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California Passes SB 1162, Expanding Pay Data Reporting and Pay Transparency

On September 27, 2022, Governor Newsom signed Senate Bill 1162 (SB 1162), which amends California Government Code section 12999 and California Labor Code section 432.3. SB 1162 expands pay data reporting and increases pay...more

California Supreme Court Rules That Unpaid Break Premiums May Give Rise to Derivative Penalties

Key Points - On May 23, 2022, in Naranjo v. Spectrum Security Services, Inc., the California Supreme Court held that a failure to provide premium pay for meal or rest break violations under California Labor Code § 226.7...more

"Surprised” Court of Appeal Rules That PAGA Plaintiffs Have No Right to a Jury

On February 18, 2022, in LaFace v. Ralphs Grocery Co., 2022 WL 498847 (Cal. Ct. App. Feb. 18, 2022), the California Court of Appeal (2nd District) ruled in a published decision that there is no right to a jury trial in claims...more

Court of Appeal Holds That Only Default PAGA Penalties Are Available for Inaccurate Wage Statements

On December 1, 2021, the California Court of Appeal (4th District) issued its decision in Gunther v. Alaska Airlines, Inc., Case No. D076762, holding that heightened penalties for wage statement violations under Labor Code...more

Court of Appeals Clarifies What Types of Allegations May Be Cured Under Section 2699.3

On October 7, 2021, the California Court of Appeal (4th District) issued its decision in Quinonez v. Payless 4 Plumbing, Inc., Case No. E074467, clarifying what allegations in a notice letter to the Labor and Workforce...more

Court of Appeal Holds That Exhaustion Requires Identification of Each Separate Theory of Liability (Update)

On September 30, 2021, the California Court of Appeal (4th District) decided Uribe v. Crown Building Maintenance Co., Case No. G057836. At issue in Uribe was a Private Attorneys General Act (PAGA) settlement that purported to...more

PAGA Repeal May Be On the Ballot in 2022

Earlier this month, a coalition including the California Chamber of Commerce, California New Car Dealers Association and Western Growers filed a proposed initiative measure entitled The Fair Pay and Employer Accountability...more

Court of Appeal Holds That Exhaustion Requires Identification of Each Separate Theory of Liability

On September 30, 2021, the California Court of Appeal (4th District) decided Uribe v. Crown Building Maintenance Co., Case No. G057836. At issue in Uribe was a Private Attorneys General Act (PAGA) settlement that purported to...more

Not So Fast: Trial Courts Finding PAGA’s Statute of Limitations Is Still Alive and Well After Johnson v. Maxim Healthcare

Earlier this year, the California Court of Appeal ruled that a plaintiff was permitted to pursue a PAGA claim for alleged violations of Labor Code Section 432.5, even though the statute of limitations on her individual claim...more

California Supreme Court Holds Break Premiums Must Account For Nondiscretionary Payments In Addition to the Hourly Rate of Pay

Key Points - In Ferra v. Loews Hollywood Hotel, LLC, the California Supreme Court held that premiums paid for missed meal, rest or recovery periods must include nondiscretionary pay, not just hourly wages. The decision...more

California Supreme Court Lowers the Bar for Employees Seeking to Prove Meal Break Claims

In Donohue v. AMN Services, LLC, the California Supreme Court held that where employees’ time records reflect a missed, late or short meal break, a “rebuttable presumption” arises that a proper meal break was not provided....more

Reminder: New California Employment Laws for 2021

Key Points: - Numerous new California laws going into effect on January 1, 2021 (or earlier), will impact employers and employees. - The most significant laws include new obligations to report employee pay data, an...more

New California COVID-19 Employment Laws Require Attention

- California has implemented a broad supplemental sick leave law requiring employers with 500 or more employees (and health care employers with fewer than 500 employees) to provide their California workers with up to 80 hours...more

California Supreme Court Holds That Time Employees Spent On Mandatory Exit Inspections Is Compensable

- The California Supreme Court held that time Apple employees spent waiting for and undergoing mandatory security inspections is compensable. - The decision rejects the holding by some lower courts that if employees could...more

California Supreme Court Holds That Unpaid Wages Are Not Recoverable Under PAGA

• On September 12, 2019, in ZB, N.A. v. Superior Court (Lawson), Case No. S246711, the California Supreme Court held the Private Attorneys General Act (PAGA) does not allow recovery of unpaid wages under Labor Code Section...more

California Legislature Passes Landmark Worker Classification Legislation

• On September 10, 2019, the California State Legislature passed AB 5, which codifies the “ABC test” in Dynamex Ops. West Inc. v. Superior Court, 4 Cal. 5th 903 (2018), for determining whether a worker is an employee or an...more

Ninth Circuit Withdraws Opinion on Dynamex Retroactivity

• The Ninth Circuit has withdrawn its May 2, 2019, opinion in Vazquez v. Jan-Pro Franchising Int’l, Inc., in which it held that the California Supreme Court’s Dynamex decision regarding independent contractors and employees...more

California Supreme Court Holds that Employee Cannot Bring Wage Claims Against Payroll Service Provider

• The California Supreme Court recently held that an employee could not pursue contract and tort claims against a payroll service provider for unpaid wages. • The Court found that (1) an employee was not a “third-party...more

California Case Expands Reporting Time Pay Requirements

• The California Court of Appeal recently expanded the application of reporting time pay to certain types of “on-call” shifts. • If an employer requires an employee to call in or otherwise contact the employer to find out...more

California Adopts New Test for Independent-Contractor Status

• In Dynamex Operations West, Inc. v. Superior Court, the California Supreme Court adopted a new standard for determining whether workers should be classified as employees or as independent contractors for purposes of the...more

9th Circuit Rules That Employers Cannot Rely on Applicant’s Prior Salary to Justify Wage Disparities under the Equal Pay Act

• The 9th Circuit has ruled that employers may not rely on prior salary, alone or in combination with other factors, to justify wage disparities under the Equal Pay Act. • The 9th Circuit ruling does not address whether...more

California Supreme Court Breaks With FLSA on Overtime Due for Flat-Sum Bonuses

• In Alvarado v. Dart Container Corp. of California, the California Supreme Court held that California law—unlike federal law—requires employers to calculate overtime by treating flat-sum bonuses as if they were earned during...more

Final Rule Requires the Provision of Overtime Pay to Millions of Additional Employees

The Department of Labor (DOL) has released its final rule amending the executive, administrative, professional, and computer employee exemptions under the Fair Labor Standards Act (FLSA). The new rule, which goes into effect...more

9th Circuit Approves Neutral Rounding of Time

If you read one thing... - In Corbin v. Time Warner Entertainment-Advance/Newhouse Partnership, the Ninth Circuit held that both federal and California law permit employer to round employees’ time punches to the...more

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