California employers are starting off the new year facing
unchartered waters from a regulatory perspective. Complicating
concerns over increased business costs, decreased revenues and the
threat of falling over the "fiscal cliff," employers
forecasting for 2013 recognize that an employment law Bermuda
Triangle has been created by the California Legislature, California
courts as well as federal and state agencies.
Notwithstanding potential obligations in 2014 regarding the
Affordable Health Care Act, the triangle in 2013 consists of new
legislation expanding employer obligations and incentivizing
litigation, case law creating ambiguities on operational compliance
measures and administrative regulations imposing additional
oversight measures.
Successfully navigating through these rough regulatory waters
requires employers to immediately implement risk prevention tools.
The following provides suggestive preventative measures for
employers to consider when proceeding forward into the new
year.
- Prepare Comprehensive Written Commission Agreements
- Implement Compliant Social Networking Policies That Are Enforced Properly
- Acknowledge Extension of Definitions of Various Protected Categories under the California Fair Employment and Housing Act (FEHA)
- Audit Wage Statements and Personnel Files
- Review the Usage of Criminal Background Checks
- Determine Whether There Is Compliance With The Recent Brinker Decision
- Prepare Concise Performance Reviews That Reach Objective, Non-Discriminatory Conclusions
The trend of increased legislation and regulation seeks to
continue in 2013 with the California Legislature and Governor Brown
working together on several pieces of legislation. The United
States Supreme Court's recent announcement of its review of the
Defense of Marriage Act and class arbitration issues in the Oxford
health plans case confirms that judicial decisions will also
dramatically affect the regulatory climate.
With the awareness of the new legislation, case law and
administrative decisions, coupled with the investment in
preventative practices identified above, employers can hopefully
avoid turbulent employee disputes and enjoy smoother waters in the
new year.
This article appeared on December 21, 2012 on Employment Law360.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.