Kring & Associates, APC

ICE Reclassification of I-9 Violations Raises Compliance Risks for Employers

2026-04-16T05:12:16Z

Employers should be aware of recent updates made by U.S. Immigration and Customs Enforcement (ICE) to Form I-9 compliance policies. Most notably, ICE reclassified several common “administrative” Form I-9 errors as “substantive” violations, increasing exposure for employers during audits. Mistakes that were previously considered correctable may now result in immediate monetary penalties following a Form I-9 inspection.

Reclassified violations include:

Missing date of birth.
Missing date of hire.
Incorrect use of Spanish-language I-9 outside of Puerto Rico.
Failure to ensure that the preparer and/or translator’s complete name, address, signature, and date are provided on Form I-9 (where applicable) at the time of completion in Supplement A.
Missing title of the employer or authorized representative.
Failure to date sections 1 or 2.
Failure to enter rehire date in Supplement B (where applicable).

Ultimately, employers should recognize that there is now less room for administrative error during an I-9 audit as issues that could previously be corrected may now lead to immediate fines. As a result, taking proactive steps to ensure and maintain compliance is critical.

[nap_names id="FIRM-NAME-1"] advises employers in maintaining I-9 compliance by reviewing current practices and helping implement safeguards that reduce the risk of penalties during audits. We help identify and correct potential issues before they result in penalties or audit exposure. Contact our attorneys for guidance in maintaining compliance with current and developing employment laws.

Kerri N. Kramer is a Partner specializing exclusively in employment law. Her primary work involves advising employers on day-to-day employment issues, defending employers when claims cannot be avoided, and ensuring employers remain compliant with evolving employment laws. She can be reached at (949) 393-1400 or kkramer@kringandassociates.com. Francesca C. Gonzales is an employment law Associate at the Firm. She can be reached at (949) 393-1400 or fgonzales@kringandassociates.com.

Workplace Training Update: New Legal Requirements for Training and Recordkeeping

2026-02-19T05:01:29Z

California employers must remain diligent in meeting the State’s evolving harassment prevention training requirements, including requirements to maintain detailed records and documentation of all training activities and new obligations to produce those records in response to qualifying requests.

Training Requirements

As reminder, employers with five or more employees are required by California law to provide harassment prevention training to all employees through effective, interactive means. Mandatory training must occur within six (6) months of hire or promotion and every two (2) years after. Supervisors are required to receive at least two (2) hours of training, while nonsupervisory employees are required to receive at least one (1) hour of training. The California Civil Rights Department (CRD) is responsible for overseeing and enforcing these requirements.

Recordkeeping Requirements

In addition to providing harassment prevention training, employers must maintain records of all employee training for at least two years. These records should be kept on the employer’s premises. While they do not need to be submitted to the CRD, employers must be able to provide copies upon request.

Notably, the training record must include all the following information:

The name(s) of the employee(s) trained;
The date of training;
The type of training (e.g., live/classroom, e-learning, webinar or other);
The name of the training provider;
The sign-in sheet (if used);
A copy of all certificates of attendance or completion (if issued); and
A copy of all written or recorded materials that comprise the training.

California Senate Bill 513, effective January 1, 2026, now also requires employers to include the following when maintaining any type of training or education records (including harassment prevention training records):

The name of the employee;
The name of the training provider;
The duration and date of the training;
The core competencies of the training, including skills in equipment or software; and
Any resulting certification or qualification.

Employers and training providers must additionally retain the following specific information if e-learning or webinar training is used:

E-learning: The training provider must retain all written questions and all corresponding written responses or guidance for two years from the date of the response. Employers should confirm with their training providers that this information is being properly maintained.
Webinar: For two years following the webinar, the employer must keep a copy of the webinar, all written materials used by the training provider, and all written questions submitted during the webinar. The employer must also document all written responses or guidance provided by the training provider during the webinar.

Maintaining detailed and accurate documentation of harassment prevention training is critical for employers to demonstrate compliance with state regulations if the CRD audits the employer and/or a lawsuit is filed. These records can also serve as strong evidence that the employer is taking proactive steps to prevent workplace harassment and/or to provide other required or recommended training.

Kring & Associates, APC provides practical training to help employers stay compliant with evolving employment laws. Our key training offerings include Harassment Prevention, Wage and Hour Compliance, Fair Labor Standards Act (FLSA) Compliance, Workplace Violence Prevention, Workplace Investigator Training, and Leave Management. We also work with employers to provide additional training suited to their particular needs. Our training packages all include records compliant with applicable laws. Contact our attorneys to find the right training program to keep your workplace compliant with changing employment laws.

Kerri N. Kramer is a Partner specializing exclusively in employment law. Her primary work involves helping keep employers out of PAGA and similar actions, defending employers when such claims cannot be avoided, and providing practical workplace training to employers. She can be reached at (949) 393-1400 or kkramer@kringandassociates.com. Francesca Gonzales is a law clerk at the Firm.

New California Employment and Construction Laws Taking Effect in 2026

2025-12-29T19:52:06Z

The new year brings new laws affecting workplaces and California employers. We have summarized below several key changes affecting labor and employment and construction practices, most of which will go into effect on January 1, 2026:

A. General Employment

Assembly Bill (“AB”) 692/ Business & Professions Code section 16607

This new law generally prohibits what have become known as “stay-or-pay” agreements, i.e. those that frontload certain employee payments but impose repayment obligations (or other penalties/costs) if the employee does not remain employed for a specified time. The law exempts certain signing or retention bonuses that are not tied to job performance, but only when the agreements and payments meet certain strict criteria are met. In light of this, employers should proceed with extreme caution. Violation of AB 692 provides for employees to file a civil action and receive attorney fees for violations. AB 692 is not retroactive. It only applies to agreements entered into after January 1, 2026. As such, repayment provisions in existing employment agreements are unaffected and may still be enforceable.

AB 774 / Code of Civil Procedure sections 684.130 and 703.570 et. seq.

This new law modernizes wage garnishment and bank levy procedures by requiring better address verification and more detailed employer/financial institution responses. It also allows judgment creditors to reinstate liens if funds were returned, adding penalties for false information. The law phases in in stages through 2026. Employers should carefully review wage garnishment notices or requests received to ensure appropriate processing, without assuming they contain or seek the same information as prior notices.

AB 1002 / Business and Professions Code section 7110.6

AB 1002 is a concerning new law which empowers the Attorney General to bring actions directly against licensed contractors who fail to pay the full amount of wages due or to fulfill a wage judgment. In the actions, the Court can order CSLB to suspend, permanently revoke, or deny renewal of, or application for the contractor’s license. This effectively skips over prior procedures that required direct involvement and oversight by CSLB.

AB 1109 / Evidence Code sections 912, 917, and 1048 et seq.

AB 1109 establishes a privilege for a represented current or former employee to refuse to disclose and prevent others from disclosing confidential communications with a union agent Page 2 of 5 made while acting in their representative capacity. The bill contains certain exemptions (including being inapplicable in criminal proceedings) and clarifies that the privilege may be waived in accordance with existing law.

Senate Bill (“SB”) 261/ Labor Code sections 98.1, 98.2, 238.05, and 238.10

This significant bill strengthens wage theft enforcement by adding triple penalties for employers that fail to pay wage theft judgments against them for six months or longer. It also provides mandatory attorneys’ fees and costs for any person or entity that takes judicial action to enforce or induce compliance with such judgments.

SB 294 / Labor Code sections 1550 et. seq.

This new “Workplace Know Your Rights Act” requires employers to provide a standalone written notice of California and federal workplace rights to each new employee when hired, and annually to all current employees. Notice topics include workers compensation benefits, union organizing and concerted activity, immigration protections, constitutional rights during interactions with law enforcement, new legal developments, and enforcement agency information. It also tasks the Labor Commissioner with developing and annually updating a template notice and related educational materials for California employees and employers. Employers have until February 1, 2026, to provide the notice to employees and thereafter provide it annually. The new law also requires employers to allow employees to designate an emergency contact and thereafter to notify that contact if the employee is arrested or detained at work.

SB 513 / Labor Code Section 1198.5

This bill amends the definition of “personnel records” that current and former employees (or their authorized representatives) have the right to inspect and copy to include certain educational and training records. The bill also requires employers who maintain education and training records to ensure that they contain specified information, including training providers, topics, and other session details.

SB 617 / Labor Code 1401

This law expands the information that must be provided during mass layoffs to address available employee assistance.

SB 809 / Labor Code section 2750.9, 2775.5, and 2802.2

This new law primarily addresses the employment status and vehicle expense reimbursement for workers in the construction trucking industry. It clarifies existing law regarding independent contractors and establishes an amnesty program for misclassification based on an exemption that expired in 2025. The bill requires contractors to pay employees who utilize their personal vehicle, whether owned individually or by a corporate entity, in the discharge of their duties with separate checks for the use, upkeep, and depreciation of their vehicle.

B. Discrimination and Harassment

SB 464 / Government Code 12999

This law requires stricter pay data reporting requirements on California employers, increasing the number of job categories included in reports from just 10 different categories to 23. It also specifies that employers and labor contractors must store demographic data separately from personnel records. It also imposes mandatory penalties of $100 per employee for first failure and $200 per employee for subsequent failures, when requested by the California Civil Right Department.

SB 642 / Labor Code section 432.3 and 1197.5

This bill clarifies California's pay scale disclosure law to specify that a "pay scale" includes the good faith estimate of the range the employer expects to pay for the position upon hire. It also updates the Equal Pay Act to reflect modernized language and expands the statute of limitations from 2 years to 3 years “after the last date the cause of action occurs.” The bill also increases the compensation period for pay discrimination claims from three years to no more than six years.

C. CSLB

AB 1327 / Business & Professions Code section 7159 and 17511.5 and Civil Code section 1689.6, 1689.7, 1689.20, and 1689.21

AB 1327 makes some minor changes to the cancellation notification requirements for Home Improvement Contracts.

SB 291 / Business & Professions Code section 7017.3, 7099.2, 7125.4, and 7125.7

SB 291 imposes stricter requirements for sole owner licensed contractors who claim an exemption from workers compensation. It also provides good faith factors to reduce civil penalties by CSLB.

SB 517/ Business and Professions Code section 7159

The bill requires Home Improvement Contracts to include: notification of whether a subcontractor will be used, the name and contact information of any subcontractor performing over 50% of the project cost, and the prime contractor’s email address and phone number. The prime contractor is responsible for completing the project according to the contract, plans, and specifications, though subcontractors can still face disciplinary action for their own violations. One stated goal of this information is to help buyers with the "Notice of Cancellation" form, which is part of the existing right to cancel (three days, or five days for senior citizens). The bill allows CSLB to use administrative discipline for any contractor performing work under the HIC.

SB 779 / Business and Professions Code section 7028.7

This law increases the penalties for unlicensed contracting, raising the minimum civil penalty from $200 to $1,500. The CSLB can also adjust these minimum penalties for inflation every five years. The bill also expands the Board's reserve fund limit.

D. Public Works Projects

AB 538 / Labor Code section 1776

This law significantly strengthens public access to certified payroll records for public works projects by requiring awarding bodies to obtain and provide these records upon public request making it easier to verify prevailing wage compliance. Enforcement penalties for noncompliant contractors start January 1, 2026.

AB 889 / Labor Code section 1773.1

This bill removes an existing exception for computing fringe benefit credits toward prevailing wages on an annualized basis. The new law also permits employers to take full credit for hourly amounts contributed to defined contribution pension plans if the plans provide for both immediate participation and essentially immediate vesting (meaning that the benefits vest within the first 500 hours worked) even if the employer contributes at a lower rate or does not make contributions to private construction. Finally, the new law provides that an employer has the burden of demonstrating it properly calculated employer payments and must provide supporting records for the calculation to the Labor Commissioner upon request.

E. Payment and Litigation

AB 325 / Business & Professions Code sections 16729 and 16756.1

The bill regulates algorithmic price-fixing, lowers pleading standards under the Cartwright Act, and creates enhanced penalties for violations. This makes it easier for parties to make a complaint for anti-trust violations, now only requiring “factual allegations” to be “plausible.” AB 325 also prohibits using common pricing algorithms to restrain trade or commerce or set pricing or commercial term recommendations.

SB 61 / Civil Code section 8811

This bill establishes a mandatory cap of 5% on retention payments for most private construction projects executed on or after January 1, 2026.

AB 931 / Business & Professions Code sections 6156 and 6250 et seq.

The bill prohibits the use of most non-certified lawyer referral services, effectively restricting the ability of plaintiffs’ attorneys to get referral fees on litigation funding lawsuits. It also limits attorneys’ from sharing legal fees with out-of-state entities that allow non-lawyers to participate in certain legal service activities.

SB 440/ Civil Code 8850

The new law, known as the “Private Works Change Order Fair Payment Act,” creates a new, mandatory process for handling change order disputes on private construction projects, effective January 1, 2026 through January 1, 2030, ensuring faster payment for contractors and subcontractors by requiring owners to resolve claims, pay undisputed amounts quickly, and use mediation for remaining issues, with penalties such as 2% monthly interest for delays and potential stop-work notices if rules are ignored. Kyle D. Kring is Managing Partner of Kring & Associates. He can be reached at (949) 393-1400 or kkring@kringandassociates.com.

Drafting Matters: Incorporation of Arbitration Provider’s Rules May No Longer Be Enough to Delegate Arbitrability, Leaving Courts to Decide Where PAGA Claim Proceeds

2025-10-16T05:37:20Z

By: Kerri N. Kramer and Francesca Gonzales Under state and federal arbitration law, the default rule is that courts, not arbitrators, decide whether a dispute is subject to arbitration. Parties can contract around this, however, with a clause in their arbitration agreement stating that the arbitrator will decide such (sometimes referred to as the “delegation clause”). When reviewing these clauses, the courts look for “clear and unmistakable evidence” of the parties’ intent to change the default rule. Prior case law held that this intent could be shown by incorporating the rules of an arbitration provider – like JAMS or AAA – so long as those rules clearly addressed delegation. Recently, however, the California Second District Court of Appeal held that in a mandatory arbitration agreement between an employer and an hourly worker, the incorporation of an arbitration provider’s rules, without more, is not clear and unmistakable evidence of the parties’ intent to have arbitrability decided by the arbitrator. The court emphasized that in most cases, the employer should instead express the intention to delegate such issues within the language of the arbitration agreement itself. In Villalobos v. Maersk, Inc., 2025 WL 2827951 (Villalobos), the plaintiff employee filed a class action alleging multiple wage and hour claims and unfair competition against the defendant employer and its staffing agency. The plaintiff also filed a separate representative Private Attorneys General Act (PAGA) action against the same defendants. Both cases were consolidated. Reiterating the importance of careful drafting in arbitration agreements, the Court of Appeal also found that the agreement to arbitrate failed to encompass any portion of the plaintiff’s claim, thereby allowing it to immediately proceed in court. The arbitration agreement at issue in this case is a familiar one to many California employers, including those in the construction industry. It consists of two separate documents: a Notice to Employees About Our Mutual Arbitration Policy (MAP) and an “Employee Agreement to Arbitrate”. Both documents required binding arbitration of all disputes with the company that relate in any way to the plaintiff’s employment. The Employee Agreement to Arbitrate stated that arbitration would be conducted under the Federal Arbitration Act (FAA) and “the applicable procedural rules of the American Arbitration Association (‘AAA’) which [the employee has] been provided an opportunity to request and review.” It did not state which of various sets of AAA procedural rules were applicable or where those rules could be found. The MAP, on the other hand, stated that AAA’s Employment Arbitration Rules would govern the arbitration procedures and stated that employees could request a copy. There is no dispute that the AAA Employment Arbitration Rules delegate arbitrability issues to the arbitrator. Nothing in either of the employer’s documents, however, stated that the arbitrator had the power to rule on the existence, scope, or validity of the arbitration agreement. Rather, they explained that the arbitrator’s role was to decide the merits of the claims. Relying on prior case law, the employer argued that the MAP and Employee Agreement’s incorporation of the AAA rules was sufficient to show an intent to delegate validity and enforcement issues to the arbitrator. The trial court, however, found that this incorporation by reference was not enough to meet the clear and unmistakable test in the employment context. The Court of Appeal ultimately agreed. In order to find out that the arbitrator will decide arbitrability, the Court pointed out, the employee must either find the rules on AAA’s website or request a copy from the employer, then access AAA’s 26-page document with 48 rules, one of which will tell him that the arbitrator has the power to rule on his or her own jurisdiction. The Court concluded that in this circumstance, it was evident that only the employer knew that the agreement was supplanting the judge who ordinarily decides arbitrability issues with the arbitrator. The Court highlighted how both parties must be clear on the idea of replacing the judge with an arbitrator when the issue of arbitrability is concerned. The Court reiterated that, barring unusual circumstances, an employer seeking to delegate issues of arbitrability must explicitly state that intent within the arbitration agreement. Without such clarity, the employer risks leaving it for the courts to resolve questions of arbitrability. In this case, when left to make those determinations, the trial court decided that only some of the plaintiff employee’s claims were subject to arbitration, but that his minimum wage claim, derivative waiting time penalties claim, and PAGA claim would all proceed in court instead. These rulings relied, in part, on the court’s conclusion that State law, instead of the Federal Arbitration Act, governed the Parties’ agreement. Takeaway In a mandatory employment arbitration agreement, at least one court has now found that it is not enough to merely incorporate the arbitration provider’s rules to ensure delegation of all issues to the arbitrator. This is particularly true if the incorporation itself is unclear, or the employee must go through multiple steps to find the rules at issue. This case should serve as yet another reminder of the need for employers to routinely review and update their arbitration agreements to keep pace with evolving case law. Employers should be cautious of adopting agreements developed for others or taking similar “one size fits all” approaches. Instead, employers should consult an experienced employment attorney to assess their individual arbitration policies and arbitration agreements, particularly those including delegation clauses. Kerri N. Kramer is a Partner specializing exclusively in employment law. Her primary work involves helping employers develop policies, procedures, and practices to keep them out of PAGA and similar actions. She also helps defend them when such claims cannot be avoided. She can be reached at (949) 393-1400 or kkramer@kringandassociates.com. Francesca Gonzales is a law clerk at the Firm.

California Supreme Court Confirms Employees Are Not Entitled to Intervene in Overlapping PAGA Cases

2025-10-16T05:35:28Z

By: Kerri N. Kramer and Francesca Gonzales The California Supreme Court recently held that an aggrieved employee bringing an action under the Private Attorneys General Act (PAGA) cannot intervene in another PAGA action with overlapping claims or object to a proposed settlement. In Turrieta v. Lyft, Inc., a settlement was reached after an employee sought relief under PAGA for misclassification, failure to pay overtime, and failure to reimburse business expenses. Two nonparties, who had overlapping PAGA claims against Lyft in other cases, objected to the settlement. The trial court approved the settlement and determined that the nonparties were not entitled to object to the settlement, intervene in the case, or move to vacate the judgment. The nonparties appealed and the Court of Appeal affirmed the prior ruling. The California Supreme Court granted review and affirmed the Court of Appeal’s judgment. The Court ultimately held that “an aggrieved employee’s status as the State’s proxy in a PAGA action does not give that employee the right to seek intervention in the PAGA action of another employee, to move to vacate a judgment entered in the other employee’s action, or to require a court to receive and consider objections to a proposed settlement of that action.” The Court found that the nonparties’ intervention “is inconsistent with the scheme the Legislature enacted and for that reason, outside the scope of [their] authority to commence and prosecute a PAGA action on the state’s behalf.” The court found that the nonparties could not establish a cognizable interest to support their intervention under Code of Civil Procedure section 387. As to the nonparties’ motion to vacate the judgment, the Court stated that there are no PAGA provisions that reference a power to make this motion in another aggrieved employee’s PAGA action asserting overlapping claims. The Court found that it would be inconsistent with the statutory scheme as a whole to find this as an implied power. Lastly, the Court found that courts are not required by section 187 of the Code of Civil Procedure to receive and consider objections to a proposed settlement, such as the proposed settlement from the Turrieta action. Instead, the Court stated that the statute grants courts the discretion to “create its own reasonable procedure in the exercise of its jurisdiction where the law provides no specific procedure.” Kerri N. Kramer is a Partner specializing exclusively in employment law. Her primary work involves helping keep employers out of PAGA and similar actions, but she also helps defend them when such claims cannot be avoided. She can be reached at (949) 393-1400 or kkramer@kringandassociates.com. Francesca Gonzales is a law clerk at the Firm.

Court of Appeal Decision a Cautionary Tale on the Importance of Carefully Drafting Exclusionary Language in Arbitration Agreements

2025-10-16T05:29:00Z

By: Kerri N. Kramer and Francesca Gonzales

April 24, 2025 In a newly-issued decision, the California Third District Court of Appeal reiterated the importance of drafting to arbitration agreement enforcement. In Ford v. The Silver F, Inc., the court held that the exclusionary clause an employer used to carve out “representative” claims under the Private Attorneys General Act (PAGA) from its arbitration agreement applied not just to non-individual PAGA claims, but even to the employee’s individual PAGA claims. Ford v. The Silver F, Inc., 2025 WL 1039379, at *6. In Ford, the employee entered into an arbitration agreement with his employer, where he generally agreed to arbitrate any employment-related disputes. The agreement, however, excluded certain types of disputes, including claims for workers’ compensation or unemployment compensation, specified administrative complaints, ERISA claims, and, critically “representative” claims under PAGA. In February 2022, the employee filed a PAGA-only lawsuit against his employer. The employer moved to compel arbitration of the employee’s “individual” PAGA claims and to dismiss the employee’s “representative” PAGA claims. The employee opposed the motion, arguing that the arbitration agreement excluded all PAGA claims (both individual and nonindividual) from the scope of arbitration. The trial court agreed and denied the motion. When the employer appealed, it argued that the term “representative” was ambiguous, as discussed in Viking River (which held, in a groundbreaking 2022 ruling that PAGA claims are divisible into “individual” and “representative” components, with the individual claims being subject to arbitration). Specially, that Court (and many after) have discussed the confusion that arises because PAGA claims are “representative” in that they are brought on behalf of the State but also in that can concern alleged violations against other employees. The employer argued that, in interpreting the term as used in the agreement, that the Court of Appeal must apply the Federal Arbitration Act’s presumption of arbitrability and construe the agreement to permit arbitration of the employee’s individual PAGA claims. The employee, in turn, argued that the trial court correctly resolved ambiguity about the meaning of the term “representative” in the exclusionary clause against the employer as the drafter of the agreement. The Court of Appeal looked to the language of the contract, construing the words in the context of the instrument as a whole and the circumstances under which it was made. The Ford court that the parties intended the PAGA exclusion to be construed broadly, similar to the other types of claims excluded from the scope of arbitration. It also relied heavily on the law that existed – and the language being used to described those laws - at the time the agreement was entered into. At the time the parties entered into the arbitration agreement, California courts were consistently holding that every PAGA action was a “representative” action and that PAGA claims could not be split into “individual” and “representative” components through an agreement to arbitrate. The Ford court concluded that because the arbitration agreement was formed prior to Viking River, the only reasonable interpretation of “representative claims under [PAGA]” is that it was intended to exclude all PAGA claims. In the end, the employer’s outdated arbitration agreement gave the employee the excuse he was looking for to avoid arbitrating his individual PAGA claim and allowed him to proceed in Court with his entire PAGA action. This case should serve as a crucial reminder to employers about the importance of regularly updating arbitration agreements in accordance with ever-evolving case law. Employers are encouraged to reach out to an experienced employment attorney to review their policies surrounding their arbitration agreements, including exclusionary clauses relating to PAGA claims. Kerri N. Kramer is a Partner specializing exclusively in employment law. Her primary focus is helping keep employers out of PAGA and similar actions, but she also defends them when such claims cannot be avoided. She can be reached at (949) 393-1400 or kkramer@kringandassociates.com. Francesca Gonzales is a law clerk at the Firm.

This is A Sample Blog Post

2025-05-07T08:44:45Z

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