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The new labor laws include issues of overtime pay, pregnancy leave, piece-rate pay, sick leave and more.
It is important for employers to know how the new federal overtime rules as well as new state and local paid-sick-leave laws will affect their HR policies and processes.
Employers should note that the state’s salary threshold is expected to exceed the FLSA’s once again in 2019. Jerry Brown recently signed a law that will gradually increase the state’s minimum salary for the overtime exemption. Some cities, including Los Angeles, San Francisco and Santa Monica, have new minimum-wage laws that went into effect on July 1, 2016.
Effective as of July 1, employers with 26 of more employees, must pay employees who perform at least two hours of work within the geographic boundaries of the City of Los Angeles within a particular week at least .50 for each hour worked.
Changes to the overtime provisions of the Fair Labor Standards Act (FLSA) finally went into effect in 2016.
For the first time in over 20 years, the threshold salary for exempt employees is higher under the FLSA than under California law.
Siegel spoke earlier this year at a concurrent session at the Society for Human Resource Management 2016 Annual Conference & Exposition.Since California doesn’t adopt the FLSA’s exemption for highly compensated employees, employers in the state shouldn’t rely on the federal rules.Additionally, although the FLSA allows employers to use certain incentive compensation to meet the minimum salary threshold, California law does not. While there have been dozens of new and recent labor laws that have been passed by the state of California and the federal government, there are a number that are of particular interest to California employers: Another issue that’s “flying below the radar is the proliferation of city minimum-wage laws,” Siegel said.Beginning December 1, 2016, the minimum salary for exemption under the FLSA will be ,476, and the threshold salary for highly compensated employees will be 4,004.However, compliance in California isn’t as simple as following just the new federal regulations.