While some rang in the new year by toasting champagne and making resolutions, employers are scrambling to ensure that they are in compliance with the dozens of federal and state laws that went into effect on January 1, 2020.  Here are some of the most noteworthy:
 
  • Fair Labor Standards Act (FLSA) Overtime Provisions: This rule raised the standard salary level from $455 to $684 a week, making all employees who earn less than $35,568 annually-or some 1.3 million workers-eligible for overtime pay of at least time-and-a-half under the FLSA. 
  • Minimum Wage for Government Contractors: The applicable hourly minimum-wage rate for many workers performing work on or in connection with federal contracts covered by Executive Order 13658, Establishing a Minimum Wage for Contractors, increased from $10.60 to $10.80. 
  • California Assembly Bill 5: More commonly referred to as AB5, this California law requires companies to reclassify independent contractors as employees, offering them health benefits and paid time off, among other forms of compensation. Workers are presumed to be employees under the new law; individuals performing work that is integral to the business can no longer be classified as an independent contractor. 
  • California Assembly Bill 51: This California law prohibits employers from requiring that new and existing employees agree to arbitrate any claim under the California Fair Employment and Housing Act (FEHA) or the Labor Code as a condition of employment. The new law does not affect arbitration agreements that were executed prior to January 1, 2020.* *On December 30, 2019, the U.S. District Court for the Eastern District of California granted a temporary restraining order prohibiting all enforcement of AB 51. The hearing on a motion for a preliminary injunction is scheduled for January 10, 2020. 
  • California Senate Bill 142: SB142 requires additional lactation accommodations in addition to the law already on the books that ensures a private location that is not a bathroom, including complete privacy a place to sit, a surface for a pump and access to electricity, a refrigerator and a sink. 
  • New Jersey Salary History Ban Law: No longer may candidates be subjected to questioning about how much they make, or at least not in New Jersey, where Assembly Bill 1094 will prohibit employers from asking applicants about salary history, including wages and benefits. 
  • Nevada Assembly Bill 132: Nevada became the first state to bar most employers from refusing to hire candidates for testing positive for marijuana in drug screening tests. 
  • Oregon's Employer Accommodation For Pregnancy Act: House Bill 2341 expanded the Oregon Fair Employment Practices Act by requiring that all organizations with at least six employees provide reasonable accommodations for those who have workplace limitations or medical conditions related to pregnancy or childbirth. 
  • Washington's Paid Family and Medical Leave: Eligible employees in the state of Washington are entitled to take up to 18 weeks of paid family and medical leave per year. 
Have questions about these new laws affecting your business?  Don't worry - we are here to help!
Back to News & Resources