For many employers, the end of calendar year is spent on typical end of year exercises that are necessary in preparing for tax time, such as making sure W-2’s are accurate, and that compensation packages and bonuses are properly taxed. However, it is also important for employers to be ready for the many changes in California’s employment law statutes. Many of the changes that were enacted into law earlier this year will take effect beginning January 1, 2016.
With that said, this post will highlight a few of the changes that will affect employers.
Proper use of e-verify authorizations – California law will now prohibit the use of e-verify, the federal electronic employee verification system, to randomly check the authorization status of current employees or job applicants, except where federal law requires it or when an employer is in the process of extending an employment offer.
DMV reports for ride sharing services – California law will also require ride sharing services such as Uber and Lyft to participate in the DMV’s “pull notice system” which will enable such companies to check the driving records of a participating driver, regardless of if he or she is an employee or independent contractor.
Protection of successor grocery store employees – Beginning January 1, non-unionized employees of grocery stores that are subsequently sold to a different entity are protected as the store changes ownership. Essentially, there is a 90 day grace period during the transition where these employees may not be discharged without cause; and when that period closes, the new employer must offer permanent employment to such workers.
If you have questions about how these or other changes to California law may affect your business, an experienced attorney can help.