Governor Vetoes Several Employment-Related Bills

Topics: New Laws & Legislation

Yesterday California Governor Arnold Schwarzenegger vetoed several employment-related bills that would have caused more headaches for California employers. The California Legislature had passed the following bills and sent them to the Governor for signature: (1) AB 335, which would have prohibited forum selection and choice of law clauses in employment agreements, if the clauses provided for a forum other than California or the law of a state other than California for resolution of disputes between a California employee and the employer; (2) AB 793, which would haveincreased the statute of limitations and recovery period for compensation-related claims; (3) AB 943, which would have prohibited employers in most instances from obtaining credit reports for use in hiring decisions; and (4) AB 527, which would have created a presumption in Labor Commissioner proceedings that all pay records relating to the claim would be presumed false if the Labor Commissioner found that two or more records for any pay period were falsified. The Governor vetoed eachof these bills yesterday.