Dentists in California will have nearly a dozen new and amended employment laws to comply with in 2025, including a law to prevent driver’s license discrimination when hiring, another that aims to better protect pay for independent contractors who provide marketing and other specific services, and a third law that amends protected leave requirements for victims of violence.
Gov. Gavin Newsom signed the bills in the last legislative session, and all of them will take effect Jan. 1, 2025.
The new laws impact employers of every size, although some provisions of AB 2499 apply only to employers with 25 or more employees.
Separately, California’s minimum wage is set to increase to $16.50 on Jan. 1 for all employers due to an increase in the consumer price index, but a measure on the November ballot, if passed by voters, would instead raise the minimum wage to either $17 (for employers with 25 or fewer employees) or $18. CDA will report separately on the minimum wage when election results are verified.
Read on for a summary of the new employment laws. Practice owners will want to review their existing workplace policies and update them as required. CDA will publish new and revised policies in the Employee Manual for members in early January.
Compliance with test will avoid driver’s license discrimination
Effective Jan. 1, California employers cannot require job applicants to have a driver’s license unless the position meets the following two-part test under Senate Bill 1100:
1. The employer reasonably expects driving to be one of the job functions for the position; and
- The employer reasonably believes that satisfying the job function through an alternative form of transportation would not be comparable in travel time or cost to the employer.
Employers will only be able to claim No. 2 if they reasonably expect driving to be one of the job functions and no alternative forms of transportation would suffice.
The next step for dentists: Employer-dentists should evaluate job descriptions in the practice to determine if the roles meet the new two-part test and review any driving policies for compliance. Members can use CDA’s Job Descriptions: Best Practices and Sample Templates.
Increased job protections for victims of violent acts
The California Labor Code currently provides job-protected leave for California employees who are a victim of crime or abuse or who must take time off for specified purposes. The protections vary according to employer size.
The new law makes several amendments to existing leave requirements. First, it requires that employers provide protected leave for any “qualifying act of violence” defined more expansively as domestic violence, sexual assault, stalking or other act or other conduct specified in section 12945.8. (j)(5). The leave is permitted regardless of the presence or absence of arrest, prosecution or conviction.
Other key provisions effective Jan. 1 include:
- Employers with 25 or more employees must provide job-protected leave for additional specified purposes related to qualifying acts of violence, including for employees who must take time off to seek or obtain services for a family member.
- “Family member” is defined more expansively to conform with the Fair Employment and Housing Act definition.
- Employees may use paid sick leave for specified purposes related to qualifying acts of violence.
- Employers must provide reasonable accommodations for the safety of the impacted family member while at work.
- These employee protections will fall under FEHA and be enforced by the California Civil Rights Department.
Jury service, court appearances, relief-seeking now protected by law
Significantly, the new law bars California employers of every size from terminating or otherwise discriminating against an employee who, as a victim of a violent act, takes time off to serve on a jury as required by law. However, the employee must provide their employer with reasonable notice of the need to serve.
Employees also may take job-protected leave to appear in court as a witness in compliance with a subpoena or court order, as well as take time off from work to obtain or attempt to obtain a restraining order or other relief to help ensure their welfare or the welfare of their child.
Eligible employees may take time off to assist family members
Another major amendment applies to California employers with 25 or more employees. Effective Jan. 1, they must provide job-protected leave for additional purposes related to qualified acts of violence suffered by the employee or the employee’s family member. These additional purposes include, but are not limited to, seeking, obtaining or helping a family member obtain:
- Victim services such as from a domestic violence shelter.
- Medical services.
- Psychological or mental health services.
- Relief, such as a restraining order.
- Civil or criminal legal services.
- Care for a child or dependent adult.
The Civil Rights Department will publish a notice regarding employees’ protections under the new law no later than July 1, 2025, which employers must in turn post in a location that is highly visible to employees.
The next step for dentists: Employer-dentists should read the full text of the law and review and update their crime victim leave and jury duty policies to comply with the new protections CDA will notify members when the required notice is available and link to it here.
Expanded protections for some independent contractors
Under the new Freelance Worker Protection Act, employers or organizations who hire a freelance worker (independent contractor) who provides eligible professional services must follow new requirements when the independent contractor’s services exceed $250 within 120 days. The law applies to IC contracts entered into or renewed on or after Jan. 1, 2025.
The law’s definition of professional services is limited to industries covered in Section 2778 of the California Labor Code (also see Assembly Bill 5). Therefore, it does not apply when hiring associate dentists, but it would apply to hiring freelance photographers, artists, actors and other freelancers who are not otherwise protected by wage and hour laws.
Written contracts and timely compensation required
The law requires the hiring party to provide a signed copy of a written contract to the independent contractor containing specific information to help ensure the independent contractor is paid on time. For example, the contract must include an itemized list of services the IC will provide, the value of those services and the rate and method of compensation. It must also include the date the employer will pay the compensation or how the date will be determined.
Hiring parties are required to pay independent contractors on or before the date specified in the written contract; if the contract does not specify a payment date, the hiring party is required to pay the IC no later than 30 days after the worker completes their services.
“Are you planning to hire an independent contractor in the new year to design or redesign your practice website, design a logo or manage your practice’s social media? If so, you are required to comply with this law,” says CDA Employment Practices Analyst Michelle Coker. “The same applies if you hire an IC to manage the practice’s human resources.”
The penalties for noncompliance are steep with freelancers able to bring lawsuits to recover up to twice the amount that was unpaid when payment was due to them, for example.
The next step for dentists: Employers who wish to hire freelance workers to provide professional services are encouraged to work with legal counsel to draft a written agreement in compliance with the new law.
Employees can receive PFL benefits before using vacation time
Effective Jan. 1, employers can no longer require employees to use accrued vacation before receiving benefits under California’s Paid Family Leave Program.
The PFL program, managed by the Education Development Department, provides up to eight weeks of benefits to eligible employees who take time off to care for a seriously ill child, spouse, parent or domestic partner; to bond with a new minor child; or to assist military family members under active duty.
The next step for dentists: Employers should review and update their vacation and PTO policies to comply with the amended law.
Local enforcement of employment discrimination
The Civil Rights Department is newly mandated under discrimination law to collaborate with local agencies to prevent and eliminate unlawful practices under Equal Employment Opportunity laws.
Essentially, this means that beginning Jan. 1, local agencies will have a more active role in enforcing the state’s employment discrimination claims and local anti-discrimination laws that are more stringent than the state’s anti-bias laws, potentially providing quicker resolutions.
The next step for dentists: Employers should review their policies and practices to ensure they promote a work environment that is free from workplace discrimination.
Attending meetings on religious and political matters not required
The California Worker Freedom from Employer Intimidation Act prohibits employers from terminating or discriminating or retaliating against any employee who declines to attend an employer-sponsored meeting intended to communicate the employer’s opinion about religious or political matters.
“Religious matters” and “political matters” are fully defined in the law but include matters relating to religious affiliation, elections for political office or the decision to support or join any religious, political or labor organization, for example.
The new law does not apply to certain institutions and situations cited in the bill’s text, such as training to comply with the employer’s legal obligations under civil rights laws and occupational safety and health laws.
Employees who refuse to attend such meetings must be paid their normal salary or wages.
Employers may incur a civil penalty of $500 for violating the law, and employees who suffer a violation may bring a civil action for damages.
Reproductive loss leave included in Family Leave Mediation Program
Under current law, small California employers (5-19 employees) and their current or former employees have a right to mediate disputes about the employee’s right to CFRA or bereavement leave through the Civil Rights Department’s Small Employer Family Leave Mediation Program.
Through amendments to the law effective Jan. 1, reproductive loss leave will be subject to the same mediation requirements as bereavement, family care and medical leave. As CDA reported earlier this year, the pilot mediation program, which was set to expire in January, is now a permanent offering.
The next step for dentists: Employers should develop and communicate clear policies regarding family leave and reproductive loss leave, ensuring that employees know their rights and the procedures for requesting leave and mediation.
Prohibited discriminations in CROWN Act clarified
California in 2019 was among the first states to enact the CROWN Act (Creating a Respectful and Open World for Natural Hair) Act. The act prohibits discrimination based on traits historically associated with race, such as hairstyles consisting of braids, LOCs, twists and hair texture, as CDA previously reported.
New law clarifies that the act applies to Unruh Rights Act’s prohibition on race-based discrimination by businesses and in public accommodations and removes the term “historically,” which many employers found confusing.
California infection control regulations do not address hair, but employers can still generally maintain policies that require employees to secure their hair for safety and hygienic reasons.
The next step for dentists: Employers should review dress code and grooming policies to ensure compliance.
Updated notice on whistleblower protections forthcoming
Existing whistleblower protections in California prohibit employers from making, adopting or enforcing a policy that prevents an employee from disclosing violations or noncompliance to a government or law enforcement agency.
New law requires the Labor commissioner to develop a model list of employees’ rights and responsibilities under existing whistleblower laws. Employers will then post this list for employees’ use. The updated notice is expected by July 2025.
The next step for dentists: Watch for the updated notice and post it in a place where employees can easily view it. CDA will also inform members when the notice is available.
Amendments clarify protection for combinations of protected characteristics
Amendments to the Fair Employment and Housing Act specify that “protected characteristics” include any combination of two or more protected traits known as “intersectionality.” Therefore, discrimination based on any combination of the following is unlawful: race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, genetic information, marital status, sex, age, sexual orientation, reproductive health decision-making, or veteran or military status.
The California Legislature provided this example of intersectionality: “When an individual claims multiple bases for discrimination or harassment, it may be necessary to establish whether the discrimination or harassment occurred on the basis of a combination of these factors, not just one protected characteristic alone.”
CDA guidance can assist compliance with employment laws
CDA is developing and revising policies in its Employee Manual to help members comply with the new employment laws that take effect in 2025 and will share these with members in the coming weeks through the newsroom and weekly member newsletter.
Members can also contact CDA’s expert analysts with specific compliance questions.