Key Differences Between California and Federal Employment Law

Key Differences Between California and Federal Employment Law

Federal and state employment laws impose legal obligations and their attendant risks on every employer and employee. Glaser Labor Law devotes a substantial part of our practice to bringing and defending civil litigation, including discrimination, sexual harassment, wage and hour violations, wrongful discharge, defamation, breach of contract, intentional torts, emotional distress, and other serious workplace issues in federal and state courts.

California employment law creates a more employee-friendly environment than federal standards. While federal laws establish minimum protections, California consistently raises the bar higher.

Your Minimum Wage and Overtime Protections

Minimum Wage Standards

California’s minimum wage significantly exceeds the federal rate of $7.25 per hour. As of 2024, California’s statewide minimum wage is $16.00 per hour, with many cities and counties setting even higher rates. Los Angeles, San Francisco, and other major metropolitan areas often require minimum wages above $17 per hour.

Federal law allows employers to pay tipped workers as little as $2.13 per hour, provided tips bring total compensation to minimum wage levels. California prohibits this practice entirely. All workers must receive the full minimum wage before tips.

Overtime Rules

California’s overtime laws provide more generous protections than federal standards. Under federal law, overtime pay applies only after 40 hours in a workweek. California requires overtime pay in three situations:

  • More than 8 hours worked in a single day
  • More than 40 hours worked in a workweek
  • More than 6 consecutive days worked in a workweek

California also mandates double-time pay (twice the regular rate) for hours worked beyond 12 in a single day or beyond 8 hours on the seventh consecutive day of work.

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Anti-Discrimination Laws

Protected Categories

Federal law prohibits employment discrimination based on race, color, religion, sex, national origin, age, and disability. California’s Fair Employment and Housing Act (FEHA) expands these protections significantly.

FEHA protects additional categories, including:

  • Sexual orientation and gender identity
  • Marital status and family status
  • Pregnancy and childbirth
  • Medical conditions and genetic information
  • Political activities and affiliations
  • Status as a victim of domestic violence or sexual assault

Enforcement and Damages

Federal discrimination laws cap compensatory and punitive damages based on company size. California places no such limits under FEHA. Employees can recover unlimited compensatory damages for emotional distress, medical expenses, and lost wages. Punitive damages are also unlimited when employers act with malice or reckless indifference.

Family and Medical Leave Rights

California Family Rights Act (CFRA)

The federal Family and Medical Leave Act (FMLA) provides up to 12 weeks of unpaid leave for eligible employees. California’s CFRA mirrors many FMLA provisions but offers additional protections.

Key CFRA advantages include:

  • Coverage for domestic partners and their children
  • Leave for any family member, not just immediate family
  • Job restoration rights that often exceed federal protections

Additional Leave Entitlements

California provides leave rights beyond CFRA:

  • Pregnancy Disability Leave (PDL) up to 4 months
  • Paid Family Leave through state disability insurance
  • Sick leave requirements for all employees
  • Bereavement leave in certain circumstances

At-Will Employment Limitations

Both federal and California law generally follow at-will employment principles. Employers can terminate workers without cause, and employees can quit without notice. However, California law creates more exceptions to at-will employment.

Wrongful Termination Protections

California recognizes wrongful termination claims based on:

  • Violation of public policy
  • Breach of implied contract
  • Breach of the covenant of good faith and fair dealing

These protections extend beyond federal minimums. For example, California courts have found implied contracts in employee handbooks, verbal assurances, and established workplace practices.

Constructive Discharge

California law recognizes constructive discharge when working conditions become so intolerable that a reasonable person would resign. This doctrine applies when employers create hostile work environments to force resignations and avoid paying unemployment benefits or severance.

Wage and Hour Rights

Meal and Rest Break Requirements

Federal law does not mandate meal or rest breaks. California requires both for most employees. Employees must receive:

  • 30-minute meal break for shifts longer than 5 hours
  • Second 30-minute meal break for shifts longer than 10 hours
  • 10-minute paid rest break for every 4 hours worked

Employers who fail to provide required breaks must pay one hour of wages at the employee’s regular rate for each violation.

Wage Statement Requirements

California requires detailed wage statements (pay stubs) showing:

  • Hours worked during the pay period
  • All rates of pay
  • Gross wages earned
  • All deductions taken
  • Net wages earned
  • Dates of the pay period

Employers who provide inaccurate or incomplete wage statements face penalties up to $4,000 per employee.

Final Pay Requirements

Terminated employees must receive final wages immediately upon termination. Employees who quit with 72 hours’ notice must receive final pay on their last day. Those who quit without notice must receive final pay within 72 hours.

Workplace Safety Rights

Workplace Safety Rights

Cal/OSHA Protections

California’s Occupational Safety and Health Act (Cal/OSHA) often exceeds federal workplace safety standards. Cal/OSHA covers all workers, including those in agriculture and domestic work often excluded from federal protections.

Key Cal/OSHA rights include:

  • Safe and healthful working conditions
  • Training on workplace hazards
  • Access to safety and health information
  • Right to file complaints without retaliation
  • Right to refuse dangerous work under certain circumstances

Heat Illness Prevention

California requires heat illness prevention programs for outdoor workers. Employers must provide shade, water, rest periods, and training when temperatures exceed 80 degrees Fahrenheit.

Privacy Rights

California provides stronger workplace privacy protections than federal law. The California Constitution includes an explicit right to privacy that applies in employment settings.

Electronic Monitoring

Employers cannot secretly monitor employee communications or activities. California requires notice before monitoring email, internet usage, or phone calls. Some forms of surveillance may be prohibited entirely.

Personal Information Protection

California law limits how employers can collect, use, and disclose employee personal information. The California Consumer Privacy Act (CCPA) extends additional protections to employee data.

Legal Remedies

Compensatory Damages

California employees can recover various forms of compensatory damages:

  • Lost wages and benefits
  • Medical expenses
  • Emotional distress damages
  • Loss of earning capacity
  • Attorney fees in certain cases

Punitive Damages

California allows unlimited punitive damages when employers act with malice, oppression, or fraud. These damages punish wrongdoing and deter future violations.

Injunctive Relief

Courts can order employers to change policies, provide training, or take other actions to prevent future violations. Injunctive relief helps protect all employees, not just those who file complaints.

How Glaser Labor Law Can Help

Glaser Labor Law focuses exclusively on representing employees in California employment disputes. Our experience with California’s complex employment laws helps workers navigate challenging situations and secure fair compensation.

Glaser Labor Law’s Proven Track Record

Glaser Labor Law has recovered millions of dollars for California employees. Recent successes include:

  • $2.3 million settlement for restaurant workers denied proper overtime pay
  • $1.8 million verdict for employee terminated for reporting safety violations
  • $950,000 settlement for worker facing discrimination based on disability

Our results speak to our commitment to achieving justice for working people throughout California.

Ready to Stand Up for Your Rights? Schedule a Consultation

Our firm has the experience to assess risk and evaluate settlement early in litigation. We possess the ability to dispose of cases efficiently before filing suit, before trial, during trial, and following a court or jury verdict, with our primary goal being to serve the client’s best interests and resolve disputes.

Glaser Labor Law is also experienced in providing advice and counseling that minimizes the risk of litigation. While the firm frequently advises clients on preventive and cost-effective alternatives, civil litigation is an unavoidable reality, and prosecuting and defending employment litigation is a significant part of our practice. You can depend on us to get you the damages and justice you deserve. Contact us today to schedule a consultation.