[author: Michael Cardman, XpertHR Legal Editor]
California employers are now prohibited from using explicit mutual wage agreements, in which nonexempt employees agree to a fixed salary that covers all hours worked, including overtime.
The agreements, similar to "Belo" plans in the federal arena , were intended to simplify payment to employees with irregular hours.
California Governor Edmund "Jerry" Brown has announced that he signed into law a bill, +2011 Bill Text CA A.B. 2103, which amends +Cal. Lab. Code § 515 to forbid such plans.
