Fair work week ordinances are on the rise in California and across the United States. Berkeley is the latest city to pass a fair work week ordinance, joining other major cities that already have these laws on the books such as Los Angeles, San Francisco, Emeryville, New York City, Philadelphia, Chicago, and Seattle. As of now, Oregon is the only state with a state-wide fair work week law. The recent popularity of fair work week ordinances reflects the increasing focus on workers’ needs and financial stability. Recent surveys show that workers face schedule unpredictability, with one survey finding that 41% of workers receive notice of their schedules only one week or less ahead of time.
What Are Fair Work Week Ordinances?
The details of fair work week ordinances vary between jurisdictions, but at their core they aim to give employees more predictability in their schedules and income. Fair work week ordinances often require employers to provide employees with advance notice of their work schedules, with most requiring advance notices of at least two weeks. Some ordinances also require employers give new employees at the time of hire a good faith estimate of their work schedule—meaning giving new employees “a written average of work hours or shifts an employee can expect to be scheduled to work each week.” Some ordinances mandate a minimum rest period between shifts to ensure that employees have sufficient time to rest and recover between workdays.
In cases where employers make last-minute changes to an employee's schedule or require them to be on-call without a guarantee of work, fair work week ordinances may require employers to provide additional compensation to employees. This is intended to compensate employees for the uncertainty and inconvenience caused by unexpected scheduling changes. For example, the Los Angeles fair work week ordinance entitles employees to receive “predictability pay” whenever an employer makes a change to the work schedule less than 14 days before the start of the work period. “Predictability pay” can range from 1 hour at the employee’s regular rate of pay. Employees do not give up their right to predictability pay even if they agree to such changes.
Fortunately, not every employer will be subject to fair work week ordinances’ requirements. Many ordinances only apply to employers over a certain number of employees. For example, San Francisco’s retail fair work week ordinance applies to retail establishments with at least 40 locations worldwide and 20 or more employees in San Francisco. Berkeley’s fair work week ordinance applies to any business in Berkeley that employs 10 or more employees.
Employers Should Release Work Schedules In Advance
Nonetheless, employers everywhere of any size should be mindful of the rising trend of fair work week ordinances as these regulations can have a significant impact on their businesses, workforce, and reputation. Even if employers do not operate in jurisdictions with fair work week ordinances, their businesses may benefit from not making short-notice changes to work schedules.
Fair work week ordinances are designed to provide employees with more predictable schedules and greater work-life balance. When employees have more control over their schedules and can plan their lives more effectively, they tend to be more satisfied with their jobs. Higher employee satisfaction can lead to lower turnover rates and reduced recruitment and training costs.
Employees who have predictable work schedules are often more engaged and productive at work. They are less likely to be stressed or fatigued due to irregular hours, which can lead to better job performance and customer service.
Offering stable and predictable work schedules can make a company more attractive to potential job candidates. In industries with high turnover rates, fair work week practices can help employers retain skilled and experienced workers.
Employers that prioritize fair work week practices demonstrate a commitment to employee well-being and social responsibility. This can enhance a company's reputation and brand image, making it more appealing to consumers, investors, and socially conscious partners.
By complying with fair work week ordinances, employers can mitigate risks related to labor disputes, protests, and negative media coverage. Demonstrating a commitment to fair scheduling can help prevent labor-related conflicts and public relations crises.
While fair work week ordinances may require some adjustments in scheduling practices, they can lead to cost savings in other areas. For example, reduced turnover and increased employee engagement can result in lower recruitment and training costs.
In industries with high turnover rates and where fair scheduling practices are not yet common, adopting these practices can provide a competitive advantage. It can help attract and retain a stable and motivated workforce, ultimately benefiting the company's bottom line.
Conclusion
Fair work week ordinances are increasingly being implemented at the local and state levels in various jurisdictions. Employers who adapt to these regulations are more likely to stay in compliance with local labor laws, avoiding legal issues and fines.
The lawyers at Palmer Kazanjian are ready and able to answer your legal questions, recommend best practices, and help prepare your business for future changes in the law.