December, 2016 – January 2017

This month and next month have shaped up to be busy in terms of new regulations affecting employers. Here are short briefs on several of these developments:

Minimum Wage

This one is big but simple. Remember that on January 1, the minimum wage in California rises to $10.50.

Tax Filings for Organizations with 10 or More Employees

This one is pretty straightforward. As of January 1, California employers with 10 or more employees are required to file electronically with the EDD (Employment Development Department). This applies to employment taxes, wage reports and payroll tax deposits. The good news is that the tool is powerful, relatively simple and free. A year later, all employers will need to do this. (AB1245)

Employment & Legal Right to Work

This bill from the state legislature is a little “inside baseball,” as they say, but here’s the upshot. As of January 1, agencies that provide certain employment services (such as EDD) will no longer verify the recipient’s legal right to work. Therefore, as an employer, you cannot assume that someone receiving unemployment or similar services has the right to work in the U.S. (AB2532)