Staying current with changes to wage and hour law in California is about giving your clients accurate, timely advice they can trust. Whether you’re advising small business owners or representing employees, updates to employment law can shift quickly, especially with new rules around minimum wage, overtime, and classification.
If you’ve noticed more questions about missed breaks or unpaid time, you’re not alone. Private Attorneys General Act (PAGA) claims and wage disputes are still flooding the system, and minor errors can quickly escalate into significant legal issues.
This article highlights the most relevant updates and areas where mistakes tend to happen. If you’re working on keeping your practice sharp, it’s also a great time to fulfill some MCLE credits while reviewing the latest legal shifts.
New Minimum Wage Rules Affecting Employers in 2025
If you work with employers, you’ve probably had more than one conversation about wage updates lately. In 2025, California’s minimum wage changes will come with more layers. Local wage rules and industry-specific floors make it harder to rely on a one-size-fits-all approach. To give useful advice, you’ll need to look a bit closer.
Here are a few important points to keep in mind:
- Statewide minimum wage is now $16/hour, but several cities like San Francisco and Los Angeles require more.
- Healthcare workers and fast-food employees are subject to new wage floors.
- Minimum salary thresholds for exempt employees have also increased, especially in light of inflation adjustments.
Even simple oversights, like missing a local wage bump, can lead to PAGA claims or employee complaints. If your clients need support staying current, tools like OnLAW Pro can help with wage charts and case examples you can use right away.
These shifts affect real paychecks and real people, so getting them right matters. It’s also a good opportunity to reassess how payroll systems and HR policies are structured. Many attorneys recommend that clients schedule annual reviews of wage obligations to avoid surprises.
How to Handle Overtime and Meal Break Compliance
Overtime and meal breaks are often treated like checkboxes, but that’s exactly where problems start. More employees are filing claims over missed or short breaks, and enforcement is catching up. If you’re advising employers, this is where the small details matter most. Employers must ensure:
- Nonexempt employees receive 1.5x pay for hours over 8 per day or 40 per week.
- A second meal break is provided if the employee works over 10 hours.
- Breaks are not just available, they must be taken.
It’s not enough for the policy to be in the handbook. The real question is: Are managers reinforcing it? Are breaks actually being taken? These are details that can make or break a claim.
When clients bring up concerns about breaks or face claims, having real examples and a strong understanding of how recent cases were decided can help guide your advice. Make it a habit to stay informed about updates on wage penalties and enforcement trends.
Common Wage Claim Mistakes that Lead to Litigation
If you’ve handled a few wage disputes, you know it’s not always the big things that cause trouble. Small payroll habits, missed pay stubs, delayed checks, and poor recordkeeping can turn into big headaches, especially with the rise of PAGA claims.
The following table shows common missteps and what lawyers should recommend instead:
| Wage Claim Mistake | How to Fix It |
| Misclassifying employees as exempt | Review duties and salary thresholds annually |
| Failing to provide itemized wage statements | Use compliant payroll systems that auto-generate them |
| Not documenting meal and rest breaks | Implement clear break-tracking systems |
| Delaying final paychecks | Provide all final wages, including unused vacation, on time |
Preventing these problems is part of basic employment law hygiene. If your clients aren’t sure where to start, suggest they do a mini self-audit. Getting ahead of these issues now saves time, money, and a lot of stress later. It also gives you a stronger defense if litigation ever comes.
What to Know about Employee Classification In Hybrid Roles
Hybrid work isn’t new anymore, but it still creates legal confusion. In 2025, clients will likely struggle with classifying remote or flexible workers. Are they exempt or nonexempt? How do breaks work when someone’s working from home?
Here are a few reminders to guide your advice from the California labour standards enforcement:
- Job duties still determine classification, not job title or location.
- Exempt employees must meet salary thresholds that adjust annually.
- Nonexempt employees working remotely must still track hours and breaks accurately.
- Travel time and time spent logging in can be compensable in some cases.
The risk isn’t only about misclassification. There is a misconception that remote work means fewer rules. Helping clients map out employee roles clearly can protect them from wage claims down the line.
Hybrid schedules also increase the chances that employees will slip through compliance cracks, especially if HR isn’t updated on changing duties. That’s why documenting changes as they happen and reviewing classifications regularly is one of the easiest ways to limit legal exposure.
How Recent Court Rulings are Shaping Wage and Hour Policies
Court decisions shape how every employment policy should be written and enforced. If you advise employers or review handbooks, you’ve probably had to rethink a few policies lately thanks to recent rulings.
One big ruling emphasized that rounding time entries can violate wage and hour law if it ends up shortchanging employees. Another ruling made it clear that offering a meal break isn’t enough, employers must make sure it actually happens.
The courts are also putting more pressure on accurate recordkeeping and on protecting employee rights in remote settings. That affects how your clients should structure their onboarding, policies, and payroll systems. Legal advice that was sound five years ago might now fall short.
To stay ahead, it helps to regularly review legal updates, court opinions, and regulatory guidance related to employment law. Understanding how these rulings are interpreted in practice can help you offer better advice and protect your clients from unnecessary legal exposure.
How CEB Can Help
CEB offers practical support to employment law attorneys in California through expertly developed resources. Whether you’re interpreting a recent court ruling or helping clients avoid wage claim pitfalls, CEB’s tools, such as legal research platforms and MCLE-compliant courses, can help you stay prepared, informed, and effective in your day-to-day work.
