California Employment Law Update – September 2018

Reminder of Employees’ Right to Copy Their Employment Records

On September 17, 2018, California Governor Jerry Brown signed legislation (S.B. 1252) reminding employers that according to Cal. Labor § 226, employees have the right to inspect and receive a copy of their employment records, upon reasonable notice to the employer, but within no more than 21 calendar days of an employee’s request. This bill is not a change to current law but is declaratory of existing law.

According to Cal. Labor § 226, employees have the right to receive a copy of their written, itemized wage statement, which must show all of the following:

• Gross wages earned.
• Total hours worked by the employee.
• The number of piece-rate units earned and any applicable piece rate if the employee is paid on a piece-rate basis.
• All deductions; however, those made on written order of the employee may be aggregated and shown as one item.
• Net wages earned.
• The inclusive dates of the period for which the employee is paid.
• The name of the employee and only the last four digits of his or her Social Security number, or an employee identification number other than a Social Security number.
• The name and address of the legal entity that is the employer.
• If the employer is a farm labor contractor, the name and address of the legal entity that secured the services of the employer.
• All applicable hourly rates in effect during the pay period and the corresponding number of hours worked at each hourly rate by the employee.
• If the employer is a temporary services employer, the rate of pay and the total hours worked for each temporary services assignment.

The deductions made from payment of wages must be recorded in ink or other indelible form, properly dated showing the month, day, and year, and a copy of the statement and deductions must be kept on file by the employer for at least three years at the place of employment or at a central location within the state.

Failure to allow a current or former employee to inspect or receive a copy of his or her employment records within 21 calendar days entitles the current or former employee or the labor commissioner to recover a $750 penalty from the employer.

See CA S.B. 1252

Mediation, Confidentiality, and Disclosure

On September 11, 2018, California Governor Jerry Brown signed legislation (S.B. 954) requiring that attorneys involved in a mediation provide their client with a printed disclosure detailing the confidentiality restrictions involved with a mediation. In return, the attorney must also obtain a signed, printed acknowledgement of understanding from the client. This disclosure and acknowledgement must be completed prior to entering mediation; however, these requirements do not apply to class or representative actions.

This law was enacted to ensure clients are aware of the confidentiality and admissibility restrictions involved in mediations prior to entering the dispute resolution process.

The law is effective January 1, 2019.

Read CA S.B. 954