Labor & Employment

Sacramento, Calif. – Hundreds of new California laws are about to go into effect starting January 1, 2025. As a Golden State manufacturer and employer, are you ready for the latest rules set on businesses?

As a CMTA-member exclusive benefit, continue to read for new laws, new trends and key legislative updates you need to be aware of as a California manufacturer.

New Laws Starting January 1, 2025

AB 2499 (Schiavo) Employment: Unlawful Discrimination and Paid Sick Days Victims of Violence

This bill, which goes into effect at the beginning of the year, requires California employers to start offering expanded protection for crime victims and their families. This new law amends several existing California statutes to provide greater protection for those impacted by crime and expands the scope of leave and accommodations provided to them.

This includes any employees who are victims or whose family members are victims of qualifying acts of violence. Employers are no longer allowed to require workers to use vacation time before they take paid family leave.

Employees are also entitled to take time off work to help a family member who has been a victim of violence. They are allowed to use sick time to help cover their absence.

Under a separate law passed in 2019 that is just now going into effect, the California Employment Development Department will be required to provide applications for family temporary disability insurance benefits in languages spoken by a “substantial number of non-English-speaking applicants.”

Employers should prepare to comply with these new requirements by updating employee handbooks with legal counsel and training HR and managers under the law.

SB 399 (Wahab) Employer Communications: Intimidation

 The second piece of legislation to be aware of as a business and employee is SB 399. This new law prohibits California employers from holding captive audience meetings or employer-sponsored meetings in which an employer communicates its views about religious or political matters.

California is the tenth state to ban these types of meetings.

SB 399 exposes companies of all sizes to liability for hosting or supporting political events and prevents employers from firing, retaliating against, or taking any other adverse action because an employee declined to attend an employer-sponsored meeting. This includes conversations about union representation.

How will you be impacted? Employees will be able to file complaints with the California Division of Labor Standards Enforcement or seek punitive damages. As a business, act quickly and carefully to review current policies related to workplace communications with your legal counsel, specifically those involving political, religious or union-related topics.

AB 2123 (Papan) Disability Compensation: Paid Family Leave

Another law that is affecting employee time off is AB 2123. Under this law, it is no longer legal for employers to require employees to use up accrued vacation time before they can access their benefits under California’s Paid Family Leave Program, also known as PFL benefits.

Employees can use their state-provided PFL benefits to care for a seriously ill family member, bond with a new child (newborn or foster/adoption), or participate in a qualifying event related to active duty service.

Now is the time to review leave of absence and vacation policies in employee handbooks. This new law may also impact companies in San Francisco with the city’s Paid Parental Leave Ordinance (PPLO).

AB 2515 (Papan) Menstrual Products: Perfluoroalkyl and Polyfluoroalkyl Substances (PFAS)

AB 2515 expands the scope of an existing law that goes into effect on January 1, 2025. That law bans the manufacturing, selling, or delivery of any cosmetic product that contains intentionally added PFAs. AB 2515 similarly bans PFAS but is specific to menstrual products.

Under the new law, the Department of Toxic Substances Control is forced to establish regulations by 2029 that will prohibit the presence of any PFAs above a certain limit.

The bill creates a rigid framework for California’s manufacturers who do not intentionally add the chemical in question to their products.

Starting on January 1, 2027, manufacturers will need to register with the department to certify these new standards of operations at their facilities. The department will also have to list accepted testing methods for regulated PFAs on its website. By July 1, 2029, manufacturers will need to be in compliance or face financial penalties.

Bills CMTA is Tracking Through the Legislature

CMTA plans to bring forth AB 52 (Grayson) in front of the legislature once again in 2025. Investing in a manufacturing tax credit is the only way to encourage manufacturing growth. AB 52 is a tax credit bringing California in line with 38 other states that cover the taxes on qualified manufacturing purchases.

CMTA’s Government Relations Team is preparing for additional legislation on PFAs in consumer products, legislation promoting circularity, and extended producer responsibility obligations, and various proposals associated to climate change, energy, and labor and employment.