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Rounding Employee Time in California—Even Via Neutral Policy—Creates Risk Under New Appellate Decision

Although prior California decisions have approved neutral rounding systems, Camp v. Home Depot U.S.A., Inc. questions that law when an employer can track employee clock times to the minute. Therefore, employers in California...more

Ninth Circuit Permits California Ban on Mandatory Arbitration

In a 2-1 decision, the US Court of Appeals for the Ninth Circuit on September 15 reversed a district court’s order enjoining the enforcement of California Assembly Bill 51 (AB 51) codified as Labor Code Section 432.6. Chamber...more

California Supreme Court Prohibits Meal Break Rounding and Creates Violation Presumption

In light of the recent ruling, employers in California should be aware of the risks involved in using rounded time to determine whether an employee took a late or short meal break. ...more

California Requires Employers to Submit Pay Data Report

Governor Gavin Newsom signed Senate Bill 973 on September 30, which requires private employers in California to submit an annual Pay Data Report to the Department of Fair Employment and Housing (DFEH), with the first report...more

DOL: Employers Offering Incentive-Based Pay Can Use Fluctuating Work Week Method to Calculate OT

The US Department of Labor (DOL) published a Final Rule on June 8 confirming that paying bonuses, commissions, and other incentive-based pay to salaried, nonexempt employees does not disqualify employers from using the...more

Retail Did You Know? CARES Act Provides Important Relief for Retail & Hospitality Companies

Dear Retail Clients and Friends, This edition of Morgan Lewis Retail Did You Know? examines how the Coronavirus Aid, Relief, and Economic Security (CARES) Act impacts companies in the retail and hospitality sector...more

California Supreme Court Turns Down Unpaid Wages Claim Under PAGA

The California Supreme Court has ruled that unpaid wages cannot be recovered in private attorney general actions under the state’s Labor Code Private Attorneys General Act (PAGA)....more

California Supreme Court Changes Rules for Classifying Workers as Independent Contractors by Adopting ABC Test in Some...

The April 30 ruling adopts the more stringent “ABC test” to distinguish between independent contractors and employees for purposes of claims based on California’s Wage Orders. Because satisfying this test is more difficult...more

California Supreme Court Clarifies Labor Code’s ‘Day of Rest’ Provisions

The court rejects a rolling “day of rest” and the duty to prevent the forsaking of a rest day in answering three questions certified by the Ninth Circuit....more

California Court of Appeal Expands Law on Separate Rest Break Payments

Employees who are paid solely on commission must receive separate compensation for rest breaks. On February 28, the California Court of Appeal ruled in Vaquero v. Stoneledge Furniture, LLC that employees who are paid...more

California Supreme Court: No On-Duty, On-Call Rest Breaks

The California Supreme Court holds that California wage and hour laws prohibit on-duty and on-call rest breaks. On December 22, 2016, the California Supreme Court ruled that California “employers must relieve their...more

Texas Court Enjoins Most of DOL's New Overtime Regulations

The regulations were scheduled to go into effect on December 1. On November 22, a judge from the US District Court for the Eastern District of Texas issued an order enjoining, on a national basis, all but a few parts of...more

DOL Updates FLSA Overtime Exemption Regulations

The update significantly increases the salary level needed to qualify as exempt under the FLSA’s white collar and highly compensated exemptions....more

Reminder: California Minimum Wage Increase Goes Into Effect January 1, 2016

California’s minimum wage will go up to $10.00 per hour on January 1, 2016, which in turn will raise the California white collar exemption rate. Below is a checklist of items for employers to keep in mind, as the change...more

Security Screening Time in the Wake of Busk - Retail did you know?

Dear Retail Clients and Friends, In 2014, employees across the United States filed dozens of lawsuits under both the federal Fair Labor Standards Act (FLSA or the Act) and state law alleging that they and the classes of...more

Checklist for Employers to Comply with New California Laws

Employers should take action to ensure compliance with new employment laws that take effect January 1, 2015. In September 2014, California Governor Jerry Brown signed more than 300 new laws, many of which may require...more

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