California: Right to Rehire for Certain Workers Laid Off During Pandemic

A recently-passed bill requires certain employers in hospitality and business services-related industries to offer to rehire covered employees who were laid off during the pandemic. SB 93, signed on April 16, 2021, obliges employers to consider rehiring before engaging entirely new workers, and to notify former employees who were not rehired due to lack of qualifications.

The bill applies to businesses operating hotels or private clubs of 50 or more rooms, event centers of more than 50,000 square feet or 1,000 seats, airport hospital operations and service providers, and janitorial, building maintenance, or security services that provide professional services to office, retail, or commercial buildings.

Under SB 93, covered employers are required to first make a written offer within five days of establishing a position to any covered former employee who qualifies for the position. The offer must be delivered by mail to the worker’s last known address as well as electronic delivery (e.g., email and text message) if the employer has such information.

A former employee is covered by SB 93 if they were employed by the business for at least 6 months during calendar year 2019 and whose recent separation from employment was due to a COVID-19 pandemic-related reason such as a government shutdown order, lack of business, reduction in force, etc.

If the employer determines that the former worker is not qualified, the employer is required to provide written notice of the decision to the individual within 30 days. The written notice must contain the length of service of the individual(s) who were hired instead as well as any other reasons for the decision not to rehire.

Employers must keep records of layoff and rehiring decisions for at least three years, inclusive of the name, hire date, last known address, contact information, job classification at time of layoff, and copies of all communications regarding rehire.

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