As 2025 approaches, California employers must prepare for new laws that will significantly impact workplace policies and operations. Understanding these changes in the law is crucial to ensure compliance.
Knowing about these changes in advance can also help facilitate a smooth transition for you and your employees. Here we’ll take a look at just a few of the new laws.
Increased minimum wage
Starting on January 1, 2025, California will see yet another rise in the state minimum wage. The minimum wage will increase to $16.50 per hour for all employers, regardless of size. The increase in minimum wage also increases the minimum salary that must be paid to individuals who are classified as exempt under the executive, administrative or professional exemptions. The minimum annual salary must be two times the minimum wage, which is $68,640.00. Certain employees working in healthcare and in the fast food industry may be entitled to a higher minimum wage.
Anti-employer intimidation act
Senate Bill (SB) 399, or the California Worker Freedom from Employer Intimidation Act, will also take effect on January 1. It prohibits employers from requiring staff to attend meetings or participate in communications that are primarily to convey an employer’s stance on religious or political matters.
New paid family leave rules
The new year will also usher in AB 2123, which prohibits employers from requiring employees to use up to two weeks of employer-provided vacation before they are eligible for paid family leave benefits. However, employees retain the option to use their vacation time voluntarily if they choose.
Limited driver’s license requirements
When the new year rings in, employers will no longer be allowed to require a driver’s license in their job postings unless driving is a bona fide occupational qualification. The revision in the law aims to reduce discrimination and ensure that job requirements are relevant to the position’s actual duties.
Having experienced legal guidance can help you comply with these changes while prioritizing continued smooth operations.
New protected status
Effective January 1, 2024, the Fair Employment and Housing Act (FEHA) is modified to prohibit discrimination based on the “intersection”(combination) of two or more protected traits. FEHA prohibits discrimination based on:
“Race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, genetic information, marital status, sex, age, sexual orientation, reproductive health decision making, or veteran or military status” includes any of the following:
(1) Any combination of those characteristics.
(2) A perception that the person has any of those characteristics or any combination of those characteristics.
(3) A perception that the person is associated with a person who has, or is perceived to have, any of those characteristics or any combination of those characteristics.
