Law #1: Payroll Tax Hike
California is enacting a new payroll tax for all businesses with employees. This new tax is to help California pay back the Federal Government for $20 Billion in debt that California accrued paying out unemployment benefits that California did not have the money to pay. California paid out billions in unemployment and did not have the money to do so. California was able to pay out those billions because the Federal Government lent Billions to California. Sadly, much of those benefits were wasted on fraudulent claims. Now, the Federal Government is requiring that California pay back the Billions spent on unemployment benefits.
To help pay back the money already spent, California has decided to enact a $21 dollars per employee as a payroll tax, with the amount increasing by $21 per year each year.
Law #2: Sick Leave Benefits for Crime Victims
California is now requiring (not an option) that businesses allow crime victims to take time off as “sick leave” to recover from the trauma of crimes.
As many employers may already know, under California Law, Labor Code Section 230.2 states that an employer shall allow an employee who is a victim of a crime (or any immediate family member, registered domestic partner, or child of a registered partner) in order to attend any judicial proceedings related to that crime.
The law defines family quite broadly. Family includes spouse, child, stepchild, brother, stepbrother, sister, stepsister, mother, stepmother, father, or stepfather. The law also defines a victim as to any of the following crimes, a violent felony, serious felony or felony involving theft or embezzlement.
So, if someone were to break into someone’s car and steal say $1,000 of stuff, then that would be a qualifying crime.
The employer can demand under Labor Code 230.2 that the employee give the employer a copy of each scheduled proceeding that is provided to the victim by the agency giving the notice (unless advance notice is not feasible). The employer cannot penalize the employee for the unscheduled absence as long as the employee gives documentation within a reasonable time.
The employee can choose to use any paid time off for this time off as a crime victim and the employer must pay any available time off benefits. Or, alternatively, if the employee does not choose to use their time off, then the employee can have unpaid leave.
If an employee alleges they were discharged, threatened with discharge, demoted, suspended, or in any other manner discriminated or retaliated against for being a crime victim they have 1 year to file a claim under Labor Code Section 98.7.