The City of Los Angeles has good faith hiring requirements (“GFHR”) for all licensed commercial cannabis businesses.
Under LAMC section 104.011, Licensees must submit an annual report on or before the final day of February every year that provides evidence of the following factors. The City has created this report to assist licensees in submitting the required report. Please visit DCR to learn more about the Good-Faith Hiring Requirements.
The following definitions apply to all requirements:
"Transitional Worker" means a person who, at the time of starting employment at the Business Premises, resides in an Economically Disadvantaged Area or Extremely Economically Disadvantaged Area, as those terms are defined in Section 11.5.6 of this Code, and faces at least two of the following barriers to employment: (1) being homeless; (2) being a custodial single parent; (3) receiving public assistance; (4) lacking a GED or high school diploma; (5) having a criminal record or other involvement with the criminal justice system; (6) suffering from chronic unemployment; (7) emancipated from the foster care system; (8) being a veteran; or (9) over the age of 65 and financially compromised.
"Social Equity Worker" means an individual who meets the criteria in Los Angeles Muncipal Code (LAMC) Section 104.20(a), except for Tier 3 Applicants, or who meet the criteria in Section 104.20(b).
1. All General Applicants [LAMC section 104.11]
Requirement: 30% Local and 10% Transitional
"A Licensee shall make a good-faith effort to have no less than 30% of the weekly hours of the Licensee's workforce performed by Employees whose primary place of residence is within a three (3) mile radius of the Business Premises. A Licensee shall make a good-faith effort to have no less than 10% of the weekly hours of the Licensee's workforce performed by Employees who are Transitional Workers."
"A Licensee shall make a good-faith effort to have no less than 10% of the weekly hours of the Licensee's workforce performed by employees who are Transitional Workers."
2. Social Equity Licensees [LAMC section 104.20(c)(2)(ii)]
Requirement: 50% Local, 20% Social Equity and 10% Transitional Workers (one worker can count multiple times)
"A Social Equity Individual Applicant shall make a good faith effort to have no less than 50 percent of the weekly hours of the Licensee's workforce performed by Employees whose primary place of residence is within a three (3) mile radius of the Business Premises location. Of those Employees, 20 percent shall be Social Equity Workers and 10 percent shall be Transitional Workers."
3. Tier 3 Licensees [LAMC section 104.20(c)(2)(iii)]
Requirement: 50% Local, 30% Social Equity and 10% Transitional Workers
"A Tier 3 Applicant shall make a good faith effort to have no less than 50 percent of the weekly hours of the Licensee's workforce performed by Employees whose primary place of residence is within a three (3) mile radius of the Business Premises. Of those employees, 30 percent shall be Social Equity Workers and 10 percent Transitional Workers."