---
title: Top 3 California Compliance Updates to Watch in 2021
description: Staying in compliance this year will also require extra attention & involvement from entire organizations to be effective. We can expect to see more change
image: https://blog.symply.io/hubfs/AdobeStock_332887049.jpeg
---

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HR News & Education

Check out the latest news and resources for small businesses covering topics such as human resources, employee engagement, and management.

# Top 3 California Compliance Updates to Watch in 2021

[Nicole Jones](https://blog.symply.io/author/nicole-jones)

 Feb 5, 2021 3:07:31 PM

![AdobeStock_332887049](https://blog.symply.io/hs-fs/hubfs/AdobeStock_332887049.jpeg?width=1500&name=AdobeStock_332887049.jpeg)

Every new calendar year comes with new laws, but this year we can expect to see even more changes as we continue to battle COVID-19 and welcome a new administration. Staying in compliance this year will require extra attention and involvement from entire organizations to be effective. 

 

Here are the top 3 California compliance changes to watch for this year:

## **Pay Data Reporting**

Many organizations are required to file an EEO-1 Report with the EEOC annually. Now, due to the passage of [SB-973](https://www.dfeh.ca.gov/paydatareporting/faqs/?utm_campaign=Clients&utm_source=hs_email&utm_medium=email&_hsenc=p2ANqtz--a0ANn84AK6FgIXo0jBkQe7xQOKmAte1F3c3qB1qRnthYT-UjTWv5pCDuLUW_YjkAOWKFO), private employers of 100 or more employees (with at least one employee in California)must complete and submit an additional level of pay data reporting to the Department of Fair Employment and Housing (DFEH) by March 31, 2021, and every year after that. 

 

The new report must include the number of employees by race, ethnicity, gender, job categories, and pay band data. While the first annual submission deadline is right around the corner, the California Pay Data report aligns closely with EEO-1 reporting requirements and shouldn't catch employers off guard. 

 

However, we highly recommend you address any pay inequalities you discover during the pre-reporting process BEFORE you submit your data to the DFEH. This an opportunity to pop the hood of your own company and make improvements before it becomes a problem.  

 

The DFEH hosts an [information page](https://www.dfeh.ca.gov/paydatareporting/) on their website with a user guide, spreadsheet templates, and FAQs to help employers navigate their new obligations. This is also where you will submit your data using the Pay Reporting Portal.

 

Don't forget - The EEOC waived 2019 EEO-1 reporting requirements for private-sector employers due to COVID-19, but companies are not off the hook. If your business is required to complete an EEO-1 report, you should have your forms for 2019 *and* 2020 ready to go by the end of March as well.  [The EEOC announced data collection is scheduled to re-open in April of this year.](https://www.eeoc.gov/employers/eeo-1-data-collection) 

 

## Cal/OSHA COVID-19 Emergency Temporary Standards

The emergency temporary Cal/OSHA standards on COVID-19 prevention are now in effect and apply to most California employers. To help maintain these requirements and prevent the spread of disease, OSHA recommends that employers encourage greater involvement from employees and stricter mask requirements in the [guidance released January 29](https://www.osha.gov/coronavirus/safework). 

 

Here are the requirements for employers covered by the COVID-19 prevention standards:

 

**Establish, implement, and maintain an effective written COVID-19 Prevention Program, including:**

 

**Reporting of Multiple COVID-19 Infections and Outbreaks**

Employers must notify public health departments of workplace outbreaks. Workplace outbreaks are defined as:

- Three or more cases in the workplace within 14 days or;
- 20 or more cases in the workplace within 30 days

 

**Testing for Employees**

Employers must offer COVID-19 testing at no cost to employees who have potential exposure.

 

**Record-keeping and Reporting**

Employers must maintain a record of all COVID-19 cases and notify Cal/OSHA of all work-related hospitalizations or fatalities due to COVID-19.

 

*Cal/OSHA has several *[*online resources*](https://www.dir.ca.gov/dosh/coronavirus/)* to help employers take steps to protect workers. Some of the materials available include webinars, FAQs, fact sheets, and even a *[*COVID-19 Model Prevention Program*](https://www.dir.ca.gov/dosh/dosh_publications/CPP.doc)* employers can use to develop a plan of their own.  *

 

## Expanded California Family Rights Act

In September 2020, Governor Newsom passed legislation to significantly expand the existing California Family Rights Act (CFRA) effective January 1, 2021. Let's review how the changes impact both large and small businesses.

 

 Under the previous regulations, private employers of 50 or more employees working within 75 miles of the worksite were required to provide up to 12 weeks of unpaid leave every 12 months for family and medical leave purposes.

[Senate Bill 1383](http://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=201920200SB1383) expands CFRA to include employers of five or more employees, broadens the definition of "family members" to cover many more categories, and eliminates the requirement that employees live within 75 miles of the worksite. 

 

Under the previous CFRA law, the definition of "family member" was limited to a minor child (unless the child is an adult and a dependent child), a spouse, or a parent. Now, SB 1383 significantly expands the definition to include siblings, grandparents, grandchildren, domestic partners and their children, and all adult children(regardless of whether they are dependent). 

## Read On

### [Updated Employee Retention Tax Credit: Good News for Small Businesses](https://blog.symply.io/updates-to-employee-retention-tax-credit)

### [How to Classify Employees as Exempt vs. Non-Exempt One of the many responsibilities a business owner must oversee is classifying their employees as...](https://blog.symply.io/how-to-classify-employees-as-exempt-vs.-non-exempt)

### [How to Set Up Payroll for Your Small Business in 9 Steps Congrats, you’ve started a business! Or maybe your business is growing and it’s time to hire your...](https://blog.symply.io/how-to-set-up-payroll-for-your-small-business-in-9-steps)

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