Tara Fournier, SHRM-SCP, SPHR, MSHR

California's Court of Appeal just made payroll simpler for exempt outside sales—but the bigger play is how this ripples through all your variable-pay workers. What happened: In Hirdman v. Charter Communications (Aug 4, 2025), the court confirmed that employers may calculate paid sick leave for exempt outside sales reps using only their base hourly rate, excluding commissions, as long as the same method is used for all other paid leave types (vacation, PTO, etc.) . Why it's powerful: • It erased ambiguity around whether commissions must be included • It affirmed that “exempt” under sick-leave law includes outside sales—no narrow loopholes • It lets HR and finance teams deliver clarity—and reduce payroll complexity But here’s where you can lead the conversation: Non-exempt employees get one of two methods—but both include commissions or earnings, potentially driving higher sick-pay—so you must not apply the exempt formula by default. And for those tricky recoverable draw structures? You’ve got to ask: How do you calculate vacation, PTO, and sick pay? Is it based on the draw? Commissions? You must mirror that method—consistently. What leaders should do now: 1. Audit your sick-leave policy—does it match your vacation/PTO method? 2. Identify who is exempt vs. non-exempt—are you applying the right formulas? 3. Review your draw/commission setup—is your sick-pay aligned with your other leave? Here's your invitation: Be the payroll hero who sees not just the ruling—but the ripple effects through every variable-pay scenario in your company. Simplify. Comply. Thrive.

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Today isn’t just the first of the month of Halloween…. It’s also the start of a new chapter in California hiring. Starting October 1, 2025, the California Civil Rights Department begins enforcing new rules under FEHA to regulate the use of AI and automated decision systems (ADS) in employment , especially in recruiting. These regulations make it clear: if a tool is making or influencing hiring decisions, employers are accountable for fairness, bias, and recordkeeping, even when vendors are involved. At SweeterHR, we’ve always done it differently. No AI. No shortcuts. Just smart, compliant, people-first recruiting done by HR pros who know the field and the position they’re recruting. We serve on HR boards, attend industry events, and stay connected with an active network of top-tier HR talent. We don’t “source.” We build relationships. We don’t run resumes through a filter. We read them. We don’t guess at fit. We have real conversations. That’s why our clients get more than candidates, they get clarity, confidence, and compliance. When we recruit, we don’t rely on AI to tell us who’s a fit. That care shows in the results. Our clients don’t just receive resumes. They get qualified candidates backed by documentation and clarity. If you’re rethinking your hiring approach in light of California’s new rules, we’d love talk! #recruiting #ai #california #hr

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Are you using AI or automated tools in recruiting, hiring, promotions or other employment decisions? Starting October 1, 2025, California employers must comply with new Civil Rights Council (CRC) regulations on Automated-Decision Systems (ADS). These rules, which apply to all California employers covered by the Fair Employment and Housing Act (FEHA), prohibit using ADS that result in employment discrimination. Now is a good time to review your process. #HRConsulting #Recruiting #LoopHRConsulting

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⚖️ California Employment Law Weekly Update – Key HR Takeaways I share essential updates from top legal experts to help California HR professionals stay compliant and informed each week. Here’s what HR practitioners should know from last week (Aug 17–23, 2025): 1️⃣ In 2026, a New Year Brings a New Minimum Wage for California Employers By Brian Johnsrud, Katherine Huibonhoa & Annabel P. at Duane Morris LLP 💵 California’s minimum wage will rise to $16.90/hour on Jan 1, 2026, for most employees under Labor Code §1182.12(c), with limited exceptions. 🔗 https://lnkd.in/gbnVyREV 2️⃣ California Civil Rights Department (CRD) Ramps Up Enforcement of the California Fair Chance Act (CFCA) By Rod Fliegel & Rachel E. Simons at Littler ⚖️ The CRD aggressively enforces background check rules—many employers may unknowingly be out of compliance. Review hiring procedures. 🔗 https://lnkd.in/g5Za3RUM 3️⃣ California Court Clarifies Sick Leave Pay Calculation for Outside Sales Employees By Jonathan Judge & Julie Smith at Atkinson, Andelson, Loya, Ruud & Romo 🧾 Court confirmed outside sales employees are entitled to sick leave pay, clarifying how employers must calculate it. 🔗 https://lnkd.in/gG8V3iQX 4️⃣ Supreme Court of California Concludes That Only Willful, Grossly Negligent, or Fraudulent Failure by an Employer to Timely Pay Arbitration Fees Results in a Loss of Arbitral Rights By Jon G. Daryanani, Jill Ripke & Eric Witt at Squire Patton Boggs 📑 The state Supreme Court clarified when missing arbitration fee deadlines truly result in forfeiting rights—lessening risk from minor mistakes. 🔗 https://lnkd.in/g7d5bcFB 5️⃣ California Expands Protections for Tipped Employees — New Requirements for Employers Begin January 1, 2026 By Leah Lively at Buchalter 🍽️ SB 648 strengthens protections for gratuities. Hospitality and service employers must prepare for compliance by 2026. 🔗 https://lnkd.in/gG6irMDi 💡 Found this helpful? Save, comment, or tag a colleague who needs to stay current. 🌐 Registration for the PIHRA | California Employment Law Updates series presented by OnePoint Human Capital Management is now open: www.pihra.org/celu #HR #CaliforniaHR #EmploymentLaw #PIHRA #CaliforniaCompliance

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California employment law is complex, and even well-meaning employers can find themselves in hot water. After years of consulting with hundreds of California business owners, I keep seeing the same compliance mistakes pop up. These aren't just minor oversights - they're serious issues that can lead to costly penalties and litigation. Here are 10 of the most common compliance mistakes that come across my desk: 1. “Trying out” employees as independent contractors. 2. Meal and rest break violations, including auto-deducting, rounding, and not paying meal premium penalties. 3. Missing commission agreements for sales employees. 4. Non-compliant or incomplete wage statements. 5. Failing to reimburse business expenses, like phone and internet for remote employees. 6. Not compensating employees who check emails or perform other work “off the clock”. 7. Outdated employee handbooks or company policies. 8. Paying wages late after termination or resignation. 9. Mishandling medical leave. 10. Not completing required trainings (e.g. harassment prevention training, workplace violence training, etc.). The good news is, these mistakes are preventable with the right systems and guidance. Regular audits, updated policies, and proper training can keep your business compliant. If you're a California employer worried about compliance, let's talk. Better to fix these issues now than face them in a lawsuit later. 📲

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This Week in Employee Relations – Oct. 6-10, 2025 A week that tested systems of trust — from new whistleblower protections to the growing wave of white-collar organizing. The message is clear: The pressure points in culture and compliance are shifting fast. 🤖 California Enacts First AI Whistleblower Protection Law (SB 53) California just passed a first-of-its-kind law protecting employees who report potential harms tied to AI, even if they can’t prove actual damage. → ER Insight: If your org uses or plans to use AI, this raises the stakes on your internal reporting channels. Put yourself in a whistleblower’s shoes — how easy is it to raise a concern about algorithmic bias or data misuse? Review your “speak-up” platform categories and make sure they reflect emerging risks like AI ethics and automation. Tools like Speakfully can help capture those concerns before they go public. ⚖️  Professional Employees Are Organizing — and Most Employers Aren’t Ready From law firms to banks and tech firms, more white-collar workers are pursuing unionization, while a new Littler survey shows roughly 40% of U.S. employers say they’re not prepared at all to respond. → ER Insight: The old assumptions about who organizes no longer hold. Don’t wait for a petition to appear — start reading your own predictive indicators: Engagement data, ER case clusters and tone shifts in employee feedback. Those trends tell you where trust is thinning. Build transparency and dialogue now so employees don’t feel their only voice is collective. If you’re navigating this space, join the Labor & Union Relations group in empowER: The Employee Relations Community — ER leaders are actively sharing playbooks and lessons learned there. 🏛️  Federal Shutdown Leads to Union Lawsuits Over RIF Threats Two federal employee unions sued to block planned reductions in force tied to the ongoing government shutdown, calling them retaliatory and unsafe. → ER Insight: Even outside the public sector, these headlines are a reminder that how organizations handle workforce reductions speaks volumes. Communicate early, document clearly and show the “why” behind decisions — transparency in tough moments is the strongest form of risk mitigation. Full article links below 👇 #EmployeeRelations #ERInTheNews #AI #Unions HR Acuity

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🚨 Workforce reductions are never easy — and staying compliant during the process is critical. Our friends at Fisher Phillips continue to be a trusted resource in this space, and we want to give a special shoutout to Jason Geller, who consistently publishes insightful, practical guidance for California Employers. Jason’s content helps employers navigate the complexities of layoffs, Cal-WARN Act obligations, and best practices to minimize risk while treating employees with dignity and respect. If your organization is considering or planning a reduction in force, I highly recommend following Fisher Phillips and Jason for timely updates and expert perspective. 👉 link to article in comments #WorkforceStrategy #Compliance #EmploymentLaw #FisherPhillips #HRLeadership

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In my recent On Leadership column, I wrote about how leaders often delay change while waiting for better timing, more resources, or perfect alignment. But momentum rarely comes from waiting; it comes from equipping people to engage in the process. Marcela Hermosillo M.S. SHRM-CP Hermosillo-Tarin, HR director at Arum Group Senior Living and founder of Serenity by Design, put it in perspective: “Research shows that 70% of change initiatives fail, most often because the people side of change is overlooked.” She compared organizational change to a map: you need to know where you are, where you’re going, and how you’ll get there. And as technology like AI reshapes work, Marcela emphasizes that success depends far more on how people adapt than on the technology itself. Her insight is a powerful reminder: momentum builds when leaders prepare and support people, not when they delay. Read the full Des Moines Business Record column here 👉 https://bit.ly/48Ec7N7. #CEO #leadership #leadershipdevelopment #culture #strategy #strategiccommunication

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