California Employers Beware: The Cost of Paying Employees is About to Go Up


The cost of paying employees is about to go up for many California employers, potentially in the range of thousands of dollars per employee. The California Legislature is currently considering Assembly Bill 1565, which would increase the minimum salary requirements for exempt employees in 2018 even more so than already called for by existing law. If AB 1565 is passed, California employers will need to decide whether to (a) increase exempt employees’ salaries to meet that higher minimum threshold or (b) reclassify those workers as nonexempt, track their hours, and pay them overtime. …

Excerpted from Orange County Lawyer. To read the full article, click here.

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