for employers to require employees to attend mandatory meetings involving religious or political matters that convey the employer’s opinions. Under this new law, employers may not discipline or terminate an employee for not attending such meetings and must pay employees that refuse to attend if the meeting was scheduled during work hours. Employers that violate the new law face penalties of up to $500 per employee per violation.
Senate Bill (SB) 988 – Freelance Worker Protection Act
Starting January 1, 2025, an agreement between a hiring party and a freelancer must be in writing and include the following: (a) Names and addresses of both parties, (b) An itemized list of services, their value, and the compensation method, (c) Payment due dates or mechanisms for determining them, and (d) Due dates for the freelancer to report completed services. Once the freelancer has begun providing services the new law prohibits a hiring entity from demanding the freelancer accept less compensation or provides additional services beyond that originally agreed upon as a condition of receiving timely payment for services rendered.
Los Angeles County Fair Chance Ordinance for Employers (“FCOE”)
Earlier this year, the Los Angeles County Board of Supervisors passed the FCOE, which took effect on September 3, 2024. The new law imposes stricter rules on the use of criminal background information in hiring decisions in unincorporated Los Angeles County than those imposed by Los Angeles City’s Fair Chance Initiative for Hiring Ordinance and California’s Fair Chance Act. The new law applies to any employer that is located or doing business in the unincorporated areas of Los Angeles County and employs five or more employees anywhere, regardless of location.
The new law prohibits employers from discussing an applicant’s criminal history before the criminal background check is completed and considering an applicant’s criminal history older than seven years. When posting a job advertisement, an employer will be required to include notice that it intends to perform a criminal history review of any applicant. If an employer is legally required to deny applicants with specific criminal records, it will also be required to specify the legal provisions imposing that restriction in the advertisement. The new law imposes additional restrictions on employers seeking to rescind conditional job offers based on the result of a criminal background review. Failure to abide by the new rules could result in fines of up to $20,000 per violation, as well as additional sanctions by the Los Angeles County Department of Consumer and Business Affairs, which could impact an employer’s business license.
Senate Bill (SB) 1105 – Sick Leave Expansion for Agricultural Employees
SB 1105 extends existing paid sick leave provisions under the Healthy Workplaces, Healthy Families Act of 2014, allowing agricultural employees to use paid sick leave when they: (i) work outside and (ii) request sick leave to avoid smoke, heat, or flooding conditions created by a local or state emergency, including for preventive care due to their work or such conditions.
Assembly Bill (AB) 2123 – Revisions to the Paid Family Leave Administration
The law eliminates an employer’s ability to require employees to use accrued paid vacation time before accessing California’s Paid Family Leave Program (“PFL”). PFL is a state-run program providing benefits to individuals taking time off to care for a seriously ill child, spouse, parent, or domestic partner, bond with a new minor child, or assist military family members under active duty. Previously, employers could require employees to take up to two weeks of accrued vacation before employees could access PFL benefits. Accordingly, employers should review and revise their policies concerning use of paid family leave and employee handbooks to reflect the changes enacted by this new law.
Call Hill Farrer for Further Questions
Please contact your Hill Farrer attorney or any member of our Labor and Employment department at (213) 620-0460 if you have any questions regarding how these legislative bills affect your business. We are available to review and revise your Employee Handbooks and policies to ensure that they comply with and accurately summarize new California laws.