California Civil Rights Department Publishes Disability Accommodations at Work Fact Sheet
The new Fact Sheet addresses issues such as requesting accommodations, providing medical information, the interactive process, and safety accommodations after a qualifying act of violence.
Mid-Year Locality Minimum Wage Increases for Nonexempt Employees Effective July 1, 2026
Although state-wide and some municipality minimum wages increase at the beginning of each calendar year, employers in some industries and localities are subject to mid-year minimum wage increases. Effective July 1, 2026, several California municipalities increase their minimum wages. This week’s legal update provides information regarding those changes.
Reminder to Provide Annual Notice Regarding Rights of Victims and/or Survivors of Qualifying Acts of Violence and Related Obligations
Among other requirements, and at least annually since July 1, 2025, employers must provide employees with notice of their rights under California laws addressing victims and survivors of qualifying acts of violence. As we approach the one-year anniversary of the California Civil Rights Department’s model Survivors of Violence and Family Members of Victims Right to Leave and Accommodations notice, this is a good reminder for employers to refresh their knowledge regarding these rights and obligations and to provide annual notice to employees.
Reminder for Employers to Review and Update Workplace Violence Prevention Plan and Provide Annual Training
Since July 1, 2024, most California employers have been required to maintain a Workplace Violence Prevention Plan and provide related training at least annually. As we approach the two-year anniversary of this requirement, employers should review and update their plan (as appropriate) and provide annual training to employees.
California Court Clarifies When Employers Have Knowledge of an Employee’s Disability for Purposes of the Fair Employment and Housing Act
California law prohibits discrimination in the workplace vis-à-vis an employee’s “known” disability. A California appellate court recently clarified the standards that apply in the context of disability discrimination, failure to engage in the interactive process, and failure to reasonably accommodate where an employee engages in conduct that might be the result of a mental disability, but could be the result of other factors, and the employee has not disclosed the existence of a disability.
California Court Addresses Respondeat Superior Tort Liability Under the “Going and Coming” Rule in the Context of Remote/Hybrid Work
As a result of the COVID-19 pandemic, work environments have changed significantly. Prior to 2020, remote and hybrid work was an exception to the general concept that employees perform work at an employer’s workplace or other jobsite away from the employee’s home. Since then, however, remote and hybrid work has become ubiquitous, extending across industries and occupations. With that change, courts must evaluate existing legal principles in a new context. Last month, a California appellate court did that with regard to employer liability for employee torts committed when traveling from a home office to an employer jobsite. In doing so, the court reaffirmed the legal standard for respondeat superior and the “going and coming rule” and considered facts relevant to the analysis.
California Civil Rights Department Publishes Religious Discrimination and Accommodations Fact Sheet and Ninth Circuit Addresses Undue Hardship Defense in Context of COVID-19 Vaccines
Both California and federal laws prohibit religious discrimination and require reasonable accommodations unless doing so would create an undue hardship. This week, the United States Court of Appeals for the Ninth Circuit addressed the undue hardship defense under federal law in the context of COVID-19 vaccines. In addition, the California Civil Rights Department published a Fact Sheet to assist employers in understanding their obligations and ensure compliance regarding religious discrimination and accommodations under California law.
California Court Confirms Unpaid Interns Have Standing to Pursue Claims Under the Fair Employment and Housing Act, Even When Doing So as Part of a School Program
Many entities operate intern programs. Some, particularly educational institutions, do so without pay. Because of the potential risk of claims for unpaid wages and penalties, employers should always consult with legal counsel before engaging the services of anyone, even interns, without pay to ensure compliance with local, state, and federal wage and hour laws. However, a recent appellate court decision highlights another issue for consideration when engaging interns, specifically, potential liability for harassment, discrimination, and/or retaliation. Attempting to “provide needed clarity,” the California Court of Appeal for the Fourth Appellate District confirmed that unpaid interns have standing to pursue such claims under the Fair Employment and Housing Act and that they maintain standing even when part of a school program and even when working offsite if the entity offering the internship supervises and/or controls the intern’s work.
California Court Clarifies Standard for Determining Whether an Individual is a Volunteer or Employee When Performing Services on Behalf of a Nonprofit Organization
Many nonprofit organizations utilize the services of volunteers. A California court recently clarified the questions employers must ask when determining whether that classification is appropriate or whether the individual should be categorized and paid as an employee under California’s wage and hour laws.
Upcoming Deadline to Designate Emergency Contact Under California Workplace Know Your Rights Act
Employers have until March 30, 2026, to provide employees with an opportunity to name a designated emergency pursuant to the Workplace Know Your Rights Act.
2026 Minimum Compensation for Exempt Licensed Physicians/Surgeons and Computer Software Engineers
In addition to minimum wage increases, with the new year employers must increase minimum compensation for licensed physicians/surgeons and computer software professionals who are exempt from overtime.
California Labor Commissioner Publishes Template Workplace Know Your Rights Act Notice to be Provided to Employees by February 1, 2026
Consistent with legislation enacted in 2025, employers must provide employees with a Workplace Know Your Rights Act Notice on or before February 1, 2026. The Labor Commissioner has now published the template notice, which is available in both English and Spanish for employers to distribute. Additional languages will be added in the future. Employers must also provide employees with an opportunity, on or before March 30, 2026, to designate an emergency contact and to indicate whether that contact should be notified in the case of an arrest or detention while working and/or at the worksite.
Employee with Mistaken Legal Theory May Pursue Labor Code Section 1102.5 Whistleblower Retaliation Claim if the Employee Reasonably Believes the Employer’s Conduct was Unlawful
In a case that went from a jury verdict in favor of the employee to a judgment notwithstanding the verdict in favor of the employer, a California appellate court held this month that an employee could prevail on a whistleblower claim pursuant to Labor Code section 1102.5(b), notwithstanding the fact that the underlying conduct about which the employee claimed was not unlawful, because the employee had reasonable cause to believe the employer’s conduct violated the law, shared his concerns about the perceived violation with his employer, and was terminated for doing so.
“Stay or Pay” Employment Agreement Provisions Prohibited in the New Year
Effective January 1, 2026, subject to limited exceptions, California will prohibit contractual terms that require employees to repay an employer for a debt if their employment ends. Failure to abide by these prohibitions for contracts entered into in the new year may subject employers to civil liability.
Updated Guidance for Employers Regarding 2025 Reporting Obligations for Qualified Tips and Qualified Overtime Compensation Under the One Big Beautiful Bill Act
As summarized in a prior legal update, the federal One Big Beautiful Bill Act impacts employers in a variety of ways. On November 5, 2025, the Internal Revenue Service and US Treasury Department provided updated guidance regarding employer reporting obligations for the 2025 tax year.
California Employers Should Begin Preparing for Wage Increases in the New Year
California’s minimum wage will increase on January 1, 2026, which will impact the minimum salary required for certain white collar exemptions and the minimum pay rate required for certain collective bargaining agreement exemptions.
Employers Have New Obligations Regarding Employee Personnel Files in 2026
Effective January 1, 2026, Senate Bill 513 adds “education or training records” to the category of personnel records that employers must make available to employees or their representatives and specifies the information that must be included as part of those education or training records.
Appellate Court Clarifies Correct California Sick Pay Calculation for Exempt Employees, Including Outside Sales Employees
Reaching a different conclusion than the California Division of Labor Standards Enforcement had reached in an October 2016 opinion letter, a California appellate court concluded this summer that employees who qualify under the outside sales exemption should be paid sick leave pursuant to the Healthy Workplaces Healthy Families Act of 2014 in the same manner used to calculate sick pay for other exempt employees, including those classified pursuant to the administrative, executive, and professional exemptions. In doing so, the court explained that the statutory language of California’s paid sick leave law is unambiguous and “‘exempt employees’ includes [employees] . . . who are exempt from overtime wages,” including those classified under the outside sales exemption.
California Appellate Court Rules That, Although Coworker’s Off-Duty Conduct Was Not Imputable to Employer, Employer’s Response to Complaint May Establish a Cognizable Claim for Harassment
Last month, the California Court of Appeal for the Fifth Appellate District held that, although the employer was not liable for harassment based on a coworker’s off-duty conduct unrelated to work, the employee nevertheless stated a cognizable claim against the employer—and could proceed with litigation on both the harassment and failure to prevent harassment claims—based on its response to the employee’s harassment complaint.
Governor Newsom Signs New Bills Into Law Impacting California Employers
Earlier this week and, in some instances, earlier this past summer, California Governor Newsom signed into law several bills that will take effect on January 1, 2026. This legal update provides a summary of some of the laws that will impact California employers.