In its recent opinion in Huerta v. CSI Electrical Contractors, the California Supreme Court addressed three inquiries posed by the 9th Circuit. These inquiries specifically relate to the definition of “hours worked” within the context of the California wage order applicable to the construction, drilling, logging, and mining industries, as well as the California labor
Wage orders
California Wage Orders, What Are They & Why Employers Should Care
By Angel R. Sevilla & Swaja Khanna on
Posted in California
The California Industrial Welfare Commission has 17 wage orders that apply to different employers based on their industry or occupation. Although other than minimum wage, these wage orders have not been updated since 2001, they provide specific rules regarding a wide variety of employment compliance issues, such as overtime, expense reimbursements, uniforms, and suitable seating…
Meal and Rest Break Premiums Payable at Base Rate, Not Regular Rate of Pay
By Eric J. Gitig & Hazel U. Poei on
Posted in Wage and Hour
A California state appellate court has ruled that the correct rate for paying meal and rest period premiums is one hour of pay at an employee’s base hourly rate, not the regular rate of pay used for calculating overtime wages. This is the first published California case to make this distinction.
Pursuant to § 226.7…
Payroll Company Not Liable Under Third Party Beneficiary Doctrine
By Eric J. Gitig & Hazel U. Poei on
Posted in Wage and Hour
On February 7, 2019, the California Supreme Court determined that an employee cannot sue a payroll company for breach of contract under the third party beneficiary doctrine, and that it is inappropriate to impose a tort duty of care upon a payroll company with regards to the obligations owed to an employee under the applicable…
Health Care Workers Allowed to Waive Meal Period
By Nathan W. Austin & Dale R. Kuykendall on
Posted in Wage and Hour
On October 5, 2015, Governor Jerry Brown signed into law a bill confirming that employees in the health care industry can waive one of their two meal periods when working a shift of over eight hours in a workday. This law clarifies confusion caused by a recently decided appellate case, Gerard v. Orange Coast Memorial Medical Center, 234 Cal.App.4th 285 (C.A. 4th, 2015) (review granted). The Gerard case is currently under review by the California Supreme Court.
Continue Reading Health Care Workers Allowed to Waive Meal Period
No Rest Period Violation for Security Guards On Call during Breaks, California Court Rules
By Susan E. Groff on
Posted in Wage and Hour
Reversing a trial court’s awarding of a $90 million judgment in a class action case for alleged rest period violations under California law, the California Court of Appeal has ruled that a security company had provided its security guards with proper rest periods, even though they were required to remain “on call” during those breaks.…
Controversial Dynamex Case Regarding Misclassification of Independent Contractors to be Reviewed by California Supreme Court
By Jonathan A. Siegel on
Posted in Wage and Hour
Employers received a welcome development late last week when the California Supreme Court decided to review the controversial Dynamex Operations West, Inc. v. Superior Court (SC S222732/B249546 rev. granted 1/28/15) regarding misclassification of independent contractors. This case is important since it arguably created a different definition of “employee” for determining if an individual is misclassified as an independent contractor with respect to violations of the California Industrial Welfare Commission (“IWC”) Wage Orders. The Court will consider the following issue:
Continue Reading Controversial Dynamex Case Regarding Misclassification of Independent Contractors to be Reviewed by California Supreme Court