On September 11, 2023, an unprecedented deal was announced by labor groups and the fast food industry which would give California workers a $20 minimum wage and repeal The Fast Food Accountability and Standards Recovery Act (“FAST Act”). The FAST Act, signed by Governor Newsom on September 5, 2022, sought to establish a fast food regulatory council to promulgate minimum […]
Each New Year in California comes with several new laws that impact the workplace, including those in the franchising industry. With each year that passes, the California Legislature reminds us that their intent is to provide employees across our state with vast worker protections and rights, placing a greater burden on employers to maintain legal compliance. This year is no […]
Executive Summary: A Starbucks store in La Quinta, California was recently successful in defending itself against allegations that the store engaged in unlawful union-busting tactics. In a decision issued December 6, 2022, the National Labor Relations Board (“NLRB”) held that Starbucks did not violate Section 8(a)(1) of the National Labor Relations Act, which prohibits employers from interfering with or restraining […]
Executive Summary Governor Newsom signed AB257 into law. Unless there is legal action, it will go into effect in 2023. Analysis On Labor Day, September 5, 2022, Governor Newsom signed AB257 into law. As part of his signing statement, Governor Newsom stated the following: “California is committed to ensuring that the men and women who have helped build our world-class […]
Executive Summary After amending AB257 on August 25, the Senate voted to pass the bill. Immediately thereafter on the same day, the Assembly voted to pass AB257 in concurrence with Senate Amendments. The bill now moves to the Governor’s desk for signature which is expected to occur on Labor Day. Analysis After three readings, on August 29, 2022, the Senate […]
Executive Summary After passing all of the necessary committees in both the Assembly and the Senate, AB257 has been amended to remove joint employer liability from AB257. While there are numerous other changes that are focused on aspects of the Fast Food Sector Council will operate, this amendment removes the most significant threat to the franchise industry in the State […]
Executive Summary After briefly being placed on the suspense file, the California Senate Appropriations Committee passed AB257. The bill now moves to the full Senate for consideration. Analysis On August 11, 2022, the Senate Appropriations voted to pass AB257 by a vote of 5 ayes and 2 noes. The bill passed the Senate Judiciary Committee after it was placed on […]
Executive Summary The California Senate Judiciary Committee has voted to pass AB257 as Amended on June 16 and refer the bill to the Appropriations Committee. It is appearing increasingly likely that AB257 will pass this year. Analysis On June 28, 2022, the Senate Judiciary Committee voted to pass AB257 by a vote of 7 ayes, 1 no, and 3 no […]
Executive Summary The California Senate Labor, Public Employment and Retirement Committee has voted to pass and amend AB257. The amendments remain focused on the powers of the new Fast Food Sector Council but the Committee added additional clauses incentivizing collective bargaining. The bill now moves to the Judiciary Committee. Analysis On June 13, 2022, the California Senate Labor, Public Employment […]
Executive Summary After passing the Assembly on January 20, 2022, the Assembly made one more minor amendment to AB257 before it moves to the Senate for consideration. Analysis On January 27, 2022, the Assembly chose to delete two sentences from AB257. Specifically, the Assembly deleted the following passage: After amendment, the Assembly passed AB257 again, this time with a vote […]