Now that Governor Gavin Newsom’s September 30th deadline to approve or veto legislative bills has passed, California employers can begin preparing for the new laws that will affect their workplaces next year. The recent legislative session has yielded strengthened protections for workers in a diverse array of subject areas, including but not limited to union organization, freelance work, anti-discrimination, paid family leave, and artificial intelligence. The new laws go into effect January 1, 2025. To help employers stay ahead of the curve, we have highlighted the most significant employment laws signed into law below. We encourage employers to consult with legal counsel to ensure compliance.Continue Reading California employment law legislative update: What employers need to know for 2025
California adopts intersectionality into anti-discrimination laws
On September 27, 2024, California Governor Gavin Newsom signed Senate Bill (SB) 1137 into law, clarifying that discrimination can happen based on an intersection or combination of protected characteristics. Specifically, SB 1137 amended the Unruh Civil Rights Act, the Education Code, and the Fair Employment and Housing Act (FEHA) to extend protection against discrimination by including the concept of “intersectionality”.
Back in February 2024, California State Senator Lola Smallwood-Cuevas introduced SB 1137, which aimed to make California the first state to explicitly recognize “intersectionality” in anti-discrimination laws. Smallwood-Cuevas notes in her April 15, 2024, press release that “[d]iscrimination transcends singular dimensions”, and that SB 1137 “is common-sense reform that addresses the intersectionality of discrimination cases, providing greater protections for Californians, especially those from our most marginalized communities of color.”Continue Reading California adopts intersectionality into anti-discrimination laws
California Supreme Court upholds Prop 22: California gig drivers to remain contractors
On July 25, 2024, the California Supreme Court ruled in the case of Castellanos v. State of California that Proposition 22, also known as App-Based Drivers as Contractors and Labor Policies Initiative, is constitutional. The statewide ballot measure from 2020 exempts certain app-based drivers from California’s independent contractor classification law. This decision will significantly impact ongoing gig economy litigation as well as potential future litigation.
In 2021, drivers for services including Uber Technologies Inc., Lyft Inc. and DoorDash Inc., joined with the Service Employees International Union and its California chapter to challenge Proposition 22. The drivers and union claimed that the voter-approved ballot measure passed in November 2020 must be struck down because it infringed on the California legislature’s power to set workers’ compensation laws. During the May 2024 oral arguments in San Francisco, the justices appeared skeptical of the drivers’ position, expressing concerns about the chilling effect on future ballot initiatives and questioning why the legislature simply could not create new workers’ compensation laws in response. The court concluded that Article XIV, section 4 of the California Constitution does not limit the ability of California voters to enact laws through the initiative process that touch on workers’ compensation, rendering Prop 22 constitutional.Continue Reading California Supreme Court upholds Prop 22: California gig drivers to remain contractors