California continues to expand protections for employees who report alleged misconduct, creating new challenges for employers defending against whistleblower retaliation claims. In her article published in the Fall 2025 issue of Defense Comment, Gordon Rees Scully Mansukhani Partner Dana Burch examines recent case law and legislation that have reshaped the state’s whistleblower landscape and elevated the burdens on employers.
Burch explains that the California Supreme Court’s decision in Lawson v. PPG Architectural Finishes replaced the long-standing McDonnell Douglas burden-shifting framework with a more employee-friendly “contributing factor” standard. Under this test, plaintiffs need only show that protected activity played any role in an adverse employment decision, while employers must prove by clear and convincing evidence that the same decision would have been made regardless.
Adding to this shift, Senate Bill 497, effective January 1, 2024, created a 90-day presumption of retaliation whenever an adverse action occurs within 90 days of a protected disclosure. Together, these developments substantially lower the threshold for plaintiffs and heighten the evidentiary and documentation burdens for employers.
Burch advises employers to reinforce internal reporting channels, maintain contemporaneous documentation of performance and disciplinary decisions, and ensure consistency in applying workplace policies. Even well-intentioned management actions may face heightened scrutiny under California’s evolving whistleblower framework.
Burch is a member of GRSM’s Employment and Labor practices. An experienced litigator, she is well-versed in all phases of litigation, including discovery, depositions, law and motion, settlement negotiations, trials, and appeals. Burch also advises employers on best practices and how to navigate California’s employment law landscape.
Read the full Defense Comment article.