In Camp v. Home Depot U.S.A., Inc., H049033, the California Court of Appeal for the Sixth District analyzed legal authority regarding an employer’s rounding practices as they pertain to timekeeping. Specifically, in Camp, the trial court granted summary judgment for the employer after determining the employer had a facially neutral rounding policy, which policy would not result in a failure to compensate employees for overtime. On appeal, the Sixth District reversed and remanded the trial court’s order granting summary judgment. In doing so, the court determined that “in relying on its quarter-hour time rounding policy, [the employer] fails to meet its burden to show that there is no triable issue of material fact regarding whether [the plaintiff] was paid for all the time he worked.” In effect, the Camp court overturned prior precedent, which approved facially neutral rounding policies that did not result in underpayment of employees for overtime.
2024 California Ballot Initiative Could Repeal PAGA
In November 2024, California voters will have the opportunity to pass a ballot initiative to repeal the California Labor Code’s (Labor Code) Private Attorneys General Act of 2004, Cal. Lab. Code § 2698, et seq. (PAGA). PAGA allows an “aggrieved employee” to sue their employer on behalf of themself and other current and former employees
Coronel v. Pinnacle Agriculture Distribution, Inc.
The California Supreme Court denied review of an appellate court judgment in favor of Simplot in a case called Coronel v. Pinnacle Agriculture Distribution, Inc. (“Coronel”). The California Fourth District Court of Appeal held, in an unpublished opinion, that a judgment in a prior class action alleging unpaid wages and inaccurate pay records barred a subsequent putative class action for unpaid wages and inaccurate pay records as a result of a release in the prior class action, even though plaintiff argued the subsequent class action encompassed claims broader than the settlement agreement and judgment in the prior class action.
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Day-Rate Rules Result in Overtime Pay for Exempt Highly Compensated Employee
The U.S. Supreme Court recently ruled in Helix Energy Solutions Group v. Hewitt that a daily-rate worker who earned over $200,000 annually was not exempt from the Fair Labor Standards Act’s overtime requirements. In an opinion authored by Justice Elena Kagan, the Court held that compensation based on a daily rate did not satisfy the
San Francisco Military Leave Pay Protection Act Requires Employers To Pay Employees While on Military Duty
Effective February 19, 2023, San Francisco employers with 100 or more employees worldwide will be required to pay employees who are military reservists and who are called for military duty the difference between their military salary and their civil salary as employees.
California Civil Rights Department Updates FAQs on New California Pay Transparency Law
California’s Senate Bill 1162, a pay transparency law aimed at identifying pay disparities based on gender, ethnicity, and race, went into effect on January 1, 2023. Last week, the California Civil Rights Department (CRD), the state agency tasked with enforcing California’s civil rights laws, updated their Frequently Asked Questions (FAQ) to reflect the resulting changes to the state’s pay data reporting requirements.
City of Los Angeles COVID-19 Supplemental Paid Sick Leave Is Ending
During the COVID-19 pandemic, California and several local jurisdictions implemented COVID-19 sick leave laws. Many of these laws are now expiring. California’s state COVID-19 supplemental paid sick leave expired on December 31, 2022 and Governor Newsom announced that the COVID-19 state of emergency will end on February 28, 2023.
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City of Mountain View, California Enacts Wage Theft Ordinance
The city council of Mountain View, California, adopted Chapter 42 Article IV of the Mountain View City Code on September 13, 2022, establishing, in part, the Wage Theft Ordinance (the Ordinance) effective January 1, 2023.
The Ordinance applies to all employers who are required to have a City of Mountain View business license. Mountain View
Berkeley, California, Adopts a Fair Workweek Ordinance
Starting in November 2023, covered employers in Berkley, California will need to be prepared to comply with the Berkeley Fair Workweek Ordinance (the Ordinance). The Ordinance requires covered employers to provide work schedules to employees at least 14 calendar days in advance of a shift and provide 11 hours of rest between shifts, among other requirements.
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California Minimum Wage Requirements Effective January 1, 2023
Over the past several years, California has gradually increased the state’s minimum wage rate, resulting in the most recent increase, effective January 1, 2023, to $15.50 per hour for all employers. This minimum wage rate applies to all employees, subject to a few limited exceptions. This increase also affects the minimum annual salary requirement for exempt employees. Under California law, exempt employees must be paid a threshold annual salary of two times the state minimum wage for full-time employment. Accordingly, effective January 1, 2023, the minimum salary for otherwise exempt employees increased to $64,480.00 a year.
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