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Labor & Employment Roundup: What to Expect in 2025

Labor & Employment
With 2025 just around the corner, California employers should get ready to navigate a host of new laws and court rulings that will shape workplace policies and employee rights. Are you ready?

The summaries below outline key updates to help you adjust your practices and maintain compliance. If you have any questions or need guidance on how these changes might affect your business, contact our Labor & Employment team.

Click the read more links below each summary for further information.

Legislation Impacting Employers in 2025
California’s 2025 labor and employment laws bring substantial changes, including expanded employee leave, increased minimum wages, enhanced anti-discrimination protections, and stricter safety requirements. These updates aim to strengthen worker rights and improve workplace safety across industries.

What this means for employers: It’s time to review and update workplace policies, employee handbooks, and training materials to align with the new laws. It also requires proactive planning to ensure compliance with wage increases, safety measures, and expanded anti-discrimination standards. Consult employment counsel to be sure you’re addressing all new laws that apply to your business.

Click the link below for summaries of:

  • AB 2011: Small Employer Family Leave Mediation Program: Reproductive Loss Leave
  • SB 399: Protections Against Employer Communications
  • AB 2499: Expanded Protections for Victims Taking Time Off
  • SB 1100: Driver’s License Requirement in Job Postings
  • SB 1137: Intersectional Discrimination Protections
  • AB 2123: Paid Family Leave Policy Adjustments
  • AB 2364: Mandatory Sexual Harassment Training for Janitors
  • AB 2299: Model Notice for Whistleblower Rights
  • AB 1870: Worker’s Compensation Notices
  • SB 988: Timely Payment for Freelance Workers
  • AB 2738: Festival Safety and Wage Enforcement
  • AB 1034: PAGA Exemption for Construction Employees
  • AB 3234: Transparency in Social Compliance Audits
  • AB 977: Emergency Department Assault Penalties
  • AB 2975: Metal Detectors in Hospitals
  • AB 1843: Emergency Ambulance Employees
  • SB 525: Minimum Wage for Healthcare Workers

A Potential Avenue for Bypassing Class Waivers in Arbitration Agreements 

Recent court rulings under the Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act (EFAA) suggest that if a sexual harassment claim is included in a case, the entire case may bypass arbitration—even for unrelated claims like wage and hour violations. This development creates new risks for employers, as plaintiffs may use sexual harassment claims strategically to avoid arbitration.

What this means for employers: Employers should prepare for increased challenges to arbitration agreements, particularly in cases involving sexual harassment claims. Ensuring compliance with discrimination, harassment, and retaliation policies is essential to mitigate risks. Additionally, employers should closely review and update arbitration agreements to account for these evolving legal interpretations and consider alternative strategies to manage litigation exposure effectively.

Read more.

Impact of a Second Trump Presidency on Biden-Era NLRB Decisions

A second Trump presidency is likely to shift the National Labor Relations Board (NLRB) back toward a pro-employer stance, reversing key decisions made under the Biden administration. Employers should closely monitor NLRB actions in the early months of 2025 as these will set the tone for labor law under Trump.

What this means for employers: Employers can expect significant changes in labor law, including potential reversals of pro-union rulings like expanded union recognition and restrictions on employer speech. Employers should stay vigilant during the transition to navigate new regulatory shifts and potential challenges to unionization efforts.

Read more.

2024 PAGA Updates

California’s Private Attorneys General Act (PAGA) has been a costly challenge for employers, often leading to large settlements over minor labor code violations. Recent amendments now cap penalties for isolated violations, emphasize reasonable compliance efforts, and streamline claim resolution processes, offering employers new defenses and reducing litigation risks.

What this means for employers: Employers now have more tools to mitigate the risks associated with PAGA claims. By implementing proactive compliance measures such as regular audits, clear policies, and targeted training, businesses can limit potential liabilities.

JMBM’s Labor & Employment attorneys counsel businesses and management on workplace issues, helping to establish policies that address problems and reduce job-related lawsuits. We act quickly to resolve claims and aggressively defend our clients in all federal and state courts, before the Department of Labor, the NLRB, and other federal, state and local agencies, as well as in private arbitration forums. We represent employers in collective bargaining negotiations and arbitration.