Governor Newsom has signed SB 93 which will require employers in hospitality and business services industries to offer new positions to qualified employees who were laid off due to COVID-19. If a new position opens up, it must first be offered, within 5 business days, to a qualified laid off employee. While this is good news for the economy and will allow people to return to work, it also means that we need to be careful when settling cases by way of Compromise & Release for employees who were laid off. This mandate continues through 2024 and you could end up with an employee returning to the employer after settlement. Something to consider.
SB 93 requires employers in the hospitality and business services industries, including hotels, airports and large event centers, to offer new positions to qualified former employees laid off due to COVID-19 within five business days, through 2024.