The start of the New Year brings new resolutions and new opportunities — as well as new laws that can directly impact the running of day-to-day business.
 
As a business owner and manager, the best course of action is to know the laws that may affect your business in 2012.
 
“The Legislature and Governor have implemented a number of new laws which will create significant burdens and potential liability for California employers in 2012,” said Dave Juhnke, managing partner at Sinsheimer, Juhnke, Lebens and McIvor law firm. “All employers are strongly encouraged to review the new laws to make sure that their policies and practices are in compliance.”
The new laws include one that will allow employers to use credit reports when hiring managers, and another law that specifies the details required to be given to newly hired employees.

 
Here is a brief rundown of some of the laws and what they mean to business owners.
 
• Assembly Bill 1236 allows employers to continue to use the E-Verify system, but prohibits California state agencies and local governments from passing mandates making it a requirement. Several California cities have passed local ordinances requiring the use of E-Verify in certain circumstances. This new law prohibits such state or local mandates unless required by federal law or as a condition of receiving federal funds.
 
• AB 22 changes the requirements for employers who seek to obtain credit information for employment purposes. Currently, employers are not able to acquire a report without prior authorization. This law changes that requirement to allow employers to run the reports without obtaining permission for certain positions including managerial roles (must qualify for the executive exemption from overtime), law enforcement officers, those with access to $10,000 or more in cash, employees who have access to confidential information and more.
• AB 469 requires employers to provide nonexempt employees a notice, at the time of hire, that specifies:
•    The rate of pay and the basis, whether hourly, salary, piece commission or otherwise, including any overtime rate.
•    Allowances, if any, claimed as part of the minimum wage, including meal and lodging allowances.
•    The regular payday designated by the employer as required under the Labor Code.
•    The name of the employer, including any “doing business as” names.
•    The physical address of the employer’s main office or principal place of business and any mailing address, if different.
•    The telephone of the employer.
•    The name, address and telephone number of the employer’s workers’ compensation carrier.
 • AB 1396 requires employers who have commission pay arrangements to put those agreements into a signed written contract. The contract must present the method by which the commissions will be computed and paid. Employers have until January 1, 2013, to bring their commission agreements into compliance.
 
• Senate Bill 459 provides new penalties -- between $5,000 to $25,000 -- for the “willful misclassification” of independent contractors.
 
With dozens more labor laws going into effect in 2012, the chamber will host a legislative council luncheon Jan. 9 to help you get up to speed on the changes taking place. Juhnke, who counsels businesses in employment and personnel matters and Susan Waag, a seasoned employment law attorney and founder of Waag and Co. will explain how these changes will affect your business. The lunch will be held from noon to 1:30 p.m. at the San Luis Obispo City / County Library Community Room. To register for the event or to find out more, please click here.