California Supreme Court Issues Landmark Decision Holding That Payments Due to Employees for Missed Meal and Rest Breaks Are Wages and Governed by a Three-Year Statute of Limitations

more+
less-

In California, employers must provide their non-exempt employees with meal and rest breaks. When an employee fails to take a meal or rest break, whether that failure is due to the fault of the employer or the employee, California Labor Section 226.7 (b) prescribes the following consequence:

“If an employer fails to provide an employee a meal period or rest period in accordance with an applicable order of the Industrial Welfare Commission, the employer shall pay the employee one additional hour of pay at the employee’s regular rate of compensation for each work day that the meal or rest period is not provided.”

Cal. Lab. Code § 226(b) (emphasis added).

Since Section 226.7 was enacted in 2000, a debate has raged between employers and employees, plaintiff attorneys, and defense counsel, and even within the Department of Labor Standards Enforcement over whether the “one hour of additional pay” specified by Section 226.7 amounted to a “wage” or a “penalty.”

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

Written by:

more+
less-

Morrison & Foerster LLP on:

JD Supra Readers' Choice 2016 Awards
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...
×
×