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Window Closes Today! Employer Should Provide Notice Before this Opportunity is Gone!

July 28 2016

By: Jessica Schoendienst

WINDOW CLOSES TODAY!

Employers who wish to take advantage of the safe harbor provision of California’s new piece rate legislation, must provide notice to the Director of Industrial Relations by July 28, 2016. The deadline for employers to provide notice was temporarily suspended while a Fresno Superior Court considered a petition by Nisei Farmers League requesting a preliminary injunction to prevent the implementation of the safe harbor provisions of Labor Code section 226.2 created by AB 1513. The temporary restraining order was issued in the case of Nisei Farmers League v. California Labor and Workforce Development Agency, et al., (Case No. 16 CECG 02107). The original deadline for employers to provide notice to the Director of Industrial Relations was July 1, 2016.

On July 18, 2016, the court heard arguments from the parties on whether a preliminary injunction should be ordered pending formal trial on the question of whether a permanent injunction will be issued. On July 25, 2016, the court denied the Nisei Farmers League’s motion for preliminary injunction. Per the court’s Order to show cause, the deadline for employers to provide notice of their election to take advantage of the safe harbor provisions of Labor Code section 226.2(b)(3) is July 28, 2016.

The Director of Industrial Relations will accept notice through 11:59 p.m. on July 28, 2016, but will not accept noticed received after that date. Employers should provide notice by the end of today by mailing notice to the Director of Industrial Relations, Attn: Piece-Rate Section, 226.2 Election Notice, 1515 Clay Street, 17th Floor, Oakland, CA 94612 or by filling out the online form available on the Department of Industrial Relations website.