DOL Issues Final Rule on Fluctuating Workweek Method of Computing Overtime

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All Employers subject to the FLSA

EFFECTIVE

August 7, 2020

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The U.S. Department of Labor (DOL) recently issued a final rule that allows employers to pay bonuses or other incentive-based pay to salaried, nonexempt employees whose hours vary from week to week. Specifically, employers can pay bonuses, premium payments, or other additional pay, such as commissions and hazard pay, using the fluctuating workweek method of calculating overtime under the Fair Labor Standards Act (FLSA).

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Get Ready for July 1st Minimum Wage Increases

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As Indicated

EFFECTIVE

July 1, 2020, as indicated

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On July 1, 2020, minimum wage will increase in states and localities across the country. Although not a comprehensive list, the following are key areas to review.

California

  • Alameda: $15/hour.
  • Berkeley: $16.07/hour.
  • Emeryville: $16.84/hour;
  • Fremont: $15/hour (26+ employees); $13.50/hour (1-25 employees).
  • Los Angeles City and County: $15/hour (26+ employees); $14.25 (1-25 employees); $16.50/hour (LAX airport).
  • Long Beach (Hotel Industry): $15.47/hour.
  • Malibu: $15/hour (26+ employees); $14.25 (1-25 employees).
  • Milpitas: $15.40/hour.
  • Novato: $15/hour (100+ employees); $14/hour (26-99 employees); $13/hour (1-25 employees).
  • Pasadena: $15/hour (26+ employees); $14.25 (1-25 employees).
  • San Francisco: $16.07/hour.
  • San Leandro: $15/hour.
  • Santa Monica: $15/hour (26+ employees); $14.25 (1-25 employees).
  • Santa Rosa: $15/hour (26+ employees); $14/hour (1-25 employees).

Connecticut: $12/hour, effective September 1, 2020.

District of Columbia: $15/hour.

Illinois: $10/hour.

  • Chicago: $14.00/hour (21+ employees); $13.50/hour (4-20 employees).
  • Cook County: $13/hour.

Maryland

  • Montgomery County: $14/hour (51+ employees); $13.25/hour (11-50 employees); $13/hour (1-10 employees).

Minnesota

  • Minneapolis: $13.25/hour (101+ employees); $11.75/hour (1-100 employees).
  • Paul: $11.50/hour (101-10,000 employees); $10/hour (6-100 employees); $9.25/hour (1-5 employees).

Nevada: $8/hour (employers offering qualified health benefits); $9/hour (all other employers).

Oregon: $12.00/hour.

  • Portland Metro: $13.25/hour.
  • Nonurban Counties: $11.50/hour.

Note that several states and localities are looking to postpone minimum wage increases because of the toll COVID-19 has had on businesses. The cities of Hayward and San Carlos, California have already voted to delay their scheduled increase. Continue to look for updates on minimum wage increases until the July 1st effective date.

Action Items

  1. Prepare to update minimum wage rates in payroll systems.
  2. Notify employees of wage increases, if required.
  3. Display updated minimum wage posters in the workplace and provide posters to remote workers.
  4. Subscribers can call our HR On-Call Hotline at (888) 378-2456 for further assistance.

Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser.

© 2020 ManagEase

Department of Transportation Revises Trucking Rules, Allowing Longer Workday

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All Employers with Employees in Trucking Industry

EFFECTIVE

September 11, 2020

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The U.S. Department of Transportation (DOT) published a final rule updating the hours of service rules for commercial vehicle drivers.  Originally adopted in 1937, the hours of service rules specify how long commercial drivers are permitted to operate a vehicle.  A proposed rule was first published in August in 2019, and the final rule issued on May 14, 2020 contains four key changes:

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FLSA Retail/Service Establishment Overtime Exemption Rule Broadened

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All Employers subject to FLSA

EFFECTIVE

May 19, 2020

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(888) 378-2456

Qualified employees in retail and service establishments may be exempt from overtime pay if they meet certain requirements under the Fair Labor Standards Act (FLSA). The U.S. Department of Labor (DOL) recently issued a final rule clarifying which employers are considered retail and service establishments for purposes of using the overtime exemption.

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California: FAQ Provides Further Guidance on New Workers’ Comp Rule

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All Employers with CA Employees

EFFECTIVE

May 6, 2020

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On May 6, 2020, Gov. Newsom issued an Executive Order stating that employees are presumed to have contracted COVID-19 in the workplace for purposes of receiving workers’ compensation benefits if certain criteria are met. A few weeks later, the California Department of Industrial Relations (DIR) issued FAQs to further explain how the Executive Order will be applied. The FAQs confirm that all California employees who work at a jobsite outside their home at the direction of their employer between March 19, 2020 and July 5, 2020 and who test positive for COVID-19 within 14 days of working at their jobsite are presumed to have contracted any COVID-19-related illness at work for the purposes of awarding workers’ compensation benefits. There is no distinction between employees working in “essential” industries or providing “essential” services and those who are not.

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California: New FEHA Pre-Employment Rules Effective July 1st

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All Employers with CA Employees

EFFECTIVE

July 1, 2020

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The California Fair Employment and Housing Council (FEHC) recently updated regulations under the Fair Employment and Housing Act (FEHA), which are set to take effect July 1st. Specifically, the regulations impact pre-employment practices and discrimination standards.

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California: Updated Cal/OSHA Guidance on COVID-19 Safety Practices and Requirements

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All Employers with CA Employees in Certain Essential Industries

EFFECTIVE

May 5, 2020 and May 14, 2020

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Mandatory IIPP Changes

Cal/OSHA published updated Interim General Guidelines on Protecting Workers from COVID-19. Of particular note, the Guidelines state that “[f]or most California workplaces, adopting changes to their IIPP is mandatory since COVID-19 is widespread in the community.” California businesses are already required to have Illness and Injury Prevention Plans (IIPP) in place. Cal/OSHA is now saying that employers must incorporate infection control measures, including applicable and relevant recommendations from the Centers for Disease Control and Prevention (CDC), in their IIPPs. The Guidelines also published an extensive list of specific infection prevention measures and training topics for employers to implement.

While the Guidelines say that they do not “impose new legal obligations,” Cal/OSHA relies on the fact that COVID-19 is a workplace hazard, which is a topic covered by IIPP requirements. Employers are instructed to determine if COVID-19 infection is a hazard in their workplace and take action accordingly.

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Los Angeles, CA: City Issues Mandatory Worker Retention and Recall Orders

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All Employers with Los Angeles, CA Employees in Certain Industries

EFFECTIVE

June 14, 2020

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(888) 378-2456

The City of Los Angeles issued two new orders mandating employers in certain industries to retain or rehire employees.  The Right of Recall Ordinance and Worker Retention Ordinance are intended to help return furloughed and laid-off workers in hard-hit industries affected by the city and state shelter-at-home orders, including workers at the Airport, in the Hospitality Industry, and those who provide services to Commercial Property.

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Oakland, CA: Citywide Emergency Paid Sick Leave Adopted

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All Employers with Oakland, CA Employees

EFFECTIVE

April 1, 2020

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(888) 378-2456

Oakland joins Los Angeles, San Jose, and San Francisco in enacting citywide emergency paid sick leave.  The Emergency Paid Sick Leave for Oakland Employees Ordinance went into effect immediately upon signing, and applies retroactively to workers providing services since February 3, 2020.

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Colorado: Return-to-Work Guidance Addresses COVID-19 Anti-Discrimination Rules

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All Employers with CO Employees

EFFECTIVE

April 27, 2020

QUESTIONS?

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Colorado’s statewide “Safer at Home” order currently remains in effect, with recent updates permitting select opening capacity for restaurants, children and sports camps, and private campsites.  As the Executive Order has been extended, employers should pay attention to provisions concerning reasonable accommodations and anti-discriminations contains therein.  In an effort to address concerns about returning to work, the Colorado Department of Labor and Employment (CDLE) released a Paid Leave and Unemployment FAQ, and Colorado Civil Rights Division (CRD) followed up with Guidance on the Safer at Home Executive Order for Employers and Employees.

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