Key Changes in California Employment Law in 2019

Wage and Hour Reforms

In 2019 California broadened overtime eligibility, requiring employers to pay time-and-a-half after eight hours in a workday and double time after 12 hours, regardless of salary level. The state also tightened the definition of exempt versus non‑exempt employees, making it harder for employers to classify workers as exempt without meeting both salary and duties tests.

Expanded Leave Entitlements

The California Family Rights Act (CFRA) was amended to increase the covered employee threshold from 50 to 75 employees, aligning it with the federal FMLA and extending leave rights to more workers. Additionally, the Healthy Workplace Healthy Family Act expanded paid sick leave accrual to one hour per 30 hours worked, with a minimum balance of 24 hours that can be carried forward.

New Anti‑Discrimination Measures

AB 5, effective January 2020 but legislated in 2019, codified the "ABC test" for classifying independent contractors, limiting misclassification. The law also added protections for workers based on sexual orientation, gender identity, and gender expression, requiring employers to provide reasonable accommodations for transgender employees.

Workplace Safety and Harassment

SB 1343 mandated that all California employers develop a written sexual harassment prevention policy and conduct mandatory training for employees and supervisors by October 2020. The law also required employers to post clear reporting procedures and maintain records of complaints.

Table: Major 2019 California Employment Law Changes