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Starting January 2022, new legislation in California is set to make a big impact on large warehouse distribution centers throughout the state (think Amazon). The law, known as AB 701,  seeks to regulate the use of quotas at these large warehouse distribution centers. 

Who Falls Under the New Law?

AB 701 targets businesses with 100 or more employees at a single warehouse distribution center, or businesses with 1,000+ employees at multiple warehouse distribution centers across the state. Here is a summary of the new regulations for businesses who fall under this category:

Written Quotas Need to be Disclosed to Employees

Moving forward, all affected distribution centers will be required to provide their workers with a written description of the quotas expected of them, as well as an explanation of any adverse employment actions which could potentially stem from not meeting those expectations.

Compliance with Labor and Health & Safety Laws

Any quotas which inhibit a worker from utilizing their allotted meal and rest breaks will be prohibited moving forward. Additionally, any quotas that get in the way of health and safety laws, including the use of bathroom facilities or occupational health laws, will also be prohibited. 

Adverse Action

The new law also blocks any adverse action taken against a warehouse worker for not meeting a quota that was either undefined, infringed on safety, or violated their rights under labor laws or health & safety laws.

Employer Transparency

Current and former employees who believe their rights have been violated are allowed to request written descriptions of any quotas they have been subject to over the previous 90 days, along with a copy of their personal work speed data. If an employer does not abide by this request, they may be held under the presumption of unlawful retaliation if they in any way discriminate or take adverse action against that employee within 90 days of their request. 

Injunctive Relief

Employees may seek injunctive relief of any infractions by their employer, to obtain compliance of AB 701 guidelines. Once the injunction prevails, those employees are entitled to recover costs and reasonable attorney fees related to that action. 

The Elephant in the Room

While the new legislation has set guidelines for which warehousing employers it affects, the elephant in the room here is Amazon. This law is going to have major implications for the distribution giant, and it will be interesting to see how the company addresses the new rules and regulations being imposed on its business. 

Contact Gokal Law

Are you a warehouse employee that believes his or her rights have been violated? Contact Jibit Cinar of Gokal Law Group, Inc. Our team specializes in litigation and counseling related to employment and labor law and will diligently represent you in the courts. In short, we will give you the support you need to win your case. The sooner you contact us, the more effective we are at getting you the justice you deserve.

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