On April 1, 2023, the City of Los Angeles’ Fair Work Week Ordinance (“FWWO”) becomes effective and regulates retail businesses with employees working in the City. The FWWO states that there are over 140,000 workers in the retail sector in the “Los Angeles economy.” The ordinance sets out that “unpredictability of work schedules endemic in the retail industry creates many socioeconomic burdens on worker of large retail establishments.” The ordinance is effective on April 1, 2023, there is a 180-day grace period for employers to comply, then on September 28, 2023, the City will fully enforce the ordinance and its fines. On the state level, there have been similar proposed bills for all employers (not just the retail industry), but of them have passed. This article reviews the five key issues retail employers must understand about the newly enacted City of Los Angeles ordinance:

1. Employers and employees covered under the ordinance

The ordinance applies to all employers who:

1. Have 300 or more employees globally;
2. Are identified as a retail business or establishment in the North American Industry Classification System (NAISCS) within the retail trade categories and subcategories 44 through 45; and
3. Directly, indirectly or through an agent (including through a temporary or staffing agency) exercise control over the wages, hours, or working conditions of any employee.

The ordinance applies to any employee who performs at least two hours of work within the City of Los Angeles...

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