Alert: Court Denies AB 1513 Injunction – Safe Harbor Deadline Now July 28, 2016

Today, the Fresno County Superior Court denied Nisei Farmers League’s request for a preliminary injunction staying the enforcement of AB 1513’s affirmative defense deadlines.  AB 1513 is recent legislation specifying how nonproductive time should be compensated for employees paid by piece-rate.  The new deadline to file with the DIR is July 28, 2016.

Under AB 1513 (codified as Labor Code 226.2) employers had until July 1, 2016 to file with the Department of Industrial Relations (“DIR”) its intention to opt into the affirmative defense provisions outlined under the law.  The court had previously granted a temporary restraining order staying the provisions until ten days after the July 18, 2016 hearing on the injunction. The court did not rule on the merits of Nisei Farmers League’s complaint that the law is unconstitutional.  That matter will be heard at a later date.  For now, employers are back to where they were on June 29, 2016, with three days remaining to file for the safe harbor.

A link to the online election form can be found here.  A link to the court’s ruling denying the injunction can be found here.

For more information about this or other employment related matters contact Jennifer Douglas Phillips.

ALERT: Legal Challenge To AB 1513 Filed. Deadline to file for Safe Harbor protections extended to July 18, 2016.

Nisei Farmers League filed a lawsuit on June 27, 2016 in Fresno Superior Court challenging the legal validity of certain provisions of AB 1513 governing payment for nonproductive time for employees compensated by piece rate. The extension of time to file for safe harbor protections with the California Labor Commissioner was extended in order to provide time for a hearing. Nisei Farmers League is requesting a restraining order to stay enforcement of the law pending the court’s decision on the merits of the lawsuit. More detail about the lawsuit, including links to the court documents, can be found here.

Please note, that while the deadline has been extended to register for the safe harbor provisions, there has been no decision about the validity of the law, which has been in effect since January 1, 2016.

For more information about this alert and how it might impact your business please contact Jennifer Douglas Phillips, Greg Walsh or Owen Dallmeyer.