The Impact of SB 1340 for California Employers on Workplace Discrimination Prevention

A new California law, SB 1340, which became effective on January 1, 2025, mandates the Civil Rights Department (CRD) to collaborate with local agencies to prevent and eliminate unlawful practices; this allows local agencies to enact and enforce state and local anti-discrimination laws.??

It is crucial for California employers to ensure compliance; therefore, in this article, we provide you with the key points of SB 1340, the specific requirements for local enforcement, and best practices to prevent discrimination in the workplace.?

Key Points of SB 1340??

• Local authorities can enforce anti-discrimination laws when employees bring a right-to-sue from the CRD.??
• Enforcement can cover state laws, such as California’s Fair Employment and Housing Act (FEHA) and the Unruh Civil Rights Act, and more stringent local anti-discrimination laws.??
• The time limit for filing a civil action is tolled during local enforcement proceedings.??
• Complainants can file a timely civil action following the receipt of a right-to-sue notice from the CRD.?

Specific Requirements for Local Enforcement?

Any City, County, or locality can enforce any local law that prohibits discrimination based on race, religion, color, national origin, ancestry, physical disability, mental disability, medical condition, genetic information, marital status, sex, age, reproductive health decision-making, or sexual orientation, as long as all of the following requirements are met:?

1. It is regarding an employment complaint filed with the CRD;?
2. It must occur after the CRD has issued a right-to-sue notice under FEHA;?
3. It starts before the expiration of the time to file a civil action specified in the right-to-sue notice; and?
4. The local law being enforced must be at least as protective as FEHA.?

Best Practices for California Employers to Prevent Discrimination in the Workplace?

To ensure compliance and prevent employee complaints relating to discrimination, California employers should:??

• Stay Informed: Keep abreast of local anti-discrimination laws, as they may be stronger than FEHA, and how they may impact the organization.?
• Prepare for Extended Timelines: The tolling provision in SB 1340 may extend the lifespan of discrimination suits; it pushes out the one-year time limit for an employee to sue in civil court.??
• Review Policies and Practices: Regularly review your organization’s policies, practices, and procedures to ensure you foster a work environment free from workplace discrimination. You may consider taking into account past employee complaints relating to discrimination and the factual findings that a California-licensed investigator reached after completing the HR investigation.?

Conclusion?

As SB 1340 introduces significant changes to the enforcement of anti-discrimination laws in California, it's essential for California employers to stay vigilant and proactive. Staying updated with local, state, and federal regulations is crucial to ensure compliance, create a safe and equitable workplace, and protect themselves from potential liability.?

Why choose California Labor Solutions???

California Labor Solutions (CLS) is one of the only HR firms licensed* to conduct workplace investigations in California. We serve private businesses and public-sector organizations throughout the state. We have conducted hundreds of neutral, impartial, objective, and unbiased workplace investigations related to identifying issues and risks within the organization as well as for employee complaints relating to allegations of discrimination, harassment, retaliation, workplace violence, and various types of employee misconduct with the utmost quality, detail, and efficiency.??????

*California Private Investigator License Number 26311.?

Disclaimer?

Please note that the updates, advisories, and regulations we receive from the promulgating agency often contain ambiguities and/or are often amended, modified, or updated. This material/article/email does not contain any legal advice. The information and opinions expressed herein are based on our reasonable interpretation of the issuing agency’s publication at the time the opinion is expressed and is, therefore, subject to change based on further developments. The effect of the opinions expressed may be different based on your particular circumstances, and it is recommended that you not rely upon these general opinions prior to obtaining a consultation with your legal and/or financial advisors.???