With 2025 now upon us, so is a slew of new laws and regulations that will affect California businesses. Last year was a busy legislative session in addition to a rash of important rule-making. The end result is another round of new legislation that California employers need to stay on top of.
1. ‘Captive audience’ meetings barred
Starting Jan. 1, California employers are prohibited from requiring employees to attend “captive audience” meetings where the employer shares its opinions on political or religious matters. This includes topics such as unionization, legislation, elections, or religious affiliations. Employers are also barred from retaliating, discriminating, or taking any adverse action against employees who opt out.
The law applies broadly to most employers, but does include some exceptions, including religious organizations, political organizations, and educational institutions providing relevant coursework. Employers who violate SB 399 could face significant consequences, including a civil penalty of $500 per employee, per violation.
2. ‘Egregious’ offenders
Cal/OSHA is working on new rules, expected to take effect in 2025, that would step up enforcement and penalties against California employers that commit “egregious” and “enterprise-wide” workplace safety violations.
A business cited for an egregious violation could be fined up to $158,000 “per instance,” meaning it can be applied for each employee exposed to the violation. Violations that could be considered egregious include:
- The employer intentionally making no reasonable effort to eliminate a risk.
- The employer has a history of one or more serious, repeat, or willful violations.
- The employer intentionally disregarded its health and safety responsibilities.
3. Expanded paid sick leave
Two bills expanded the use of paid sick leave, starting Jan. 1. The more far-reaching measure, AB 2499, expands current state law that allows employees who are victims of crime or abuse to take time off for court appearances, treatment, and various other reasons. The new measure also expands the use of paid sick leave to cover certain “safe time” absences for issues like:
- Domestic violence,
- Sexual assault,
- Stalking, or
- Violence, brandishing a weapon, or making threats of physical injury or death.
AB 2499 also permits workers to take time off to help family members who are victims of a crime.
The second measure, SB 1105, allows agricultural workers to use accrued paid sick leave to avoid wildfire smoke, excessive heat, or flooding conditions. The measure states that this is a clarification that existing law allows workers to take sick days for preventive care.
4. Freelance Worker Protection Act
Starting this year, California’s Freelance Worker Protection Act imposes new requirements on businesses hiring freelance workers for professional services worth $250 or more. The law requires employers to provide freelancers with a written contract outlining key details, including the services provided, payment amounts, and deadlines for compensation. If no payment date is specified in the contract, freelancers must be paid no later than 30 days after completing their work.