STAY HOME! Non-Residents Entitled to California Overtime Protection While There, California Supreme Court Rules

While California is mired in a $25 billion budget deficit, and companies are leaving for greener, business-friendlier pastures like Arizona, Texas, Georgia and North Carolina, the California Supreme Court is doing its best to pile on the regulatory burdens that hurt this state’s ability to compete on a national and global scale. In Sullivan v. Oracle Corporation, the California Supreme Court held that non-resident employees who perform work in this state, even for periods as short as a single day, are protected by California’s overtime laws. As a result of this decision, we recommend that out-of-state employers seriously consider allowing only employees who are exempt under the California standards (which are more difficult for employers to meet than the exemption standards under the federal Fair Labor Standards Act) to travel to the state on business.

The three plaintiffs were instructors for California-based Oracle, but they lived and usually worked in the states of Arizona and Colorado. However, they periodically came to California to provide instruction to the company’s customers in use of the company’s products. At one time, Oracle had classified all of its instructors as exempt from overtime but later reclassified them as non-exempt and settled a wage-hour class action. The three plaintiffs had been dismissed from the class action because they were not residents of California.

Please see full alert below for more information.

LOADING PDF: If there are any problems, click here to download the file.


DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Constangy, Brooks, Smith & Prophete, LLP | Attorney Advertising

Written by:

more+
less-

Constangy, Brooks, Smith & Prophete, LLP on:

Readers' Choice 2017
Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:

Sign up to create your digest using LinkedIn*

*By using the service, you signify your acceptance of JD Supra's Privacy Policy.

Already signed up? Log in here

*With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name. Or, sign up using your email address.
×
Loading...
×
×