As many large employers in California have experienced, it is all too common to have separate employees file duplicative PAGA actions in separate courts covering the same alleged claims on behalf of the same group of employees. PAGA, of course, refers to the Private Attorneys General Act—a unique California law that allows an employee to
The FTC Ban on Non-Compete Agreements Is Still Taking Effect in September for Most Employers
As we previously reported, in April of this year, the Federal Trade Commission (“FTC”) issued a final rule regarding non-compete agreements. The FTC’s rule operates as an almost complete ban on such agreements. Unless enjoined by a court, the rule is scheduled to take effect on September 4, 2024. Since April, several lawsuits have been…
California Healthcare Worker Minimum Wage Hikes Delayed
Last year, California enacted a law (SB 525) raising the minimum wage for many healthcare workers to as much as $25 per hour. The minimum wage hikes were scheduled to take effect June 1, 2024. However, California has a huge budget deficit, which makes compliance with the increased wages a challenge for the state. Because…
California Finally Adopts PAGA Reform Measures
California’s Private Attorneys General Act (“PAGA”) was passed in 2007 and has operated primarily as a means to provide massive revenue to the state and to Plaintiffs’ attorneys. Over the past decade or so, the statute has been the predominant vehicle for shakedown lawsuits against employers. Virtually every year, certain business-minded legislators introduce bills to…
DOL Begins to Address Employers’ Use of AI
In October 2023, President Biden issued an Executive Order regarding the “Safe, Secure, and Trustworthy Development and Use of Artificial Intelligence” and directed federal agencies to issue guidance on the increased use of Artificial Intelligence (“AI”). With regard to the use of AI in the workplace, the Order directed the U.S. Secretary of Labor to…
Federal Salary Threshold to Be Exempt From Overtime Is Increasing
On April 23, 2024, the federal Department of Labor (“DOL”) issued its final rule on the salary threshold for the executive, administrative, and professional exemptions under the Fair Labor Standards Act. The rule provides for increases in minimum salary required for these types of employees to qualify as exempt from overtime pay requirements under federal…
Federal Trade Commission Bans Non-Compete Agreements
On April 23, 2024, the Federal Trade Commission (“FTC”) issued a final rule regarding non-compete agreements. The FTC’s rule operates as an almost complete ban on such agreements. Unless enjoined by a court, the rule will become effective 120 days after its publication in the federal register.
In short, the rule prohibits agreements that directly…
Supreme Court Clarifies Test for Evaluating a Transfer Under Title VII
Earlier today, the U.S. Supreme Court unanimously held that a plaintiff may sue under Title VII for an alleged discriminatory transfer even when the transfer does not result in a change in title, salary, or benefits. The case—Muldrow v. City of St. Louis—was filed by a police sergeant who alleged that she was…
Court Decision Shows That Employers Can Still Issue Discipline for Workplace Marijuana Use or Impairment
Employers in many jurisdictions across the country are dealing with laws that prohibit adverse actions against employees who use marijuana, whether for recreational or medicinal purposes, away from the workplace and during non-working hours. A recent appellate court decision in one of the more marijuana-friendly states, Connecticut, reassures employers that they do not have to…
California Reminder: Workplace Violence Prevention Plans Due by July
Last fall, California enacted a new law (SB 553/Labor Code 6401.9) requiring almost all employers to implement a workplace violence prevention plan. Employers are required to have a plan in place by July 1, 2024. Cal/OSHA recently published guidance on the requirements as well as a model plan template that employers may use as a…