We’re already well into 2025, and several new employment laws have taken effect in California. If you haven’t checked how these changes impact your rights in the workplace, now is the time to catch up. Whether it’s a wage increase, stronger discrimination protections, or new employer obligations, these updates could affect your paycheck and workplace rights.
Here’s what you need to know.
1. Minimum Wage Increases
As of January 1, 2025, California’s minimum wage increased to $16.50 per hour for all employers, regardless of size. Some cities and counties have set higher local minimum wages, so employees should verify their exact rate based on location.
For salaried (exempt) employees, the minimum salary threshold also increased. To qualify as exempt from overtime pay, an employee must now earn at least $68,640 per year. If you are on salary and your pay does not meet this new minimum, you may be entitled to overtime pay.
If your employer has not adjusted your wages accordingly, this could be a violation of California labor law.
2. Workers with Disabilities Must Be Paid at Least Minimum Wage
A major change in 2025 is the full implementation of Senate Bill 639, which eliminates subminimum wages for employees with disabilities. In the past, certain employers could apply for licenses that allowed them to pay workers with disabilities below the state minimum wage. That practice is now prohibited, ensuring all employees receive fair pay.
If you or someone you know is still earning below minimum wage due to a disability, the employer may be violating the law.
3. Employers Can No Longer Require Political or Anti-Union Meetings
California has made it illegal for employers to require employees to attend meetings where they discuss unionizing, political views, or religious beliefs. These so-called “captive audience” meetings were often used to discourage union support or promote company-endorsed political positions.
Under the new law, employees now have the right to refuse participation in these discussions without fear of retaliation. If an employer pressures or penalizes you for refusing, you may have a claim for workplace retaliation.
4. Stronger Workplace Discrimination Protections
California has strengthened its anti-discrimination laws by recognizing intersectionality, meaning that discrimination can be based on multiple factors combined, rather than just one. For example, if an employee is both over 40 and a woman, and they believe they were passed over for promotion because of both age and gender, they now have stronger legal grounds to make a claim.
Employees who believe they have faced discrimination should document incidents and seek legal guidance to determine their rights under this expanded protection.
5. Expanded Rights for Victims of Domestic Violence
Employees who need time off due to domestic violence now have stronger protections under California law. The law clarifies that employers cannot retaliate against or discriminate against workers who take leave for:
- Court hearings
- Finding a safe place to stay
- Receiving medical care
Additionally, enforcement of these rights has shifted under the Fair Employment and Housing Act (FEHA), meaning the Civil Rights Department now has authority over related claims.
If an employer has denied time off or retaliated against you for seeking protection, you may have legal recourse.
6. New Reporting Requirements for Social Audits and Child Labor Issues
Assembly Bill 3234, which took effect this year, requires companies that voluntarily undergo social audits to report their findings. This includes any instances of child labor violations, increasing transparency and accountability in labor practices.
Employees who suspect unfair labor practices, including the employment of minors in hazardous conditions, should report concerns to the appropriate authorities.
7. Freelance Worker Protection Act
The Freelance Worker Protection Act (FWPA), enacted as Senate Bill 988, establishes baseline standards for contracts between freelance workers and hiring entities, effective January 1, 2025. Key provisions include:
- Written Contracts: Required for services valued at $250 or more, detailing the scope of work, compensation, and payment timelines.
- Timely Payment: Compensation must be rendered by the agreed-upon date or within 30 days of task completion if no date is specified.
- Anti-Retaliation Protections: Prohibits adverse actions against freelancers exercising their rights under the FWPA.
Freelancers and hiring parties should review and adjust their agreements to comply with these new requirements.
What Employees Should Do Now
Since these laws have already taken effect, employees should take action if they believe their employer is not in compliance. Steps to consider:
- Review your paychecks to confirm you are being paid at least the updated minimum wage.
- Pay attention to workplace policies—if you are being forced into political or anti-union meetings, know that you have the right to refuse.
- Document any discrimination or retaliation and seek legal advice if you believe your rights have been violated.
If you think your employer is not following these new laws, speaking with an experienced employment attorney can help you understand your options and potential legal claims.
California continues to set strong workplace protections, but employees must stay informed to ensure their rights are upheld. If you have questions or need legal guidance, now is the time to seek advice.
The blog published by Fairchild Employment Law is available for informational purposes only and is not considered legal advice on any subject matter. By viewing blog posts, the reader understands there is no attorney-client relationship between the reader and the blog publisher. The blog should not be used as a substitute for legal advice from a licensed professional attorney, and readers are urged to consult their own legal counsel on any specific legal questions concerning a specific situation.