5 Steps for California Employers to Prepare for 2022

January 13, 2022
Posted by: FLORES
Categories: Accounting, Business Strategy

Here are 5 steps employers should be preparing for this year in 2022

Update employee handbooks to comply with AB 1033 which expanded the definition of family members covered under the California Family Rights Act.

Adds parents-in-law to the definition “parent” to qualify
Employers with 5 or more employees to comply with the CFRA
Employers must provide up to 12 weeks of unpaid protected leave during any 12 month period
Family members covered under CFRA was expanded under SB1383. It no longer just includes a spouse, a parent or a child, but employees can now take leave to care for grandparents, grandchildren, siblings or domestic partners with a serious health condition

Review new hire packets and documents to ensure employees are receiving all required documents, and the most current versions of the required documents.

California employers are required to provide certain information and forms to new hires. For example, California employers are required to provide non-exempt employees with certain information upon hire as required by the Wage Theft Protection Act.

Exempt employees – review and update salary to ensure minimum threshold is paid.

With the increase in the state minimum wage on January 1, 2022, the equivalent of two times the minimum wage (25 employees or less) equals $58,240. Two times the minimum of $15 per hours for large employers (26 employees or more) to qualify for white collar exemptions.It is important to note that the salary basis test is set according to the California state minimum wage, not the applicable minimum wage that may apply in the various local city and counties in California.

Update severance agreements to ensure they comply with recent developments.

AB 331 was approved by Gavin Newsoom in October 2021, and it provisions applies to employment agreements (specifically severance agreements, settlements agreements, or a release of claims) entered into on or after January 1, 2022. AB 331, known as the “Silenced No More Act,” amends Code of Civil Procedure Section 1001 and prohibits settlement agreements filed in “a civil action” or a complaint in “an administrative action” from preventing the disclosure of factual information related to the claim. This applies to claims for sexual harassment, as well as workplace harassment, discrimination, or retaliation based on any other protected characteristic under California law.

Begin preparing in order to meet the March 31, 2022 deadline for California’s payroll reporting requirement.

California employers will need to comply with the March 31, 2022 deadline to report certain payroll data to the Department of Fair Employment and Housing (DFEH). Yes, it’s the beginning of the year, but for large employers, they should begin the process of gathering this information at the beginning of 2022 in order to meet the March deadline. As a reminder, SB 973, passed in September 2020 that created a new obligation for California employers to annually submit pay data report to the DFEH

Read full article here – https://www.californiaemploymentlawreport.com/2021/12/five-steps-for-california-employers-to-prepare-for-2022

If you have any questions or need help to ensure you comply with all of California’s employment regulations and laws give me a call I’d be happy to assist you in any way I can.