As we entered the year 2021, new mandates for California workplaces had been rolled out by the state.
Make sure you’re aware of them to protect and prepare your business and employees. Here are detailed explanations for the new workplace laws that are officially in the books this 2021:
Summary: Requires employers to alert employees when they might have been exposed to a worker who tested positive for COVID-19.
What’s new: The existing law requires companies to alert workers when equipment that constitutes an imminent hazard to employees is dangerous to use. This bill recognizes new hazards present and requires employers to inform their employees when they may have been exposed to a colleague that tested positive for COVID-19 within a business day.
Why is it needed: Assembly Member Eloise Reyes argued that the state needs to create a system for reporting coronavirus cases to get the pandemic under control. Reyes said this bill creates guidelines for employers when they have to inform their employees that someone within the company tested positive with COVID-19.
The California Labor Federation, a sponsor of the bill, said people are beginning to realize that the state is currently not ready to handle the pandemic demands and that this is a clear regard for worker safety.
The labor union also said that the lack of reporting of workers for COVID-19 has caused a rising number of cases with no end in sight.
Summary: Expands on the list of contract workers who are exempted from an existing law that classifies them as full-time workers.
What’s new: AB-5, which was entered into the law books in 2020, required employers to reclassify independent contractors as employees. Workers in some industries who are exempted from such include health care professionals, commissioned salespeople, and barbers.
The AB-2257 expands on the list of contract workers who are exempted by AB-5. The list now includes those who are involved in creatives, marketing, promotions, and distribution of musical compositions. This new law also exempts musicians or bands from a single concert.
Why is it needed: California Assembly Member Lorena Gonzalez said she spoke to freelance workers about how AB-5 impacted their work and saw the need for the new law to be implemented.
The Recording Industry Association of America supported this bill because it addresses the pain points experienced by many of those in the music industry such as artists, songwriters, composers, producers, and other roles within the industry.
Summary: Requires corporations that are located in the state to meet the minimum requirement for the board directors and include members from underrepresented groups.
What’s new: The current law requires a corporation to have at least one woman on its board of directors and people from underrepresented groups.
Underrepresented groups or communities are described in the legislation as those who identify as Black, African American, Hispanic, Latino, Asian, Pacific Islander, Native American, or Alaska Native, and those who identify as LGBTQ.
The first violation is a fine of $100,000, while the second violation is $300,000.
Why is it needed: California Assembly Member Chris Holden, the author of the bill, said that despite corporations publicly supporting diversity, the state is not seeing an increase in diversity within companies.
Holden said AB-979 would address the ethnic pay gap, promote board diversification, and retain employees through company culture and development.
The California Hispanic Chambers of Commerce said they support the bill because the company board of directors does not reflect the state’s diversity.
The Chinese for Affirmative Action also supported the bill because research shows that Asian Americans are often overlooked when deciding on management and executive-level positions on the corporate board.
Now that you know the new workplace laws, you need to ensure that your business is ready to comply and remain secure no matter what happens. Rest assured, CIII Insurance Services is here to assist you and your employees when it comes to all your business insurance needs.
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