FLSA
(Also known as Federal Wage and Hour Law)
(Enforced by the Wage and Hour Division of the DOL)
(Fed vs State? Winner is: whomever provides greater protection to the employee)
Laws that govern minimum wage, overtime, equal pay, record keeping, and child labor time. California’s laws are more generous than the federal regulations.
- FLSA penalties typically $500-$4000
- Employers must keep all payroll records for 4 years!
- Employers must post in Spanish if 5% of staff are Spanish speaking
Overtime in CA (1.5x)
1.5x for excess:
- of an 8hr workday
- excess of 40hr workweek
- first 8hrs worked on the 7th consecutive day in that workweek
Overtime in CA (2x time)
- anything over 12 hours in a day
- anything over 8hrs worked consecutively on the 7th day of that workweek
PAGA (Private Attorney General Act, 2004)
- DOL acts very sternly with this
- BUT in times where they’re overwhelmed with cases, the state has allowed private labor attorneys to act on behalf of the state (deputize) to sue companies for for any wage and hour violations on their behalf
- more wages to employees means more taxable income for the state of California!*
Meal breaks
Non-exempt EE’s:
-entitled to an unpaid 30min break if they work more than 5 hrs
(EE’s can wave if they don’t work more than 6 hrs that day)
-2nd meal break is required if they work more than 10hrs
(EE’s can wave 2nd break if they don’t work more than 12 hrs AND if they didn’t wave their first one)
Meal Breaks, cont’d
- During meal break, EE must be relieved of ALL duties AND free to leave the premises
- if EE is required to stay on premise, the meal break MUST be paid
- if boss fails to provide meal break, boss is required to pay for 1 hr of that persons hourly rate (only 1 is allowed per day)
Breaks
- Non-exempt are entitled to a paid 10 minute break, during the middle of each 4hr period of work
- EE’s are not entitled if they work less than 3.5hrs a day
- if boss fails to provide allotted breaks, they’re required to pay EE for 1hr of work
- additional breaks are to be provided for lactating mothers
Exempt EE’S
-typically executives, administrative, and professional employees
The 3 Tests:
- How much they’re paid (FED, $455/w - CA $800-$840/w)
- When they are paid
- What kind of work they do
Misclassifications
- Non willful / willful
- EE’s have up to 3 years to file a claim
- penalties include back wages, legal fees, and penalties
Paid Sick Leave 7/16 (9 months ago!)
[part of the Minimum Wage Ordinance]
25 EE’s or more
Initiated in March, implemented on 7/17 applies to 25 EE’s or less!
*these rules can change at ANY time on the local level
Employee accrue 1hr per 30hrs worked
26 or more EE’s: 40 hrs. Less? 32 hrs
2018: 72hrs. Less? 40 hrs
