Managing Your Workforce

The Affordable Health Care Act contains both responsibilities and benefits for employers in California. Information about the Affordable Care Act can be found by visiting IRS Affordable Care Act. Additional information on IRS reporting requirements and health care opportunities from Covered California are summarized below.

In addition, employers are subject to the Employer Shared Responsibility Provisions.

The U.S. Small Business Administration(SBA) also provides informational resources to help small businesses better understand the Affordable Care Act.

CalSavers is California’s retirement savings program designed for the millions of Californians who lack a way to save for retirement at their job.

CalSavers was created by legislation passed in 2016 requiring California employers that do not sponsor a retirement plan to participate in CalSavers – an automatic enrollment individual retirement account (IRA) with no employer fees or fiduciary liability.

Each year, newly mandated employers will receive notifications informing them about their mandate status and will be required to register by the end of the calendar year if they have five or more employees and do not sponsor a retirement plan.

Employers who do not meet registration deadlines may be subject to penalties.

• CalSavers (State Treasurer’s Office)
• CalSavers Registration Site

The Department of Fair Employment and Housing(DFEH) is the state agency charged with enforcing California’s civil rights laws. It is part of the mission of DFEH to protect the people of California from unlawful discrimination in employment.

The Division of Occupational Safety and Health(DOSH), better known as Cal/OSHA, protects and improves the health and safety of working men and women in California.

Cal/OSHA’s Consultation Services Branch provides free and voluntary assistance to employers to improve their health and safety programs.

Paid Sick Leave– The Healthy Workplace Healthy Family Act of 2014 (Assembly bill 1522), California’s new paid sick leave law, took effect on July 1, 2015. An employee who, on or after July 1, 2015, works in California for 30 or more days within a year from the beginning of employment is entitled to paid sick leave.

Wages, Hours, & Working Conditions
Businesses with employees must comply with laws establishing minimum standards for wages, hours and working conditions.

Reporting Uncashed Payroll Checks
Businesses are required to report uncashed payroll items as unclaimed property to the State Controller.

Paid Sick Leave
The Healthy Workplace Healthy Family Act of 2014 (Assembly bill 1522), California’s new paid sick leave law, took effect on July 1, 2015. An employee who, on or after July 1, 2015, works in California for 30 or more days within a year from the beginning of employment is entitled to paid sick leave.

Employment Development Department Registration
An employer is required to file a Registration Form within 15 days after paying more than $100 in wages to one or more employees.

Internal Revenue Service (IRS) – Employment Identification Number Registration
Employers with employees, business partnerships, and corporations, must obtain a Federal Employer Identification Number (EIN) from the IRS. Businesses can obtain appropriate federal income tax forms using the IRS website. You can contact them at (909) 388-8108.

California Competes
The California Competes Tax Credit is an income tax credit available to companies that want to come to California or stay and grow in California.

Employment Training Panel
The Employment Training Panel (ETP) provides funding to employers to assist in upgrading the skills of their workers through training that leads to well-paying, long-term jobs.

New Employment Credit
The New Employment Credit is an income tax credit available to companies that hire full-time employees within designated geographic areas.

Work Opportunity Tax Credit
The Employment Development Department is the Work Opportunity Tax Credit (WOTC) certifying agency for California employers. WOTC is a federal tax credit incentive available to employers for hiring individuals from certain target groups (veterans, ex-felons, youth, and more) who have consistently faced significant barriers to employment.

Fidelity Bonding Program
The Employment Development Department Fidelity Bonding Program (PDF) helps ease employers’ concerns with hiring ex-offenders and at-risk job applicants by providing a level of insurance for employers against possible theft and dishonest or fraudulent acts. The bonding program is provided at no cost to employers, employees, and job seekers at America’s Job Center of California locations.

Businesses with employees must maintain Workers’ Compensation Insurance coverage. Consult the California Department of Industrial Relations(DIR) website and view a list of DIR Frequently Asked Questions about Workers’ Compensation for employers.

Employers may finance their liability for workers’ compensation benefits by one of three methods:

1. Self insurance– Most large, stable employers and most government agencies are self-insured for workers’ compensation. To become self-insured, employers must obtain a certificate from the Department of Industrial Relations.
2. Private insurance– Employers may purchase insurance from any of the private insurance companies which are licensed by the Department of Insurance to transact workers’ compensation insurance in California.
3. State insurance– Employers may also purchase insurance from the State Compensation Insurance Fund, a state-operated entity that exists solely to transact workers’ compensation insurance on a non-profit basis.

If you are an out-of-state employer you may need workers’ compensation coverage if you have any employees regularly working in California, or if you enter into a contract of employment in California.

California offers many resources to help your business develop a highly skilled workforce, including reimbursements for employer-designed training programs, customized workforce training initiatives, and apprenticeship support. Click on one of the resources below to learn more.

Employment Training Panel
The Employment Training Panel (ETP) provides funding to employers to assist in upgrading the skills of their workers through training that leads to good paying, long-term jobs.

Phone: 916-327-5640
Website: etp.ca.gov

California Workforce Development Board
Local Workforce Development Boards work in concert with their local Chief Elected Official to oversee the delivery of workforce services relevant to their local residents and businesses.

Phone: 916-657-1440
Website: cwdb.ca.gov

California Community Colleges Workforce Training
California’s Community Colleges are in a unique position to assist businesses in developing a high-skilled, high-performance workforce. Whether your company needs employees trained in basic skills or something highly specialized such as advanced manufacturing techniques, the community colleges can draw upon the vast resources of the system to develop a training program that will address your workforce development challenges.

Visit cccco.edu to find a Technical Assistance Provider in your industry sector or region.

Division of Apprenticeship Standards
The California Division of Apprenticeship Standards (DAS) assists employers with developing a highly skilled and experienced workforce while strengthening California’s economy. The Division helps match motivated workers with employers to strengthen recruitment and industry development.

Phone: 415-703-4920
Website: dir.ca.gov/das

California’s Labor and Workforce Development Agency provides you with the data you need to develop your workforce, including labor market information and lists of local training providers. Click on one of the resources below to learn more.

Employment Development Department
The Employment Development Department (EDD) helps job seekers and employers navigate the state’s workforce services through CalJOBS, California’s labor exchange system. CalJOBS allows users to easily search for jobs, build r├⌐sum├⌐s, access career resources, post job openings, find qualified candidates for employment, and get information on education and training programs.

For more information, visitCalJOBS.

America’s Job Center of California
California’s job centers help businesses with recruiting employees, from help with drafting duty statements and job announcements to screening applicants. They can also connect businesses with training resources for employees. Locate an America’s Job Center of California near you.
California’s job centers help businesses with recruiting and screening applicants, provide training resources for employees, and organize job fairs and workshops.

The job centers also provide the following resources:

• Re-employment services for dislocated workers
• Labor market information for planning business expansion, relocation, and future hiring
• Focused recruitment for new business ventures or facilities needing a large number of specialized workers in a hurry
• Coordinated workforce preparation services in partnership with local employment and training agencies

Contact an America’s Job Center of California near you.

California also supports employers seeking to hire veterans. Click on one of the resources below to learn more.

California Department of Veterans Affairs
The California Department of Veterans Affairs offers a variety of employment services and benefits to veterans who are unemployed or seeking employment.

Phone: 800-952-5626
Website: calvet.ca.gov

American Job Center Resources for Veterans
The American Job Center provides a list of resources for veterans and employers seeking to hire veterans.

Visit careeronestop.org to find an American Job Center near you to connect with a Business Representative and learn more about veteran employment.