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Home Business

Businesses sue state over new California workplace law

LA Daily News by LA Daily News
Jan 9, 2025 7:41 pm EST
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By Jeanne Kuang | CalMatters

California businesses are suing to halt a new state law that bars them from requiring employees to attend anti-union meetings at work.

The state’s Chamber of Commerce and California Restaurant Association filed the suit in federal court on New Year’s Eve, a day before the new law was to go into effect, seeking to block it from being enforced.

The law prohibits employers from disciplining workers who refuse to attend workplace meetings to hear about their bosses’ “opinion about religious or political matters” — including whether or not employees should unionize. Businesses could be fined $500 a day for violations.

Labor groups said these so-called captive audience meetings intimidate workers out of exercising their right to unionize; business groups argued it interferes with employers’ right to free speech, including discussing how or political developments affect their workplaces.

The law, authored by Hayward Democratic Sen. Aisha Wahab, was one of organized labor’s few victories in the 2024 legislative session. California joined about 10 other mostly Democratic states in enacting similar laws amid a surge of labor organizing in recent years. Expecting the Trump administration to be less favorable to them, unions have been counted on the state law to help preserve the more organizing-friendly environment of the past four years.

For example: the National Labor Relations Board, which has for decades generally allowed employers to hold so-called captive audience meetings, in November issued a ruling calling them illegal . But Amazon, the employer in that case, is contesting the ruling and labor experts expect the board to reverse its position under Trump. In that case, the California ban on the meetings would still apply.

But the suit challenging the law is no surprise. Businesses have already sued over similar laws in other states. Wisconsin in 2009 was one of the first states to ban such meetings; When employers filed suit the…

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LA Daily News

The Los Angeles Daily News is the second-largest-circulating paid daily newspaper of Los Angeles, California. It is the flagship of the Southern California News Group, a branch of Colorado-based Digital First Media.

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