Table Of Contents
San Francisco Fair Workweek: A Comprehensive Guide
Running a business in San Francisco means navigating a unique set of labor laws designed to protect employees’ rights. Among these, the city’s “Fair Workweek” requirements—often contained within the Formula Retail Employee Rights Ordinances—are particularly crucial for businesses operating in industries like retail, food services, hospitality, and beyond. If you’ve heard references to “predictable scheduling,” “retail workers bill of rights,” or “secure scheduling,” it’s all part of San Francisco’s push to ensure fairer treatment of hourly workers.
In this guide, we’ll dive into the essentials of the city’s scheduling regulations, from which businesses need to comply to how employers can implement strategies—often with the help of scheduling software solutions like Shyft—to streamline compliance. We’ll discuss the two weeks’ advance notice requirement, predictability pay, recordkeeping duties, and more. By the end, you’ll have a clear picture of how to meet your obligations under these laws and create a more stable, transparent scheduling environment for your workforce.
The laws can be dense, but understanding them is key to avoiding costly penalties, maintaining employee satisfaction, and staying in good standing with the San Francisco Office of Labor Standards Enforcement (OLSE). Below, we break it all down into approachable sections.
1. Name & Enforcing Agency
The primary set of rules governing predictable scheduling in San Francisco is generally referred to as the Formula Retail Employee Rights Ordinances—also known colloquially as the “Retail Workers Bill of Rights.” These ordinances are codified in the San Francisco Police Code, mainly Article 33F and Article 33G.
Enforcement for these ordinances is handled by the San Francisco Office of Labor Standards Enforcement (OLSE). Employers and employees can find detailed resources and official guidance on the OLSE’s website (sfgov.org/olse). If a worker believes their employer has violated any provision—such as failing to provide enough advance notice of schedules—they can file a complaint directly with the OLSE.
2. Coverage
These ordinances largely apply to “Formula Retail Establishments,” commonly chain or franchise businesses with standardized branding or product lines. Specifically, the thresholds are:
- At Least 40 Locations Worldwide. These can be any combination of retail stores, fast-food restaurants, or chain services.
- 20 or More Employees in San Francisco. Both part-time and full-time workers, including leased or temporary workers, count toward this total.
Additionally, property service contractors (such as janitorial or security providers) servicing these establishments must also follow the law if they meet the eligibility criteria. Meanwhile, smaller, independent businesses or those that do not meet the “formula retail” threshold are generally not covered by these specific scheduling rules. They may, however, be subject to other labor regulations like San Francisco’s Minimum Wage Ordinance and Paid Sick Leave Ordinance.
To qualify for protection under the Fair Workweek rules, employees only need to work at least two hours per week in San Francisco for a covered employer. This inclusive definition means even part-time staff who are minimally scheduled are covered. In short, if your operation is a franchise or chain with a considerable local presence, you’re likely covered—and your employees can expect the full suite of scheduling protections.
3. Advance Scheduling
A cornerstone of San Francisco’s Fair Workweek law is the requirement that covered employers provide a two-week advance notice of work schedules. Specifically, you must:
- Provide a Good-Faith Estimate at the start of employment. This should project how many hours per week an employee can expect to work, plus the times and days of those shifts.
- Post or Distribute Work Schedules at least 14 days before the first shift of that schedule. This can be done via a physical posting in a common area or through electronic communication if that’s your usual practice.
This requirement aims to help workers plan their lives outside of work, ensuring they have predictable income and can coordinate childcare, education, or other personal obligations. From an employer’s perspective, scheduling software like Shyft can greatly assist with generating, distributing, and tracking these rosters, keeping you on top of compliance.
4. Predictability Pay
If you make last-minute changes to an employee’s schedule after you’ve already posted or distributed it, you may owe them predictability pay. The law stipulates:
- Less than 7 Days but More Than 24 Hours’ Notice: You owe one extra hour of pay at the employee’s regular rate.
- Less than 24 Hours’ Notice: You owe two hours of pay for each shift of four hours or less, and four hours of pay for each shift that exceeds four hours.
For example, let’s say you run a quick-service restaurant with a posted schedule for the upcoming week. If you decide to cancel someone’s four-hour shift just 12 hours before it’s set to start, you’ll owe that employee predictability pay of two hours’ wages. If the canceled shift had been a six-hour shift, you’d owe four hours of pay.
Exceptions exist in cases of genuine employee-initiated changes (e.g., the employee is sick or requests a shift swap) or certain emergencies (such as power outages or natural disasters). However, these exceptions are fairly narrow, so it’s important to document everything thoroughly.
5. Extra Hours for Part-Timers
Before hiring a new employee or a contractor to fill additional hours, you must first offer any extra hours to your existing part-time staff. This requirement is meant to support those who may want or need more work to reach full-time status or boost their income. Key points include:
- You must offer newly available or additional hours in writing to current employees.
- Qualified part-timers who accept the hours should be scheduled accordingly, rather than the employer bringing in entirely new staff for those hours.
- Maintaining a record of these offers and employee responses is essential for proving compliance should the OLSE ever request that data.
By following this rule, you not only stay compliant but also foster stronger staff loyalty. Employees appreciate having the chance to earn additional wages before employers search externally.
6. Rest Between Shifts
Unlike some other municipalities, such as Seattle, that require a “right to rest” period between closing and opening shifts, San Francisco’s ordinances do not mandate a specific rest gap. However, state and federal rules regarding meal and rest breaks, overtime, and similar issues still apply. This means it’s crucial to remain compliant with all relevant labor codes, including those from the California Department of Industrial Relations.
If employees feel they’re not given adequate rest or are scheduled in ways that result in excessive overtime, it may open the door to wage and hour claims. While San Francisco’s local laws don’t explicitly require a set number of hours off between shifts, best practices—like maintaining 8 to 10 hours of rest—can go a long way toward reducing turnover and avoiding burnout.
7. Retaliation Prohibited
Similar to most labor laws, retaliation is strictly prohibited. Employers cannot punish workers for exercising their rights under the Fair Workweek provisions. Adverse actions may include reducing hours, firing, demoting, or any other type of disciplinary measure prompted by the employee’s request for predictability pay or by the filing of a complaint with OLSE.
If an employee believes they have been retaliated against, they can seek help from the OLSE or through a private legal action. In many cases, employees who experience retaliation are entitled to recover damages, back pay, and possibly reinstatement.
8. Recordkeeping & Posting
To prove compliance, you’ll need to maintain specific records for at least three years. This includes schedules, payroll records, written offers of additional hours, and any communications about schedule changes. Best practices include:
- Keeping a digital record: Emails, text threads, or digital rosters can make it easier to document compliance.
- Maintaining clear records of schedules posted and distributed, including timestamps.
- Saving written offers of extra hours and employee responses.
Additionally, the city requires you to post a notice informing employees of their rights in a location where staff can easily read it. You can find the official Formula Retail Employee Rights Poster on the OLSE website (sfgov.org/olse/formula-retail-employee-rights-ordinances).
9. Enforcement & Penalties
The OLSE is the primary enforcement body overseeing these ordinances. If they find an employer in violation—either through an employee complaint or a proactive investigation—they can order remedies such as:
- Reinstatement or Back Pay to compensate employees for missed wages or benefits.
- Predictability Pay for any unpaid schedule changes.
- Administrative Fines that the employer must pay to the city and/or directly to the affected employee.
In some circumstances, employees also have a private right of action, allowing them to sue directly if their rights are violated. Penalties can be costly, and the impact on workplace morale can be significant. By having clear, well-documented scheduling procedures, you minimize risks for both your business and your workforce.
10. Emergency Provisions
Employers do receive a measure of flexibility when it comes to bona fide emergencies. If a natural disaster, major utility failure, or safety threat requires you to cancel or alter shifts with little notice, predictability pay may not apply. Of course, these exceptions must be well-documented, and the circumstances must be genuinely out of your control.
The law typically does not exempt schedule changes made simply due to fluctuations in customer volume or staff availability. To stay on the safe side, maintain robust written records any time you activate an emergency-related schedule change.
11. Additional Topics
Employee Retention is another key aspect, covered under Article 33G, which mandates certain reemployment and retention periods if a covered retail business is sold, transferred, or undergoes a management change. Generally, workers must be retained for at least 90 days post-transition, barring legitimate performance issues.
Additionally, some aspects of the law can be waived through a collective bargaining agreement if it explicitly states that the union has waived those provisions. This can modify or override standard requirements like predictability pay or scheduling notice if negotiated.
12. Resources
For more detailed information, visit these official sources:
- San Francisco Office of Labor Standards Enforcement (OLSE): sfgov.org/olse
- Formula Retail Employee Rights Ordinances: sfgov.org/olse/formula-retail-employee-rights-ordinances
- Mandatory Poster/Notice: sfgov.org/olse/sites/default/files/Document/FormRetail_Notice.pdf
- Article 33F (Predictable Scheduling): Link to Full Text
- Article 33G (Retention Protections): Link to Full Text
- San Francisco Minimum Wage Ordinance: sfgov.org/olse/minimum-wage-ordinance-mwo
- San Francisco Paid Sick Leave Ordinance: sfgov.org/olse/paid-sick-leave-ordinance-pslo
If you’re looking for additional support with compliance, some businesses implement workforce management software. For instance, Shyft provides scheduling tools that help manage shift swaps, forecasting, and compliance tracking, ensuring you don’t miss crucial deadlines.
Summary
At its heart, San Francisco’s scheduling regulations aim to give employees the predictability they need to better plan their lives. Employers subject to these rules must provide two weeks’ advance notice of shifts, offer extra hours to existing part-timers first, and pay additional “predictability pay” when schedules are changed on short notice. These requirements are actively enforced by the OLSE, which can levy fines and penalties for noncompliance. Beyond scheduling, remember that rules covering employee retention, recordkeeping, and anti-retaliation measures also apply.
By taking proactive steps—like developing a robust scheduling policy, training managers properly, and exploring technological solutions such as Shyft—you can make compliance more manageable while also creating a more stable workplace for your employees.
Conclusion
In the hustle of managing a San Francisco business, it’s easy to overlook complex regulations like the Fair Workweek ordinances. But noncompliance can lead to employee dissatisfaction, legal disputes, and hefty fines. By understanding the coverage thresholds, meeting notice requirements, and offering extra hours to your existing workforce, you not only mitigate risk but also foster a supportive work environment.
Ensuring that your scheduling practices align with these laws doesn’t have to be a burden. Clear policy, consistent communication, and the right tools help you navigate each provision, whether it’s predictability pay or recordkeeping. If you are ever unsure, consult the official OLSE resources or seek legal advice to safeguard your business and workforce. It’s a wise investment in the long-term health of your organization.
Finally, remember that each step toward fairness and predictability in scheduling can pay dividends in employee loyalty, reduced turnover, and community goodwill. As labor standards continue to evolve, staying compliant shows both your staff and customers that you take social responsibility seriously.
FAQ Section
1. Do all San Francisco businesses have to follow these scheduling rules?
No. The Fair Workweek rules primarily apply to “formula retail” or chain businesses with at least 40 locations worldwide and 20 or more employees in San Francisco. Smaller, independent businesses generally do not need to comply unless they meet these coverage requirements. However, they are still subject to other local labor laws like the minimum wage and paid sick leave ordinances.
2. How do I handle a sudden schedule change due to an employee calling in sick?
If an employee requests the change or calls in sick, the business typically does not owe predictability pay. However, this exemption is specific to employee-initiated changes. For employer-driven changes, even if they are last-minute, you may owe predictability pay unless another specific exemption applies.
3. What if my business experiences a temporary power outage?
Natural disasters, utility failures, and other emergencies generally fall under the legitimate exceptions where predictability pay may not be required. You should carefully document the incident, including the time and reason for the outage, to validate that the schedule change was unavoidable.
4. How does predictability pay affect overtime calculations?
Predictability pay is additional compensation on top of regular wages; however, it does not always count as “hours worked” for overtime. Because the calculation can be complex, it’s wise to consult the OLSE’s guidelines or a qualified labor attorney to ensure proper compensation and recordkeeping.
5. Do I need to keep paper copies of schedules, or is digital proof enough?
Digital records are acceptable as long as they’re readily accessible and clearly document your compliance with scheduling, notification, and recordkeeping obligations. Many employers maintain both paper and electronic copies to be safe, but it’s not strictly required if your digital system can reliably archive and retrieve records.
Disclaimer: This article is for informational purposes only and does not constitute legal advice. For specific concerns, consult a licensed attorney or contact the San Francisco Office of Labor Standards Enforcement.