Legislative Updates

Updated March 22, 2021

Most Recent: Legislative Update

• Governor Gavin Newsom signs SB 95

  • Governor Newsom signed SB 95 on March 19, 2021, which mandates that employers provide employees with supplemental paid sick leave for various COVID-related absences, including paid time off benefits employees receive by law or policy.

• California Family Rights Act (CFRA) Policy and Notice and Instructions

  • Contractors can access fillable CFRA policy and notice instructions at their convenience. Documents are for companies with 5-49 employees and 50 or more employees.

Financial Updates

• COVID Relief Bill: Changes to PPP Loans and New Lending Terms

  • Changes to the Paycheck Protection Program (PPP) are underway since the President signed the Consolidated Appropriations Act, which contains the Economic Aid Act, on December 27, 2020. Click the link above to read PPP loan updates and modifications and its tax treatment changes.

• FFCRA Sick Leave: 2021 Payroll Tax Credit

  • The required FFCRA leave ended on December 31, 2020, but employers can still claim its tax credit until March 31, 2021. This incentive is only applicable to employers who voluntarily provide FFCRA leave to their employees.

Employment Rules and Regulations

• DIR Employer Required Postings

  • All employers in the State of California are required to notify their employees of certain rights and/or obligations, such as posting some safety and health guidelines in areas easily accessible to employees.

• 2021 Minimum Wage Increase

  • Under California law, the state’s minimum wage will increase on January 1, 2021, to $14 per hour for employers with 26 employees or more and $13 per hour for employers with 25 employees or less.

• New California Employment Laws Summary

  • Since January 1, 2021, California employment laws related to COVID-19, the California Family Rights Act, and equal pay reporting have taken effect statewide.

• New Employer Regulations for 2021

  • The state of California passed several new pieces of legislation that have either recently gone into effect or will take effect on January 1, 2021. They will impact nearly all employers and affect how they handle COVID-19 related issues, leaves of absence, workers’ classification, discrimination disputes, arbitration agreements, union relations, and other issues.

Legislation Summaries and Information

• SB 1383: Unlawful Employment Practice: California Family Rights Act

  • Effective January 1, 2021, SB 1383 now includes any person who directly employs five or more persons to perform services for a wage or salary.

• AB 685: COVID-19: Imminent Hazard to Employees: Exposure: Notification: Serious Violations

  • On September 17, 2020, Governor Newsom signed AB 685, a new legislation that allows the state to track COVID-19 cases in the workplace more closely.

• AB 1867: COVID-19 Supplemental Sick Leave

  • Our lobbyist has received many questions regarding this law, so they prepared FAQ responses regarding AB 1867.

• SB 1159: Worker’s Compensation: COVID-19: Critical Workers

  • In May, Governor Newsom signed Executive Order N-62-20, which created a rebuttable presumption that certain employees who test positive for COVID-19 contracted the virus at work for workers’ compensation purposes.

Legislative Resources

• LAPFCA Legislative Report – July 2021

  • The California State Legislature has crossed the midway point of the 2021 Legislative Session. Legislators had until June 4th to move sponsored legislation out of their house of origin. Bills that did not clear that hurdle must be shelved for the year. Read the legislative bills and LAPFCA’s related stances here.

• LAPFCA Legislative Update – March 2021

  • The bill introduction period for the 2021 Legislative Session concluded on February 19th. Read the legislative bills and LAPFCA’s related stances here.

• LAPFCA 2020 End of Year Legislative Report

  • Despite the challenges faced in 2020, LAPFCA succeeded in many legislative areas. Learn how LAPFCA advocated for its member contractors by reading this report.