The battle between protecting workers’ rights and an employer’s right to engage in free speech has landed in federal court in the Eastern District of California.
Senate Bill 399, commonly referred to as the “captive audience” law, went into effect on January 1, 2025. This statute prohibits employers from requiring employees to attend meetings on political and religious matters and union organization. The challenge, brought by the California Chamber of Commerce and the California Restaurant Association, argues that the statute violates the First and 14th Amendments to the U.S. Constitution.
Specifically, plaintiffs argue that the effect of the statute is an improper regulation of an employer’s speech and discriminates against the political views of the employer. Additionally, the complaint alleges that SB 399 is preempted by the National Labor Relations Act (NLRA). In 2024, the National Labor Relations Board (NLRB) ruled that captive audience meetings regarding unionization violate the NLRA.
How or when all of this shakes out remains to be seen. In the meantime, employers must consider whether it is in their best interest to comply with SB 399 and make attendance at these types of meetings voluntary or follow the NLRA and apply the restrictions only to mandatory meetings related to unionization.
Employers Council’s California Legal Services Team will monitor and update this litigation as it proceeds through the court process. In the meantime, if you have concerns about compliance with this statute, please contact our team at CAinfo@employerscouncil.org.
Mary Miller is an attorney for Employers Council.