Three new expansions of California law warrant employer considerations

Employers in California should carefully consider three new legal developments there.

1. California has restricted the use of nondisclosure agreements.

In California, employers may not include nondisclosure (confidentiality) provisions in settlement agreements involving allegations of sexual harassment or sex discrimination, or certain other sexual offenses (whether in the workplace or housing). See Senate Bill 820.

2. California has expanded its requirements for sexual harassment training.

Senate Bill 1343 has required sexual harassment training for most employers, effective January 1, 2020. Training is required for new hires, then again once every two years. California law also specifies particular topics that must be covered in the training.

3. California has expanded liability for discrimination.

Senate Bill 1300 has expanded liability for discrimination in a variety of ways. For example, the definition of sexual harassment has been expanded. Compared to federal law, California state law now provides that a single act of sexual harassment may itself be enough to be actionable, and further, under California law, the courts must now refuse to apply the stray remark doctrine. Additionally, this new California law creates the possibility of personal liability, in retaliation cases at least. Also, it limits the situations in which employers may require employees to sign a release and nondisparagement clauses, and limits an employer’s ability to recover its own costs and fees in litigation.

These are just some aspects of these new laws. California employers should carefully consider these new laws.

 

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