Congress Amends FAA

Congress has passed the Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act of 2021 (H.R. 4445), which awaits President Biden’s signature. This bill amends the Federal Arbitration Act (FAA) to bar pre-dispute arbitration agreements of claims alleging sexual assault or sexual harassment, including invalidating waivers of the right to bring such collective or class action claims.

If you are using arbitration agreements with employees, I advise you to have these agreements reviewed. They are likely now in need of updating.

MN Considering Banning Non-Competes

HF999 would prohibit all non-competes except if the employee earned an annual salary at least equal to the median income for a four-person family in Minnesota as determined by the U.S. Census Bureau (about $78,000) for the most recent year before the employee’s termination, and provided the employer pays the employee during the non-compete period at least half the employee’s highest annualized base salary in the last two years of employment.

CA Supplemental COVID Leave

Tomorrow, CA 2022 COVID-19 Supplemental Paid Sick Leave goes into effect. The law requires employers with 25 or more employees to provide paid leave for reasons related to COVID-19, including the need to isolate or quarantine or to care for a family member who needs to isolate or quarantine. Employers must post a notice regarding this leave. The Division of Labor Standards Enforcement (DLSE) has published a model notice.

Written by: Gordon M. Berger, Partner 

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