2020 Year in Review: The Impact of COVID-19 on the California Workplace

By Jennifer Suberlak, Esq., San Diego SHRM VP of Legislation

2020 Year in Review: The Impact of COVID-19 on the California Workplace

              Unsurprisingly, Merriam-Webster chose “pandemic” as its “Word of the Year” for 2020.  “Pandemic” fairly well summarizes the primary challenge faced by employers this year.  This article highlights the key COVID-19-related events and laws impacting employers and human resources professionals over the past twelve months. 

              Once the potential for a pandemic-level event became apparent to government officials in early March, a slew of federal, state, and local orders were issued to curb the spread of COVID-19.  Governor Newsom declared a state of emergency on March 4, while President Trump issued a similar declaration on March 13.  Less than a week later, Californians were introduced to the first statewide Stay at Home order, which instructed all residents to stay home except to go to an essential job or to shop for essential needs.  The Stay at Home order presented the first significant COVID-related challenge for California workplaces, as employers rushed to determine whether they operated essential businesses, whether they could transition their operations to remote status, or whether they would be compelled to shut down in whole or in part.  For the first time, many employers grappled with the concepts of layoffs, furloughs, and workplace reductions in force and how to proceed with such actions in compliance with the federal and California WARN Acts.  Hundreds of thousands of California employees were laid off in March and April as employers were forced to shutter or scale down operations. 

              Those businesses fortunate enough to offer remote work were then faced with new challenges posed by large-scale working from home (“WFH”).  To comply with the obligation to reimburse employees for necessary business expenses, employers competed to source and purchase appropriate technology and equipment, such as computers and printers, for their WFH employees.  Accurately capturing hours worked, ensuring meal and rest breaks, and maintaining employee productivity became a key focus of human resources professionals during this transitional period, as did promoting employee mental and emotional wellbeing. 

              Not long after the initial shutdown, Congress enacted a series of laws authorizing expanded employee benefits and new funding resources for businesses struggling to keep their doors open.  The Families First Coronavirus Response Act mandated paid sick leave and expanded family and medical leave for all businesses with fewer than 500 employees.  The CARES Act offered loans and grants to employers to cover, among other things, the cost of payroll.  Employers and legal practitioners alike wrestled with the nuances of the new legislation—which employers are covered, when are employees entitled to leave, how much leave must be provided and paid for—as additional guidance and regulations governing the laws was published after the laws had already gone into effect.  As autumn approached, the California Legislature enacted additional laws authorizing supplemental paid sick leave and mandating notification by employers of employees, workers’ compensation claims persons, and others of positive COVID-19 cases in the workplace. 

              Throughout it all, employers have faced a patchwork of local health orders with detailed rules about health and safety protocols, varying by county.  Though state and local authorities began reopening businesses over the summer, renewed surges of the virus triggered additional (though smaller scale) shutdowns and changes in how businesses could operate.  Naturally, employees concerned with their health and wellbeing were often hesitant to return to work, prompting employers to consider new ways to restructure in-person business locations and activities and bringing reasonable accommodation conversations to the fore. 

Most recently, Cal/OSHA has promulgated new rules regarding COVID-19 prevention in the workplace, some of which differ from other previously issued rules and new laws that go into effect in January. 

In all, the pandemic has certainly induced wide scale changes in the workplace over a relatively short period of time.  And the changes are sure to keep on coming, as cases continue to surge and employers and employees alike are now contemplating the impact of new vaccines on the horizon.  Although 2020 has presented a difficult year for all, one thing is clear—human resources professionals have been essential to keeping their organizations in compliance and in the know about these various laws and changes.