Governor Gavin Newsom signed California’s Senate Bill 1162, a pay transparency law aimed at identifying pay disparities based on gender, ethnicity, and race, on September 27, 2022. The bill expands employers’ obligations to report pay data and requires certain employers to disclose salary ranges for employees and positions available to applicants.

Continue Reading California Governor Signs New Pay Data and Salary Disclosure Bill

On September 5, 2022, California Governor Gavin Newsom signed the Fast Food Accountability and Standards Recovery Act (FAST Recovery Act or A.B. 257). The FAST Recovery Act creates the Fast Food Council, responsible for establishing minimum standards for employees in the fast-food industry, including establishing minimum wages, working hours, and other working conditions related to health and safety in the fast-food industry. The FAST Recovery Act will take effect on January 1, 2023, and will become inoperative on January 1, 2029.

Continue Reading California’s FAST Recovery Act Establishes a Council With Broad Authority to Set Standards for Fast Food Workers

Employers with Michigan employees should remain vigilant to the likelihood of profound changes to the state’s wage-and-hour laws, including a new sick leave obligation, an increase in the minimum wage to $12.00 an hour, and a phase-out of the tipped employee wage classification. Pending the outcome of current litigation, these changes could take effect as soon as February 21, 2023.

On July 19, 2022, the Michigan Court of Claims[1] in Mothering Justice v. Nessel held that the state legislature’s amendment of two 2018 ballot initiatives was unconstitutional. The initiatives are the Improved Workforce Opportunity Wage Act (IWOWA) (the minimum wage law) and the Paid Medical Leave Act (PMLA), formerly the Earned Sick Time Act. Mothering Justice is currently stayed until February 20, 2023. On August 5, 2022, the Michigan attorney general filed a joint motion for expedited appeal. The Michigan Court of Appeals—and perhaps the state Supreme Court—will decide whether the IWOWA and the PMLA must be enacted as originally submitted to the legislature or as the legislature later amended them.

Continue Reading Michigan Wage and Hour Laws on the Move?

Determining an employee’s overtime rate of pay can be tricky. The U.S. Department of Labor (DOL) recently found an employer owed over $1 million in back wages to employees in California and Kentucky for violations that included miscomputation of overtime pay rates. The employer failed to account for certain bonuses earned by nonexempt workers, and therefore paid overtime rates that were too low.

Continue Reading Giving a Nondiscretionary Bonus? Check the Regular Rate Calculation

On May 23, 2022, the California Supreme Court issued a seminal opinion in Naranjo v. Spectrum Security Services, Inc., which found that employees can recover penalties for failure to timely pay wages at termination and failure to provide accurate itemized wage statements based on untimely paid or unreported meal and rest period premiums. Prior

Among employers’ efforts to stay on top of numerous wage and hour issues, the rules surrounding child labor have long been considered irrelevant by many large employers because persons under age 18 did not make up a significant segment of their workforce. With acute labor shortages throughout the United States leading to more job openings than job seekers, particularly at the entry level, this is changing. On March 29, the U.S. Department of Labor (DOL) issued a press release to highlight some of its recent investigations and remind employers of regulations and limitations related to the employment of youth.
Continue Reading Department of Labor Warns Employers to Know the Rules for Putting Minors to Work

The state of California’s current minimum wage is $15.00 per hour for employers that have 26 or more employees and $14.00 per hour for employers that have fewer than 26 employees. However, California cities and counties routinely implement their own minimum wage requirements and five such localities—Pasadena, Los Angeles County, the City of Los Angeles, Emeryville, and San Francisco—will be increasing their minimum wage rates, effective July 1, 2022
Continue Reading Five California Localities Raise Minimum Wage Rates Effective July 1, 2022

In February 2022, the United States District Court for the Eastern District of California denied defendant park operators’ motion to dismiss in part, finding that plaintiffs adequately pleaded joint defender liability along with their claims for meal and rest break violations, but granted without leave to amend plaintiffs’ claims for minimum and overtime wages and inaccurate wage statements. Plaintiffs’ second amended complaint alleges, among other things, that the “spread-out structure” of defendants’ facilities and the “practice of understaffing these facilities” impeded plaintiffs from taking rest breaks, that defendants did not schedule sufficient employees to relieve nonexempt employees during their meal and rest breaks, and that plaintiffs “often” worked overtime hours, but were not paid for all overtime hours worked.
Continue Reading Eastern District of California Finds Joint Employer Liability Sufficiently Alleged and Permits Meal and Rest Break Claims to Proceed

This month the United States Department of Labor (DOL) issued a press release announcing its Warehouse and Logistics Worker Initiative (Initiative). See https://www.dol.gov/newsroom/releases/whd/whd20220208-1. The purpose of the Initiative is to increase the DOL’s scrutiny of the warehouse and logistics industry’s practices. Specifically, the Initiative is focused on ensuring that workers:

  • Receive all legally earned wages, including minimum wage and overtime pay;
  • Work in an environment safe from harassment and retaliation; and
  • Are not prevented from taking legally protected leave.


Continue Reading Department of Labor Announces Initiative to Monitor Warehouse and Logistics Worker Pay