List of New Laws Affecting Businesses in 2009

The California Chamber of Commerce released a list of new laws scheduled to take effect in 2009 or earlier that will impact businesses in California.
The following is a list of new laws that have recently gone into effect or will take effect in 2009:

Family and Medical Leave Act
The U.S. Department of Labor published the final version of the Family and Medical Leave Act (FMLA) regulations pertaining to military families and qualifying exigencies. Importantly, among numerous, significant changes, the regulations define what a “qualifying exigency” is for purposes of qualifying for up to 12 weeks of FMLA leave. Families with active military personnel may now be eligible if their situation meets one of the new qualifying exigencies: short notice deployment, attendance at official military events or activities, arranging or providing childcare, attending school or daycare meetings, handling financial and legal matters, and rest and recuperation visits when the soldier is on leave.

Invalid Waivers
A bill amended Labor Code 206.5 making null and void the execution of any release on account of wages due. Employers who violate this law are guilty of a misdemeanor. The new law -- effective Jan. 1, 2009 -- adds the following language: “For purposes of this section, ‘execution of a release’ includes requiring an employee, as a condition of being paid, to execute a statement of the hours he or she worked during a pay period, which the employer knows to be false.”

Temporary Employees
Wages for employees of temporary services employers shall be paid weekly or daily if an employee is assigned to a client on a day-to-day basis or to a client engaged in a trade dispute. This requirement does not apply to employees who are assigned to a client for over 90 consecutive calendar days unless the employer pays the employee weekly. Failure to do so can result in civil and criminal penalties.

Political Speech
In July 2008, the president of the National Labor Relations Board (NLRB) issued guidelines to employers concerning employee participation in political advocacy activities and providing guidance to employers as to when disciplinary actions for these activities may be appropriate.
The memorandum provides that:
• Non-disruptive political advocacy for or against a specific issue, related to a specifically identified employment concern that takes place during employees’ own time and in non-work areas, is protected;
• On-duty political advocacy for or against a specific issue, related to a specifically identified employment concern is subject to restrictions imposed by lawful and neutrally applied work rules;
• Leaving or stopping work to engage in political advocacy for or against a specific issue, related to a specifically identified employment concern may also be subject to restrictions imposed by the employer.

Workers’ Comp Injury Reporting
Labor Code section 6409.1 was amended to change the reporting of work related injuries and illnesses. Currently, form 5020 must be filed with the Division of Labor Statistics and Research (DLSR) within five days of an incident. Once the regulations are finalized, insured employers must file a form as prescribed by the Division of Workers’ Compensation (DWC) with the DWC, and self-insured employers must use a new, yet to be created, electronic form within the time specified by the DWC. Amended reports following a death must now be filed with the DLSR instead of the DWC. Insurers must use a new, yet to be created, electronic form with the DWC.
The bill specifies that regulations must be created to implement these changes, which will not go into effect until the regulations are finalized.

Nutritional Information for Chain Restaurants
A new law requires chain restaurants with 20 or more facilities in California to post nutritional information. Beginning July 1, 2009, to Dec. 31, 2010, each facility must disclose nutritional information or calorie count information about the food it serves. Nutritional information includes, but is not limited to, all of the following, per standard menu item, as that item is usually prepared and offered for sale:
• Total number of calories;
• Total number of grams of carbohydrates;
• Total number of grams of saturated fat; and
• Total number of milligrams of sodium.

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