A New Year and New CA Laws

By:  Paul Horn, CFP®, CPWA®, Senior Financial Planner

As we start 2022 it is important to be aware of new law changes. In California this year there is no shortage of laws with Governor Newsom signing 770 bills last year advancing the Governor’s California Comeback Plan. Below is a summary of the ones that you should be aware of:

Higher Minimum Wage

Starting January 1st, the minimum wage is $15 per hour for businesses with 26 or more employees. The minimum wage is $14 per hour for businesses with less than 26 employees.

Fewer Shenanigans from Food Delivery Companies

There are a couple of meaningful changes that come out of AB 286. Food delivery companies will no longer be allowed to steal tips from drivers to cover their expenses. In the past companies like DoorDash have paid settlements for this practice. Food delivery companies will also be required to itemize and disclose fees to customers. This will also limit them from marking up food prices as well (another practice most people are not aware of).

Where Was This Law When I Was a Kid?

Starting this fall Middle Schools cannot start before 8 am and High Schools cannot start before 8:30 am. The rationale is that teenagers require extra sleep.

Hope You Know How to Compost

As part of Senate Bill 1383, all individuals and businesses must now compost. This will require individuals to sort organic waste from the rest of their trash. Each municipality will determine how this will be done. As an example, a pilot program in the LA area is having residents mix the organic waste with their plants and grass clippings.

I Would Like a Fork, please?

Restaurants are now prohibited from passing out single-use utensils or condiments unless a customer asks. This means you will have to ask for a fork, chopsticks, or spoon so you can eat your food.  This law is an expansion of the straw rule change we saw a few years ago.

Bringing Home the Bacon is Expensive

California has passed the strictest laws in the nation regarding bacon production. The new law increases the confinement area for pigs, chickens, and veal and bans the sale of products from farms that do not comply with the new rules. Critics including lawmakers from both parties have called to stop enforcing this until 2024 and grocers and restaurants are suing as well.

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