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News & Analysis
Latest legal news and recent law changes.

California’s 2023 Employment Laws: Altered Payroll Protocols

The year 2023 comes with many changes to California’s employment law and those changes can be organized generally into 6 distinct groups. This series of blog articles will overview new significant laws that will impact employers and employees. We begin with payroll matters here.

In 2017 the California minimum wage increased to $15.50 an hour due to SB 3. SB 3 also included a number of graduated wages increases each year, and this year is the last included in that schedule, with future increases limited to cost-of-living adjustments. Also, this is the first year the increased state minimum wage applies to all employers regardless of size. Municipalities may also set higher minimum wages if they elect to.

Last year’s SB-1162 increased California’s payroll reporting requirements for employers of 100 or more people. Previously, the federal government’s similar reporting requirement could be used to satisfy California’s version, however California now requires more data by categorizing employees by demographics and wage levels to a greater degree of specificity. SB-1162 also added regulations an employer’s hiring process by generally forbidding consideration of an applicant’s salary history and requiring disclosure of a position’s pay scale upon the request of an applicant.

The FAST Act has implications the minimum wage specifically for many fast-food restaurants but will be addressed in a separate blog post.

If you have questions or concerns about how these news reports may affect you or your business, please contact The Burton Law Firm at: 916-822-8700 or email info@lawburton.com for a consultation.

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