The director of California’s Department of Finance has certified that the state’s minimum wage will increase from $16 per hour to $16.50 per hour for all employers as of January 1, 2025. Companies with operations in California should also be aware of specific minimum wages for fast food employees (described here) and healthcare workers (described
Wage & Hour Developments
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Ride-Hail Drivers Lack Standing Under California’s PAGA to Intervene in Overlapping PAGA Case
On August 1, 2024, the California Supreme Court issued a ruling in Turrieta v. Lyft, Inc., to address whether a party can intervene in another party’s ongoing Private Attorneys General Act (PAGA) action that asserts overlapping claims. In an opinion authored by Justice Martin J. Jenkins, the court held that granting such authority to a party…
Ninth Circuit Confirms De Minimis Doctrine Applies to Overtime Claims and Reverses District Court Judgment on Boot Up and Shut Down Pay
On July 10, 2024, the United States Court of Appeals for the Ninth Circuit issued an Opinion in Cariene Cadena v. Customer Connexx LLC reversing the U.S. District Court for the District of Nevada’s summary judgment ruling in favor of employer Customer Connexx (Connexx), holding that triable issues of material fact remained as to whether…
California Supreme Court Upholds Proposition 22
In 2020, the California voters passed Proposition 22 (Prop 22). Prop 22 allows for the classification of app-based drivers (who meet certain conditions) as independent contractors rather than employees. As a result, many app-based drivers (implicated by Prop 22) are not covered by California’s workers’ compensation laws because such laws apply to employees and not…
Minimum Wage Increase and Other New Requirements for Renton Employers
The city of Renton, Washington, finalized rules to implement Initiative 23-02 on May 31, 2024. The initiative was approved by Renton voters in February 2024 and codified within Chapter 5-28 and Section 5-5-4 of the Renton Municipal Code (the Ordinance). The Ordinance sets new labor standards for Renton employers, including a higher minimum wage, requirements…
Minimum Wage for California Healthcare Workers Delayed…Again…Until at Least October 15, 2024
As we previously reported here and here, California Governor Gavin Newsom signed into law SB 525, which provides a tiered approach for minimum wages for the state’s healthcare workers. The law was first supposed to go into effect on June 1, 2024, and was delayed until July 1, 2024. Due to continued budgetary issues…
California New Agreement on Private Attorneys General Act (PAGA) Reform
On June 18, 2024, California Governor Gavin Newsom announced an agreement to reform PAGA. As background, the California Fair Pay and Employer Accountability Act sought to make changes to PAGA through a November 2024 ballot initiative. Currently, PAGA allows allegedly aggrieved employees to file lawsuits to recover civil penalties on behalf of themselves, other…
Recent District of Arizona Opinions Divided Regarding Judicial Approval of Fair Labor Standards Act Settlements
Recent opinions issued in the U.S. District Court for the District of Arizona over the past few months—namely, Hoffman v. Pride Security LLC, 2024 WL 579072; Stanfield v. LaSalle Corrections West LLC, 2024 WL 2271869; and Rainford v. Freedom Financial Network LLC, 2024 WL 2942715 —have taken a divided approach regarding judicial approval of settlements under the…
Minimum Wage in Certain California Localities to Increase July 1, 2024
As reported here, as of January 1, 2024, California’s state minimum wage increased to $16 per hour for all employers. This minimum wage rate applies to all employees, subject to a few limited exceptions (including additional requirements for certain specific industries such as fast food and healthcare).
California employers operating in certain localities…
New York State Budget Brings Employment-Related Developments
The recent passage of the New York state budget brought with it a range of employment-related developments, as well as the notable omission of an expected change. These include the following:…