Wage & Hour Issues

Many California employers are not aware that they are required to pay nonexempt (meaning “hourly”) employees for time traveling to, and attending, work-related functions such as conferences, seminars, and trainings.  Although travel time from home to work and back is usually not compensable, most other travel time that is required for work is considered work time that must be paid.

Last month, the California Court of Appeal issued a decision stating that a retail employer’s call-in scheduling policy—in which employees were required to call the employer in advance of a shift to find out if they needed to show up for work—triggered the “reporting time” obligation under Wage Order No. 7-2001. In Ward v. Tilly’s, Inc., the court significantly broadened the scope of California’s reporting time pay requirement.

California’s minimum wage will eventually reach $15 per hour in 2022, with an increase occurring every January 1st until then. The schedule of increases depends on the size of your business. California businesses with 26 or more employees will reach $15 per hour in 2022, and businesses with 25 or fewer employees will have until 2023 to reach the $15 per hour rate.