Checking Back in on 2022 California Labor Laws. Are you in compliance?
As we wind down from our beginning of the year to-do list, it is now time to look at what the State of California is now requiring for employers in regards to changes in employment law for 2022. Let’s take a look at some of the more relevant changes:
- Minimum Wages Increases – Effective January 1,2022, the minimum wage for the employees in the State of California was increased to $15.00 per hour ($14.00 per hour for employers with 25 or fewer employees). In addition, the minimum monthly salary for California exempt employees was increased to $5,200 or $62,400 on an annual basis.
- Meal and Rest Period Premiums Must be Paid at the “Regular Rate” rather than the base rate of Pay – The California Supreme Court ruled that premium payments for missed meal periods, rest breaks, and recovery periods must be paid at the employee’s “regular rate of pay”, instead of their base hourly rate. This ruling is retroactive so employers may face liability for the previously legal practice of paying premiums at the base rate of pay.
- Record Retention Requirements Lengthened –Previously, employers were required to maintain personnel records for two years. The new law lengthens that requirement to four years. If litigation has been filed, records must be maintained until the applicable statute of limitations has run, or until the conclusion of the litigation, whichever occurs later.
- In-Laws included in the California Family Rights Act – AB 1033 amends the California Family Right Act to include parents-in-lawn the type of “family members’ for which an employee can take leave. We encourage every employer to update their family leave policies and employee handbooks to include this change.
The State of California has a wonderful way of keeping employers on their toes when it comes to changing employment law. Our goal is to try and keep you updated to keep you compliant. For more information regarding employment law change, visit this site: Link