New Disclosure About Employment Terms

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[author: Gefis, Carol A.]

Employers must now give all new hourly workers a document outlining the terms of their employment

As of January 1, 2012, Employers are obligated to provide a written disclosure to new employees regarding basic employment information.

The Law

Labor Code Section 2810.5 went into effect on January 1, 2012 and provides that employers must provide the following disclosures to all newly hired, hourly employees, regarding the employment relationship (except in certain situations where there is a union contract.)

Employer Action Items

Employers must now provide to all new employees a single written document which states the employee’s rate of pay, paydays, any fictitious name or “dba” for the employer, the telephone number, physical address, and mailing address (if different) of the employer’s main office, and the worker’s compensation carrier identification.

Although the new law requires that this information be provided only to new employees, it would be a good practice to provide this information to all current employees, then provide it to new employees as they are hired.

In addition, any changes or updates to this information must also be provided to the employee in writing within seven (7) days of the change. A change in pay rate may be communicated via the employee’s pay stub in the following pay period.