California Employment Law Update 2025: New PAGA, Disability, and Whistleblower Rulings

August 27, 2025 | Los Angeles, CA — MedLegalNews.com — Proskauer Rose LLP has released its July 2025 California Employment Law Update, highlighting several recent court rulings that reshape the landscape of employment litigation. The update addresses cases involving Private Attorneys General Act (PAGA) claims, disability discrimination, and whistleblower protections—three areas that continue to generate significant legal developments in California workplaces.

The California Employment Law Update is widely followed by employment attorneys, HR leaders, and compliance professionals because it captures the most recent judicial interpretations that influence day-to-day workplace operations. By analyzing new precedents, the update provides practical insights into how courts are applying statutes and regulations, particularly in areas where litigation activity remains high. For California employers, these updates are critical to understanding shifts in liability exposure, potential compliance pitfalls, and the broader legal trends shaping employment practices across the state.

PAGA Class Decertification Rulings

The update notes that California courts are increasingly scrutinizing PAGA claims, particularly when class certification issues arise. In recent decisions, courts have ruled against allowing decertified classes to proceed under PAGA, signaling a more restrictive approach to representative claims. This shift could significantly impact employee class actions, limiting the scope of collective recovery.

Disability Discrimination and Employer Obligations

Several rulings reaffirmed the importance of employers engaging in an interactive process with employees requesting reasonable accommodations. Courts emphasized that failure to adequately consider disability-related requests could result in liability, even if the employee was not ultimately terminated. These cases underscore the need for employers to maintain thorough documentation and proactive communication.

Whistleblower Protections Extended

Proskauer also highlighted new interpretations of whistleblower laws, where courts reinforced that employee protections extend beyond termination. Recent rulings clarified that retaliation claims may arise from demotions, pay cuts, or other adverse employment actions, broadening the scope of what constitutes protected activity under California law.

These updates provide employers, HR professionals, and attorneys with critical insights into evolving case law that could influence litigation strategies and compliance measures in 2025 and beyond.

For full details, readers can review Proskauer’s California Employment Law Update directly.


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FAQs: California Employment Law Update

What is the California Employment Law Update 2025?

The update is a July 2025 summary by Proskauer highlighting new case precedents involving PAGA claims, disability discrimination, and whistleblower protections.

How do recent rulings affect PAGA claims?

Courts are increasingly rejecting attempts to revive PAGA actions from decertified classes, signaling narrower opportunities for collective claims.

Why are whistleblower protections important in 2025?

Courts have expanded protections to include demotions and pay cuts, ensuring employees are safeguarded against all forms of retaliation, not just termination.

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