2025 California Employment Law Changes Every Employer Needs to Know

California has long been known for its expansive employment protections, and recent legislative updates have further complicated the landscape. For HR professionals and employment lawyers, staying up to date with the latest amendments and new statutes is crucial to ensure compliance and avoid legal pitfalls. The following highlights key changes to the employment landscape that demand attention.

AB 2499: Amendments to Crime Victims Leave Laws

AB 2499 significantly revises the state’s crime victims’ leave laws. Previously, such laws covered employees who were victims of domestic violence, sexual assault, or stalking. AB 2499, however, broadens the definition of “qualifying act of violence” to include conduct that (1) causes bodily injury, (2) involves exhibiting or using a firearm or other dangerous weapon, or (3) involves threats of violence. As the statute does not require that anyone be arrested for, prosecuted for, or convicted of a crime, this change significantly expands the types of “crimes” for which employees are entitled to protected leave.

AB 2499 also allows employees to take protected leave for reasons beyond attending court hearings. While absences for jury duty and court obligations remain unchanged, the new statute protects leave for a variety of victim-related activities (depending on the size of the employer), such as:

• Seeking court orders, such as restraining orders, for themselves or their children;
• Receiving victim services, such as relocation assistance, medical treatment, or counseling; and
• Caring for family members who are victims of a crime.

As with before AB 2499, employers must allow employees to use accrued sick leave, vacation time, or other available leave for crime victims’ leave, and they are prohibited from retaliating against employees for requesting accommodations related to being a crime victim (such as changes to work schedules, safety measures, and modifications to work locations).

HR professionals should prioritize training for managers and human resources staff to ensure they understand when crime victims leave laws are triggered. If an employee reports being a crime victim, it is vital to slow down, consult with legal counsel or a trusted resource, and avoid making any irreversible decisions without first understanding the statute’s nuances. Additionally, employers will be required to provide a new notice to employees about their rights under the crime victims’ leave law. A model notice will be issued by July 1, after which employers must distribute upon hire, annually, and whenever an employee discloses their victim status.

AB 2123: Changes to Paid Family Leave and Vacation Use

Another key update for HR professionals comes from AB 2123, which prohibits employers from requiring employees to exhaust vacation time before receiving paid family leave benefits. Before this change, employers could require employees to use up to two weeks of accrued vacation before receiving state-paid family leave benefits for bonding with a child or caring for a family member. Now, under AB 2123, employees can access paid family leave benefits without first using vacation time. Any policies or handbooks that mandate vacation usage should be updated.

SB 1137 and AB 1815: Anti-Discrimination Updates

SB 1137 explicitly prohibits discrimination based on a combination of protected traits (“intersectionality”) such as race and gender. Meanwhile, AB 1815 clarified that discrimination against traits associated with race – not just traits “historically” associated with race – are prohibited.

SB 1100: Driver’s License Bans in Job Applications

SB 1100 prohibits employers from requiring a driver’s license in job applications unless the job requires driving and alternate transportation options are not a reasonable alternative. HR professionals and recruiters should audit job postings and application materials to ensure compliance with this new rule.

SB 988: Written Agreement for Contractors

While SB 988 may not be as burdensome as other 2025 new laws, companies hiring independent contractors for professional services must be aware of the new requirement for written agreements. The agreement must cover key terms such as pricing and payment timing, and employers must retain this agreement for four years.

SB 399: Captive Audience Ban

SB 399 introduces a new captive audience provision, which prohibits employers from disciplining employees who decline to attend meetings in which political or religious views are communicated. Employers should ensure their policies align with this ban, particularly as it pertains to union-related discussions, which are considered political matters under this law.

Best Practices for Compliance

Given the array of changes across various areas of employment law, HR professionals and employment lawyers should take proactive steps to ensure compliance. This includes:

1. Training Managers and HR Teams: Ensure that all relevant personnel are familiar with new statutes, particularly AB 2499 and its complex requirements for crime victims leave and accommodations.
2. Reviewing Policies and Handbooks: Update handbooks and internal policies to reflect the changes in paid family leave and anti-discrimination laws.
3. Auditing Job Postings: Employers should audit their job application materials to ensure they are not in violation of SB 1100 by requiring a driver's license where it's not necessary.
4. Staying Informed: Keep abreast of additional regulations and model notices.