SUBSCRIBE TO PRM TODAY

Unemployment Insurance

On July 24, 2017, California Governor Jerry Brown signed legislation (A.B. 1695) repealing the law that permitted employers of domestic service workers to file reports of wages by telephone. The law also makes it a violation for any business entity to procure counsel advice, or coerce anyone to willfully make a false statement or representation, or to knowingly fail to disclose a material fact to lower or avoid any unemployment insurance contribution or to avoid being or remaining subject to specified provisions of the unemployment insurance law. Existing law authorized an additional penalty to be assessed if any person or entity fails to report amounts of paid remuneration for personal services and exempted assessments imposed from this penalty; however, A.B. 1695 deletes that exemption.

The law is effective January 1, 2018.

Read CA A.B. 1695

Criminal Background Checks, Sole Proprietors, and School Districts

On July 21, 2017, California Governor Jerry Brown signed legislation (A.B. 949) delineating that sole proprietors of an entity contracting with a school district are employees of that entity for background check purposes. Under such contract, employees providing any of the following services might have contact with pupils and therefore must submit their fingerprints to the Department of Justice for a background check:

  • School and classroom janitorial.
  • School-site administrative.
  • School-site grounds and landscape maintenance.
  • Pupil transportation.
  • School-site food-related.

The law is effective January 1, 2018.

Read CA A.B. 949

San Francisco Parity in Pay

On July 19, 2017, San Francisco Mayor Ed Lee signed the Parity in Pay ordinance prohibiting employers in the city and county of San Francisco from the following:

  • Inquiring about an applicant’s salary history.
  • Refusing to hire or disfavor, injure, or retaliate against an applicant for not disclosing his or her salary history.
  • Considering or relying on an applicant’s salary history in determining whether to hire the applicant or establish salary upon hire.
  • Releasing a current or former employee’s salary history without his or her written authorization, unless disclosure is required by law, is part of a publicly available record, or subject to a collective bargaining agreement.

The ordinance also covers job placement agencies, referral agencies, and other employment agencies. However, the City, local, state, and federal employers are not covered. The ordinance includes posting, enforcement, and penalty provisions.

The ordinance is effective July 1, 2018.

Read the ordinance