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New legislation in California requires employers in
certain hospitality sector businesses to rehire laid-off employees
before they hire new staff.
On 16 April 2021, California Governor Gavin Newsom
signed Senate Bill No. 93 (SB 93), a rehiring and
retention law. SB 93
creates a new Labor Code section (2810.8),
which requires certain hospitality businesses to rehire workers who
have been laid off due to the COVID-19 pandemic prior to hiring new
employees to fill previously laid-off employees positions.
Employers must provide eligible employees at least five business
days to respond to a job offer notice and must award the job
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Although many employers provide paid sick leave as a benefit for
their employees, no federal law currently requires private
employers to provide paid sick leave. Last year, Congress passed
the Families First Coronavirus Response Act ( FFCRA )
that included national paid sick leave for the first time. But
leave was limited to reasons related to COVID-19 and the temporary
law has since expired. What remains is a patchwork of state and
local, paid sick leave laws that employers must navigate carefully.
In response, my state, Texas, has tried to limit this local
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The state Supreme Court agreed with the Superior Court s
determination, concluding that the no-hire provision at issue is unreasonably in restraint of trade and therefore
unenforceable.
In its April 29, 2021, opinion,
Pittsburgh Logistics
Systems v. Beemac Trucking,?A.3d?, No. 31 WAP 2019, 2021 WL
1676399 (Pa. Apr. 29, 2021), the Supreme Court of Pennsylvania
weighed in on whether no-hire, or no-poach, provisions
that are ancillary to a services contract between business entities
are enforceable under Pennsylvania law. The court declined to hold
such provisions
per se unenforceable. Its
answer for the clause at issue, however, was a resounding
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Back in January 2020, a federal district court enjoined the
State of California from enforcing AB 5 against interstate motor
carriers. Now, in a split 2-1 decision, a Ninth Circuit panel has
reversed the district court, on the rationale that AB 5 is just
another generally applicable labor law that affects all businesses
regardless of industry, and is no different from many prior state
laws the Ninth Circuit has upheld. Casting aside the dissent s
description of the wide-ranging impact that AB 5 would have on
motor carriers, the panel majority held that the Federal Aviation
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On March 15, 2021, the National Labor Relations Board withdrew a
proposed rule that would have established that students who perform
services for compensation at private colleges and universities in
connection with their studies are not employees within
the meaning of the National Labor Relations Act. So, what does that
mean for higher education?
For now, the withdrawal means that the Act will continue to
cover students who participate in work-study programs or work part
time as teaching assistants at private colleges and universities.
In the future, this decision is likely indicative of more to come