Paid Family Leave The new Paid Family Leave Brochure was published yesterday. You can download the new form at http://www.edd.ca.gov/direp/pflpub.asp. Employers are required to provide the Paid Family Leave brochure only to new employees and persons who request leave to care for a seriously ill family member or bond with a new minor child. These brochures may be downloaded and provided as official notices to employees.

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New I-9 Grace Period Over The United States Citizenship and Immigration Services ("USCIS") issued a reminder yesterday that employers must use the New Form I-9. After December 26, 2007, employers who fail to use the new Form I-9 may be subject to all applicable penalties. All employers are required to complete a Form I-9 for each new employee hired in the United States. To download the new form, click here.

Minimum Wage Increase to $8.00 per hour. Do Not Forget Your Salary Exempt Employees! Download the new minimum wage poster at: http://www.dir.ca.gov/Wage.htm The salary base for exempt workers is now: $2,773.33 per month. ($8.00/hr. * 2 * 2080 /12) $33,280.00 per year

Computer Professional Exemption Lowered Effective January 1, 2008, computer professionals’ minimum hourly rate is reset to a minimum hourly rate of pay to $36.00 per hour – reduced from last years’ $49.77. Cost-of-living increases will be based on the $36.00 base starting 2009.

IRS Mileage Reimbursement Beginning Jan. 1, 2008, the standard mileage rates for the use of a car (including vans, pickups or panel trucks) is:

50.5 cents per mile for business miles driven;
19 cents per mile driven for medical or moving purposes; and
14 cents per mile driven in service of charitable organizations
http://www.irs.gov/newsroom/article/0,,id=176030,00.html

Poster Check Now is the time to check your employment posters for currency. Consider purchasing an “all-in one” for ease of posting. A great source for these is the California Chamber of Commerce. http://www.calchamber.com

Harassment Prevention Training If you have hired new supervisors since July 1, 2005, you may need to provide booster harassment prevention training. If you have any questions about the new training regulations, log on to the California Fair Employment and Housing Commission website and take a look at their new PowerPoint guidance. It is located at: http://www.fehc.ca.gov/act/harass.asp. To schedule training, contact the attorneys at Simpson, Garrity & Innes, PC. Call us at (650) 615-4860 or email to psimpson@sgilaw.com; rgarrity@sgilaw.com; linnes@sgilaw.com; or mjacuzzi@firstalarm.com

Handbook Update If you have not had your employee handbook updated in a few years, this year is a good year to get that task checked off your list. A California legal review of handbook policies and protocols are an employer’s best defense in navigating employment law matters. The attorneys at Simpson, Garrity & Innes, PC can help. Call us at (650) 615-4860 or email to psimpson@sgilaw.com; rgarrity@sgilaw.com; linnes@sgilaw.com; or mjacuzzi@firstalarm.com

Did you know? That effective January 7, 2008, the California Department of Fair Employment and Housing rolled out its new online appointment system for filing discrimination claims? Appointments can still be made via telephone during regular business hours Monday through Friday, 8:00 a.m. to 4:00 p.m., by calling 800-884-1684 (within California) or 916-478-7200 (outside California). Hearing-impaired individuals may call TTY 800-700-7320. http://www.dfeh.ca.gov/onlineAppt/

If you missed it earlier this week… Effective January 1, 2008, all employers are required to notify all of their employees of the federal Earned Income Tax Credit (EITC). Employers must give notification to employees within one week before or after the Wage and Tax Statement (Form W–2) or Miscellaneous Income (Form 1099) is given. Employers may provide the EITC notification with or at the same time as the Form W-2 or Form 1099 is given to employees. Posting this information on an employee bulletin board will not satisfy the notification requirement.

Earned Income Credit Notice
Based on your annual earnings, you may be eligible to receive the earned income tax credit from the federal government. The earned income tax credit is a refundable federal income tax credit for low-income working individuals and families. The earned income tax credit has no effect on certain welfare benefits. In most cases, earned income tax credit payments will not be used to determine eligibility for Medicaid, supplemental security income, food stamps, low-income housing or most temporary assistance for needy families payments. Even if you do not owe federal taxes, you must file a tax return to receive the earned income tax credit. Be sure to fill out the earned income tax credit form in the federal income tax return booklet. For information regarding your eligibility to receive the earned income tax credit, including information on how to obtain the IRS Notice 797 or Form W-5, or any other necessary forms and instructions, contact the Internal Revenue Service at 1-800-829-3676 or through its Web site at http://www.irs.gov.

Not accepting that result, right after Christmas, the City appealed the decision to the Ninth Circuit Court of Appeals asking that the court stay the district court’s judgment pending decision. Last week, the Ninth Circuit Court of Appeal did just that – it stayed the district court ruling pending a decision on the merits of the appeal. That means that until the Ninth Circuit Court of Appeal makes its formal decision, the implementation date for the spending portion of the Ordinance is back on – effective now.

Here is how is works: Covered employers, defined as employers engaging in business within the City that have an average of at least twenty employees performing work for compensation during a quarter, and non-profit corporations with an average of at least fifty employees performing work for compensation during a quarter, must make a “health care expenditure” (calculated by multiplying the total number of hours paid for each of its “covered employees” during the quarter . . . by the applicable health care expenditure rate”) through some discretionary means. For purposes of the ordinance, "covered employees" means individuals who (1) work in the City, (2) work at least ten hours per week, (3) have worked for the employer for at least ninety days, and (4) are not excluded from coverage by other provisions of the Ordinance.

To make the expenditure, employers can, for example:

1. make contributions on behalf of covered employees to a health savings account. e.g. ERISA or IRC 125 plan;
2. provide reimbursement for expenses incurred in the purchase of health care services;
3. make payments to a third party for the purpose of providing health care services for covered employees; or
4. by making payments directly to the City.

The health care expenditure rates for 2008 and 2009 are as follows:

Employer Health Care Expenditure Rate Schedule
Business Size		January 1 2008	April 1 2008	January 1 2009
Large	100+ Employees	$1.76/hour		$1.85/hour
Medium	50-99 Employees	$1.17/hour		$1.23/hour
	20-49 Employees*	Not Applicable	$1.17/hour
Small	1-19 Employees	Not Applicable

* Non-profits with less tha 50 employees are exempt from the spending requirement.

For more information about how to implement this program, visit the San Francisco Office of Labor Standards Enforcement website located at: http://www.sfgov.org/site/olse_index.asp?id=45168 . Or contact the attorneys at Simpson, Garrity & Innes, PC. (650) 615-4860.

Employers conducting drug testing must do so under an appropriate policy and using appropriate procedures. If you have questions about the use of such tests, both before and during employment, call the employment lawyers at Simpson, Garrity & Innes, P.C., (650) 615-4860.