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For Small Businesses

How to Navigate Employment Law As a Small Business Owner

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To navigate employment law as a small business owner in California, focus on understanding key areas like minimum wage, overtime pay, rest and meal breaks, protected leave, discrimination, harassment, and retaliation protections, and proper documentation, while actively consulting with legal professionals to ensure compliance with state regulations and best practices. Because California employment laws are constantly changing, it is imperative to always stay updated on recent legislative changes.

Discrimination, Harassment, & Retaliation: Be aware of California's protected categories against discrimination including race, religion, sex, sexual orientation, gender identity, disability, and more. Implement clear anti-harassment policies and training for all employees.

Employee Classification: Exempt vs. non-exempt employees: Understand which employees are exempt from overtime pay based on job duties and salary level.

Minimum wage: California has a minimum wage that varies depending on company size, so ensure you are paying the correct amount. Note that your county or city may have a higher minimum wage than the California state minimum wage. Make sure to check you are compliant.

Overtime: Understand overtime rules for hours worked beyond 8 per day and 40 per week, and the double time pay rules.

Meal and rest breaks: Comply with regulations requiring unpaid 30-minute meal breaks for shifts exceeding 5 hours and 10-minute rest breaks for every few hours worked.

Protected Leave: Familiarize yourself with the various types of protected leaves, including but not limited to, California Family Rights Act (CFRA), Family and Medical Leave Act (FMLA), Pregnancy Disability Leave (PDL), New Parent Leave, Bereavement Leave, Voting Leave, Crime Victim Leave, Domestic Violence Victim Leave, Jury Duty Leave, Subpoena Leave, Leave for School Activities, Literacy Education Leave, Drug/Alcohol Rehab Leave, Kin Care Leave, Organ Donor/Bone Marrow Donor Leave, Military Injury Leave, Military Spouse Leave, and Reproductive Loss Leave.

Employee handbooks: Develop a comprehensive employee handbook outlining company policies and procedures that comply with California law. Train managers and employees on employment laws and policies to ensure proper implementation.

Documentation: Maintain accurate records of employee hours, pay, and any disciplinary actions.

Consult an employment attorney: Reach out to an experienced employment law attorney for guidance on specific situations and to ensure compliance with the changing California laws.  Contact Luna Legal Firm P.C. for a free phone consultation at info@lunalegalfirm.com.

Disclaimer: This is attorney advertising. This does not constitute a guarantee, warranty, or prediction regarding your legal matter. This does not constitute legal advice nor does it create an attorney-client relationship. This is intended to serve as general public information. The laws on these subject matters change periodically, thus this information may not be up to date. Advertising by Luna Legal Firm P.C., 16501 Ventura Blvd. Suite 400, Encino, CA 91436.

Silvia Luna, Esq.

Silvia Luna, Esq., founded Luna Legal Firm with one goal: to provide compassionate, bilingual legal services to individuals and small businesses in need. With years of experience in employment law, personal injury, and business consulting, Silvia is dedicated to making sure her clients feel heard, understood, and protected. She’s not just your lawyer—she’s your advocate, partner, and guide through every legal challenge.