San Francisco’s “Retail Workers Bill of Rights” Imposes Stable Work Schedule Responsibilities on Retail Employers

Starting July 3, 2015, San Francisco retail employers will have extra responsibilities to employees. The city has adopted the “Retail Workers Bill of Rights” which is intended to ensure that retail employees have more predictable and stable work schedules, that part-time employees are treated fairly and equally compared to their full-time counterparts, and to promote workforce stability and economic security by instituting an employee retention requirement when a business changes ownership.

Covered Businesses

The ordinances that comprise the “Retail Workers Bill of Rights”,  Ordinance No. 236-14 and Ordinance No. 241-14, apply to employers that:

  • own or operate a “formula retail establishment,” which includes not only retail companies, but also restaurants, banks, movie theaters, bars, and other businesses considered “formula retail use”;
  • have at least 20 retail sales establishments worldwide; and
  • employ at least 20 people in San Francisco.
  • Janitorial and security contractors or subcontractors are also covered.

Notice of Work Schedules

  • Notice to new hires: Employers must provide new employees with an estimate of the number of shifts the employee can expect to work per month, and the days and hours of those shifts.
  • Current employees: Employers must provide two weeks’ advance notice of the employee’s work schedule, by posting the schedule in a readily accessible location at the workplace, or by sending the schedule electronically.
  • Scheduling changes: Employers that change an employee’s work schedule with seven days or less notice will be required to pay extra compensation, from one to four hours of pay, depending on the extent of the notice given and scheduled shift duration.

Employee Retention

  • Part-time Employees: When work is available, employers will be required to offer additional hours to part-time employees before hiring new employees or using outside labor. Employees will also have the right to the same starting wages, access to time off and promotional opportunities as full-time employees.
  • Change in Ownership: Successor employers will be required to continue employ workers for the first 90 days following a change in control of the business.

Notice of Employee Rights and Recordkeeping

Both ordinances have workplace posting requirements. Covered employers will be required to post an official notice of employee rights and protections under the ordinances, in English and in any other language spoken by 5% of the San Francisco workforce. The fine for failing to post the required poster is $500. Employers are also required to maintain specified records, including work schedules, payroll records and offers of additional work hours, for three years.

More information about the posting will be available when we get closer to the effective date. Check back here!