Business Strategy Sensei

"The exemption applies only to those goods sold directly to consumers, and the law explicitly states that third-party delivery services must still obey the fee disclosure rule."

This could have a major impact on how agencies interpret regulations in the future. They may no longer have the flexibility to interpret sometimes vague legislative regulations in the agency's favor without being potentially exposed to interpretation by a court. Wage & Hour. Labor Rules. EEOC Rules. OSHA Rules. FTC Rules. Others. "Much of your daily life as an employer has been shaped by federal agencies that have benefitted [sic] from courts’ deference to agencies under the Chevron doctrine to mold their agendas. We previously covered how this decision will dismantle workplace regulations and the three biggest wage and hour steps employers can take in a post-Chevron world." "But it does open the door for new challenges to agency actions."

"The California attorney general’s office yesterday announced that the new state law banning “junk fees” will extend to surcharges at restaurants..." This will have a major impact on the industry in California if this stays as written. The law is effective July 1, 2024. https://lnkd.in/gzX26PHP

Even more reasons to ensure you and your supervisors are enforcing labor rules. That includes accurately clocking in and out. Also the case emphasizes the risk in paying workers in cash rather than the normal payroll system. Note the labor board is openly asking for additional employees to come forward. https://lnkd.in/gTftg_Cf

Under the settlement agreement, Visa and Mastercard will reduce interchange rates by four basis points in the United States — and will not raise its swipe fees for at least the next three years. For a period of five years, the average effective systemwide swipe fee for Visa and Mastercard must also be kept at least seven basis points below the current average rate. Both card networks also agreed to remove anti-steering provisions.

New Report by Former Leaders of California Labor and Worker Protection Agencies Finds State’s Private Attorney’s General Act (PAGA) is Too Slow to Resolve Employee Claims and Too Little Compensation Goes to Workers "Private Attorney General Act (PAGA) take(s) twice as long to resolve and provide workers only one-third of the compensation compared to employment claims reviewed by state regulators."

Below are just some of the examples of how the $20 minimum wage for fast food workers is impacting the industry: "Two Pizza Hut franchisees, who own hundreds of stores in California, are eliminating their in-house delivery fleets. The labor-gutting strategy has left 1,200 drivers without jobs." "...raising prices was the No. 1 thing every California fast-food food owner was talking about." "Cutting employee hours and implementing a hiring freeze" "Scrapping employee vacation time" and other benefits. "...fully expected casual-dining workers to "jump ship" and go over to fast-food locations because the pay is better." The historic idea of entry level employees in this industry could fade away. "Franchisees would probably be less inclined to hire an inexperienced teenager..." "What you will lose — the kids getting their first job at McDonald's."

"The rule effectively expands the reach of federal labor laws that require employers to extend certain benefits and protections to workers classified as employees. Those include the right to the minimum wage, overtime pay, unemployment insurance and Social Security benefits — which employers are not required to provide to independent contractors." "The rule is to be published Wednesday and would take effect on March 11, officials said." "In effect, the new rule will make it easier for a wider range of workers to gain employee status, including nail salon technicians, landscaping workers, home health aides, retail workers, call center workers and security guards." Lyft and Uber have said they don't believe the new rule will effect them.

SB 478. ”Effective July 1, 2024, companies doing business in California will be prohibited from advertising, displaying, or offering “a price for a good or service that does not include all mandatory fees or other charges” other than taxes and shipping fees.Penalties include actual damages of at least $1,000 per violation. CAL. CIV. CODE § 1750." That means restaurants, like all businesses in the state, will just need to make sure they’re disclosing any surcharges or service fees to customers clearly and before the final bill hits the table. That means disclosing any mandatory charges on menus — both in print and online, if that applies — and upfront. “It is important that all menus and all means of sales (online menus /ordering) should include the service charge language in readable font. Customers should never be surprised by an additional charge.”

AB 863 Means Harsher Punishments for Employers Skirting the Law - Employers are increasingly facing more than just civil liability for labor code claims. A new law for 2024 increases the potential criminal liability for routine wage and hour violations. More than ever, employers need to ensure compliance with California's complex employment regulations.