Tamara L. Harper Labor and Employment Law Blog on Lawyers.com

CHECKLIST TO HELP CALIFORNIA EMPLOYERS COMPLY WITH NEW LABOR LAWS

The beginning of the year is a good time for all employers to review their policies and practices to be sure they comply with any new legal requirements and to consider necessary changes. Here’s a labor law checklist to help employers comply this year.

[     ]     Review and Update Employee Handbook

• Employers who have not recently updated their handbooks should review them now to be sure they have included changes that took place in the past year, such as paid family leave benefits.  Employers with only 50 employees should also update their handbooks that reflect new rules that make sexual harassment training mandatory for supervisors.

[     ]     Review All Policies and Practices to Ensure Compliance with Labor Law

• While the last few years have shown reform to the “sue your boss” law, employees who meet the law’s administrative and procedural requirements can still sue their employers for damages for Labor Code violations.  Consider hiring labor and employment counsel to audit all policies and practices for Labor Code Compliance.

[     ]     Wages

• Legislation effective January 1, 2006 will permit the payment of a final check by automatic payroll deposit, provided the employee has previously authorized automatic payroll deposits.  You must still comply with the laws relating to timely payment of final wages.

[     ]     Leaves of Absence

• The policy covering leave for bereavement should be updated to include domestic partners.

• Vacation policy should be modified help you state in clearer terms how vacation accrues. In addition, text regarding the Mandatory Use of Vacation should be updated to include a new Division of Labor Standards Enforcement (DLSE) ruling regarding mandatory use of vacation.

[     ]     Company Property

• Include Prohibited Use of Company Cell Phone While Driving policy in handbook.

[     ]     Employee Conduct

• Camera phones have become increasingly popular, raising questions about employee privacy and company security.  To protect your interests, and your employee's expectations of privacy in the workplace, a Using Camera Phones policy should be implemented.
• An important new ruling may impact your use of non-compete agreements both in California and in other states.  Carefully review employee documents and contracts drafted in other states that apply to employees now working in California for restrictive covenant clauses.  It is recommended that you consult with legal counsel before using a non-compete agreement with an employee who may eventually work in California
• The National Labor Relations Board (NLRB) issued a ruling on broadly worded confidentiality policies in employee handbooks[1].  Contact labor/employment law counsel to ensure compliance.
• Review your employee handbook policy to be sure it is not overly broad and does not prohibit or discourage employee activity that is protected by state or federal law.
• You may prohibit the disclosure of proprietary information, trade secret information or other information that is subject to a legal privilege.

[     ] Review all Posters and Pamphlets

• Employers should review company posters and pamphlets to be sure they are current.

[     ]     Provide Sexual Harassment Prevention Training

• Employers with 50 or more employees must provide all supervisory employees with at least two hours of classroom or other interactive training or education regarding sexual harassment.

• The training should be interactive and must be provided by a qualified trainer with knowledge and expertise in the prevention of harassment, discrimination and retaliation and must include specific items.

[     ]     Review Employee Classifications

• Wage and hour class action lawsuits continue to plague employers in California and nationwide.  Employers should annually audit their classification of employees as exempt or non-exempt to determine if employees are properly classified.  Examine each employee’s actual job duties. Review and revise job descriptions, if necessary, to reflect each employees actual job responsibilities.

[     ]      Obtain New COBRA Forms

• The US Department of Labor issued new text and forms for employers with employees inside and outside of California and nationwide, mainly dealing with notice requirements. These forms are mandatory. Many forms are available online at www.hrcalifornia.com.

¿    [     ]     Post Log 300

•       Employers who are subject to Log 300 Cal/OSHA requirements are required to prepare Form 300A at the end of each year.  Form 300A summarizes the workplace injuries and illnesses occurring at the company during a calendar year.  The revised form includes a space to include hearing loss cases.  The new version is available online at www.hrcalifornia.com.

¿     [     ]     Comply with New Criminal Background Check Laws

• For employers who must do background checks that include criminal offender records, beginning on July 1, 2005 the State Department of Justice will only accept fingerprint images transmitted electronically.

[1]  An employee handbook that includes a broad confidentiality policy or restricts reasonable employee speech violates federal labor law.

The National Labor Relations Board (NLRB) rejected a policy that included "violating confidence or unauthorized release of confidential information" as among behaviors that could result in disciplinary action. The NLRB ruled that the handbook content violated federal labor law because employees could reasonably understand it to restrict discussion of wages and other terms and conditions of employment with fellow employees and the union.  (Cintas Corp., 344 NLRB No. 118 (June 30, 2005)

California Law contains similar language that prohibits employers from implementing policies that limit the employee's right to discuss wages and working conditions.  (CA Labor Codes sections 232, 232.5)

Harper & Associates, P.C. gives piece of mind to business entrepreneurs who desire to protect their assets, ideas, and wealth by showing them how to limit their liability exposure, register and protect their intellectual property, and hold property in trust.  Tamara L. Harper, Esq. assists small to mid-size companies in the real estate, bio-tech, restaurant, and service industries with initial formation, business sale or acquisition, and investor capitalization in addition to registering and defending intellectual property rights. As an Attorney and Registered Investment Advisor, Ms. Harper reviews your existing estate planning and brings it up to date in order to limit exposure and maximize wealth using her unique knowledge.                                                          © 2007 Harper & Associates, P.C.

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