Key Federal And State Employment Laws Every Employer Must Know

Navigating California’s complex leave and employment laws can be overwhelming for both employers and employees. From understanding leave entitlements like CFRA and FMLA to ensuring compliance with anti-discrimination laws, staying in the loop is vital to avoiding costly legal pitfalls. We’ll break them down for you in this chapter.

Federal Anti-Discrimination Laws And California’s Fair Employment And Housing Act (FEHA)

Federal anti-discrimination laws and the California Fair Employment and Housing Act (FEHA) are largely similar in their core principles, though there are some key differences.

Under federal law, anti-discrimination protections, primarily through statutes like Title VII of the Civil Rights Act, apply to employers with 15 or more employees. By contrast, FEHA applies to employers with five or more employees, offering a broader reach within California. Both sets of laws prohibit discrimination based on protected categories such as sex, race, religion, national origin, disability, and military status. However, California law includes additional protected categories beyond those covered under federal law, such as sexual orientation, gender identity, and gender expression.

In both systems, harassment and retaliation based on discrimination are prohibited, and the enforcement mechanisms are similar, although California tends to provide more expansive protections and remedies for workers.

The Family And Medical Leave Act (FMLA) And California’s Family Rights Act (CFRA)

The Family and Medical Leave Act (FMLA) and the California Family Rights Act (CFRA) offer similar protections but interact differently depending on whether pregnancy is a consideration.

Without Pregnancy

FMLA and CFRA both provide up to 12 weeks of unpaid leave for the employee’s serious health condition, for care of a family member, or for bonding after the birth or adoption of a child. These leaves run concurrently, meaning that if an employee takes leave under FMLA for one of these reasons, the time also counts against the 12 weeks of leave provided under CFRA.

With Pregnancy

In California, the Pregnancy Disability Leave (PDL) law provides up to four months of unpaid leave for pregnancy-related disabilities, which is separate from CFRA leave. During this period, the FMLA’s 12 weeks can run concurrently with PDL, covering part of the pregnancy disability.

After PDL is exhausted, the employee is then entitled to an additional 12 weeks under CFRA for baby bonding or if they need more time due to a health condition post-pregnancy. Under federal law, once the 12 weeks of FMLA are used, no further federal protections apply for bonding time, but under California law, CFRA extends further protection.

Scott Shibayama, founder of Vision Law®, has a proven track record of helping California businesses navigate complex employment laws, including federal anti-discrimination statutes and the California Fair Employment and Housing Act (FEHA). With years of experience assisting clients with employee classifications, disability accommodations, and leave compliance, Scott offers valuable insights to protect employers from costly legal disputes.

If your business needs expert guidance in managing California’s strict labor regulations, contact Scott today to discuss how Vision Law® can help you stay compliant and avoid potential pitfalls.

California’s AB 5 Law

California’s AB 5 law significantly impacts how businesses classify workers, especially small business owners who use independent contractors. Under AB 5, companies must adhere to stricter guidelines to determine whether a worker is an independent contractor or an employee. The law uses the ABC test to clarify the conditions a worker must meet to be legally classified as an independent contractor.

This means businesses need to be extra cautious when classifying workers as independent contractors. Misclassifying them can lead to serious legal issues, such as misclassification lawsuits, where a worker claims they should have been classified as an employee rather than an independent contractor.

If a worker is misclassified, they may argue that they were denied employee benefits, such as overtime pay, rest breaks, meal periods, and other protections. This can result in wage and hour claims or even Private Attorneys General Act or class action lawsuits, which can be incredibly costly. Without proper time records, you may be seriously disadvantaged as an employer in defending against these claims.

Americans With Disabilities Act (ADA) And California Workplaces

The Americans with Disabilities Act (ADA) applies to California workplaces with 15 or more employees, requiring employers to provide reasonable accommodations to employees with disabilities and to ensure that they are not discriminated against in the terms and conditions of their employment. The interactive process is a key component of ADA compliance, in which the employer must engage in open communication with the disabled employee to explore potential accommodations that would allow the employee to perform the essential functions of their job.

This interactive process also requires a good-faith effort to find a workable solution, whether that involves modifying job duties, adjusting work schedules, or making physical modifications to the workplace. Employees must still be able to perform the essential job functions, with or without reasonable accommodations.

California law, specifically under the California Fair Employment and Housing Act, closely mirrors the ADA but is broader in scope, applying to employers with five or more employees. Both laws protect employees from disability discrimination, but the challenge often lies in determining what constitutes a reasonable accommodation. For example, an accommodation might involve schedule changes or adjustments to job duties, but the employer is not required to make accommodations that would cause undue hardship to the business.

Failure to accommodate or engage in the interactive process can result in disability discrimination claims, potentially leading to costly lawsuits if the employee is terminated or otherwise adversely affected because of the employer’s failure to comply with these legal obligations.

Still Have Questions? Ready To Get Started?

For more information on Federal And California State Employment Laws, an initial consultation is your next best step. Get the information and legal answers you are seeking by calling  (855) 534-1490 today.