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Sep 08 2014
CaliforniaWage and Hour

CALIFORNIA: Piece rate compensation systems under more attacks in California

Discussions with wage and hour enforcers indicate that paying for rest periods under a piece rate compensation system in California is even more complicated than we previously believed. As we reported in our November 21, 2013, newsletter, a California appeals court certified a class action claim that an employer who paid employees by piece rate…

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Sep 02 2014
CaliforniaWage and Hour

CALIFORNIA: San Diego to require paid sick leave and raise minimum wage

The San Diego City Council overrode the mayor’s veto on August 18, 2014, to pass an ordinance that will require employers in the City to offer paid sick leave and pay minimum wages at a new scale. Employers of all sizes are affected (Earned Sick Leave and Minimum Wage Ordinance 20390). Earned sick leave Employers…

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Aug 19 2014
Wage and Hour

Failing to pay for pre-shift meetings carries a $600K price tag

An oil company has agreed to pay $619,830 in back wages and overtime after investigators from the U.S. Department of Labor discovered the company failed to pay employees for mandatory pre-shift safety meetings that lasted 30 minutes. Because the time spent in these meetings benefitted the employer and was required, the employees should have been…

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Jul 17 2014
CaliforniaWage and Hour

CALIFORNIA: Minimum wage for exempt workers increased July 1, 2014

In order for a professional, administrative, or executive employee to be exempt from overtime in California, the minimum annual salary must be at least $37,440 as of July 1, 2014. This is a result of California’s new hourly minimum wage of $9.00 per hour. The minimum annual salary for exempt workers is calculated by multiplying…

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Jun 24 2014
CaliforniaWage and Hour

Class action claim for final pay violations allowed to proceed

A former PetSmart groomer has been given the green light to proceed with her class action lawsuit alleging that PetSmart’s practice of paying departing employees with a prepaid ATM card was a violation of the California Labor Code. Section 212(a) of the code requires that employers pay wages that are “negotiable and payable in cash,…

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Jun 20 2014
Labor RelationsWage and Hour

Employee’s outburst protected despite threats and profanity

A car dealership terminated a car salesman who, during an outburst, hurled expletives and insults toward the owner of the dealership, but the National Labor Relations Board (NLRB) ruled that the salesman was engaging in protected “concerted activity.” The salesman called the owner a  “f***ing crook,” and an “***hole.” He also told the owner that…

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May 27 2014
Wage and Hour

Establish proper work agreement for employees residing on worksite (CA)

For employees living on the work premises, the employer should have a written agreement clarifying which of the employee’s hours are paid and which hours are unpaid; otherwise, all 24 hours per day may be compensable. A federal district court in California recently ruled that an employee of a residential facility for mentally disabled individuals…

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Apr 21 2014
Wage and Hour

President orders overhaul of overtime rules

President Obama issued a directive on March 13, 2014, to the U.S. Secretary of Labor to propose changes that would “modernize and streamline” the federal overtime rules. The intent is to shrink the “white collar” exemptions so more workers are eligible for overtime. This change will not happen overnight; the Department of Labor (DOL) will…

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Apr 08 2014
CaliforniaLabor RelationsWage and Hour

CALIFORNIA: Collective Bargaining Agreements Can Determine Overtime Compensation

Collective bargaining agreements (CBAs) can, in certain cases, override strict state laws on overtime, ruled a California court of appeals. Unionized production and maintenance workers at Exxon’s Santa Ynez facility worked 12 hours a day for seven days in a row, followed by seven days off. According to California labor law, workers are entitled to…

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Feb 13 2014
Wage and Hour

FMCSA allows leeway on rest breaks for drivers who exceed short-haul exception

If drivers of commercial motor vehicles unexpectedly have to drive further or work longer than the short-haul exception allows, they won’t get in trouble for failing to take a 30-minute rest break on time as long as they take certain steps, said the Federal Motor Carrier Safety Administration (FMCSA) in regulatory guidance. Most property-carrying commercial…

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Feb 04 2014
CaliforniaWage and Hour

CALIFORNIA: Written policy crucial in obligation to provide meal and rest periods

Since the California Supreme Court decided in Brinker Restaurant Corp. that employers must “provide,” but need not enforce an uninterrupted meal period, there has been some debate about what an employer needs to do to ensure that it is “providing” a meal period under evolving California law. Now a California court of appeals has ruled…

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Jan 29 2014
Wage and Hour

ALERT: Supreme Court says CBA can exclude payment for putting on protective gear

The U.S. Supreme Court ruled yesterday that an employer and union may agree that workers aren’t entitled to be paid for their time donning and doffing most protective safety gear at the beginning or end of the workday. Normally employers would have to pay for this time, if it is integral and indispensable to employees’…

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