Southern California Wage & Hour Lawyer
Los Angeles · Beverly Hills · Orange County
Table of Contents:
California Overtime Pay
Other Wage & Hour Issues
Collecting Unpaid Wages, Overtime, and Penalties
Class Action Suits
Overtime
Meals and Rest Breaks
Termination Pay & Waiting Time Penalties
Minimum Wage
California Overtime Pay
Overtime pay laws protect employees from being forced to work extensive hours without additional compensation. But the state and federal regulations of overtime are complex and often confusing, and employers (especially multi-state corporations) often misclassify employees, intentionally or accidentally, to avoid paying overtime wages. Common issues in overtime cases include the following:
Exemptions: Certain types of employees are legally 'exempt' from overtime laws and therefore do not receive overtime pay. However, employers often misclassify employees as exempt, when in fact they do not meet the legal test for any exemption. If you have been denied overtime because your employer said you were exempt, please contact us as soon as possible; we can help determine if you are entitled to receive compensation for lost overtime wages.
Independent Contractors: Employers often try to avoid paying overtime by classifying workers as 'independent contractors' rather than employees. But many workers who are labeled as 'independent contractors' by their employers are actually entitled to receive overtime compensation. The legal distinction between employees and independent contractors depends on the extent to which the employer dictates the terms and conditions of the job; simply calling an employee an independent contractor does not excuse the employer from paying overtime. If you have been denied overtime pay because your employer said you were an independent contractor, please contact us for an evaluation of your case.
Specific Industries and Occupations: California also has separate overtime pay rules for employees in specific industries. For example, this occurs in the computer software industry and also in respect to employees who work on commission, such as stock brokers. Computer programmers must earn more than $47.81 per hour in order to be exempt from overtime pay. Commissioned employees and salaried employees may qualify for overtime pay if they meet certain conditions.
Contact the Rubin Law Corporation of Los Angeles and Beverly Hills today by calling us at 310.385.0777 or you can schedule a consultation via email.
Other Wage & Hour issues
Overtime compensation is just one of many protections for workers. Other important protections include the following:
Meal and Rest breaks: California employees are entitled to take regular meal breaks and rest breaks during the workday. Employers who deny their workers meal or rest breaks will be required to pay for every meal or rest break.
Waiting Time Penalties: In California, employees who are fired must be paid all wages immediately; employees who quit must be paid within three days (or sooner if they give notice). Employers who fail to pay employees promptly upon termination may be required to pay penalties of up to 30 times the employee's average daily wage.
Bonus Calculations and Deductions: California law protects workers who receive performance bonuses as part of their compensation. For example, bonus plans can not contain deductions for workers' compensation expenses. And bonus plans for non-exempt employees may not include deductions for cash shortages, breakage or loss of equipment (unless they are caused by the employee's dishonesty, intentional wrongdoing, or gross negligence.)
Minimum Wage: Nearly all workers in California must be paid at least the minimum wage of $6.75 per hour. Employers who pay their workers by commission or piece work rather than an hourly wage must ensure that the employee's compensation averages at least the minimum wage during each pay period. If the average compensation falls below the minimum wage, the employer must pay the difference.
Contact the Rubin Law Corporation of Los Angeles and Beverly Hills today by calling us at 310.385.0777 or you can schedule a consultation via email.
Collecting Unpaid Wages, Overtime, and Penalties
Employees in California have several choices when considering how to collect unpaid wages, overtime compensation, and related penalties:
Negotiation
One of the most effective approaches is to negotiate directly with the employer. Informal negotiation is often the fastest way to settle wage and hour claims. Negotiating your claim can enable you to recover fair compensation while avoiding the risks, delays, and costs involved in administrative or court proceedings. The attorneys at The Rubin Law Corporation can represent you in the negotiation process to help you get the money you deserve.
Filing a claim with the Labor Commission
Wage and hour disputes can also be handled by filing a claim with the California Department of Industrial Relations - Division of Labor Standards Enforcement, also known as the 'Labor Commission.' The Labor Commission claim process is less formal than a lawsuit, and may have advantages over going to court; for example, the resolution of some types of cases will be faster than in court, and the commissioners are generally more familiar with the legal issues involved in wage claims than the typical judge in court. But the Labor Commission has limited authority, cannot handle claims under federal law, and may not be appropriate if you have other legal claims against your employer in addition to wage and hour claims. The attorneys at The Rubin Law Corporation can help you decide whether a Labor Commission claim is appropriate in your case.
Filing a claim in court
Wage and hour claims can also be filed in regular courts. In some cases a lawsuit filed in court may be preferable to a Labor Commission claim. One situation where going to court is preferable is when the claim includes more than three years of unpaid overtime; the Labor Commission will only handle claims going back a maximum of three years, but other legal provisions allow a suit in court to recover damages going back up to four years. Another case where court may be preferable to the Labor Commission is when the claim includes overtime wages; the Labor Commission will not enforce the federal law authorizing liquidated damages for overtime claims, but courts can assess these damages. Also, if you have other legal claims against your employer, it may be most efficient to include your wage and hour claims in the same lawsuit. The attorneys at The Rubin Law Corporation can help you assess your individual situation to decide how to proceed.
Contact the Rubin Law Corporation of Los Angeles and Beverly Hills today by calling us at 310.385.0777 or you can schedule a consultation via email.
Class Action Suits
Several recent decisions by California courts demonstrate that conditions are ripe for employees to enforce their rights to compensation via class action suits. In 2003 the California Court of Appeal in Ralphs Grocery Company v. Superior Court (Swanson) allowed a class action suit to proceed on behalf of grocery store managers whose bonuses were reduced by unlawful deductions. In a 2004 decision in Sav-On Drugs v. Superior Court (Rocher), the California Supreme Court allowed chain store managers to proceed with a class action suit alleging that they were improperly classified as exempt from overtime provisions.
And in 2006 our lead attorney, Steven Rubin, was involved in a groundbreaking class action suit on behalf of runway models who were not paid promptly after their employment ended. The litigation went all the way to the California Supreme Court, which issued a decision in Smith v. Superior Court (L'Oreal) allowing the models to proceed with a claim for waiting time penalties because they were not paid on time.
Contact the Rubin Law Corporation of Los Angeles and Beverly Hills today by calling us at 310.385.0777 or you can schedule a consultation via email.
Overtime
Most employees are entitled to overtime compensation of one and one-half times their regular hourly pay rate for work in excess of 8 hours per day or 40 hours per week. (Additional compensation may be required for employees who work more than 12 hours in a day, or work on seven consecutive days.)
Under California law, workers who have been wrongly denied overtime pay are entitled to recover the unpaid overtime wages due, plus attorneys' fees, costs, and interest. Federal law also permits workers to recover additional 'liquidated damages' equal to the amount of overtime wages owed. If you have not been paid for working overtime, the attorneys at The Rubin Law Corporation can help you determine what you are owed, and can assist you in recovering the compensation you deserve.
Exemptions
Some employees are 'exempt' from the overtime laws based on the type of work they perform. Exempt employees do not receive additional pay for overtime work. However, the exemption requirements are difficult to interpret; employers often mistakenly classify employees as exempt when in fact the employees do not fit the legal requirements for any exemption. It is important to remember that each exemption must be analyzed individually; workers who share the same job title or job description will not necessarily have the same exemption status, because their actual duties may be different. Whether you are an employee seeking to recover unpaid overtime or an employer trying to classify your employees for overtime purposes, the attorneys at The Rubin Law Corporation can help you understand whether an exemption properly applies in your situation.
Employees vs. Independent Contractors
The wage and hour laws that protect employees do not apply to 'independent contractors.' Many employers therefore call their workers independent contractors in order to avoid paying overtime. But for legal purposes, what the employer says does not determine whether a worker is an independent contractor or an employee. Rather, the actual terms and conditions of employment determine whether a worker is a regular employee or an independent contractor. Generally, the more control that the employer has over when, where, and how work is performed, the more likely the worker will be considered an employee.
Whether a worker is an employee or an independent contractor can be a difficult issue to analyze correctly, and some employers who are trying to comply with the law may simply get it wrong. If you have been denied overtime because your employer says you are an independent contractor, The Rubin Law Corporation can help you decide whether you are owed overtime and how to collect it. If you are an employer, we can help you determine whether your workers are employees or independent contractors.
Industry-Specific Rules
California's wage and hour laws are regulated by a complicated set of rules that apply differently for particular occupations and industries. For example, some regulations apply to most 'commercial drivers' but not taxicab drivers, and computer programmers may be subject to different rules than computer network analysts. Our attorneys can help you understand the particular rules that apply to your industry and occupation. Many people believe only low paid laborers or service workers have claims for unpaid wages, overtime or commissions. Not true! Here are some examples of occupations where you may have a large claim for unpaid overtime--:
Are you or were you a computer programmer, software designer, network analyst, computer engineer, or other type of computer specialist or computer software worker working more than eight hours per day or forty hours per week, and not being paid overtime?
Are you or were you a nurse (who is not a certified midwife or practitioner) paid hourly or salary working over 8 hours per day or 40 hours per week without being paid overtime?
Are you or have you been an ambulance driver or emergency medical technician working more than 8 hours per day or 40 hours per week not paid overtime?
Are you a salesperson such as a mortgage broker, stockbroker, or insurance salesperson who has been wrongly classified as exempt when in fact you are entitled to overtime?
Are you a 'manager' or 'assistant manager' in a restaurant, clothing store, or other retail establishment who spends less than half your time managing and who has been misclassified as 'exempt' when in fact you are entitled to overtime pay?
Are you a limo driver or other driver who is not being paid for hours worked or for overtime hours worked?
Contact the Rubin Law Corporation of Los Angeles and Beverly Hills today by calling us at 310.385.0777 or you can schedule a consultation via email.
Meals and Rest Breaks
Employees in California are entitled to meal breaks AND rest breaks during their work hours. Generally, an employee who works a shift of at least five hours must receive a meal period of at least 30 minutes; if the shift is 10 hours or more, the employee is entitled to a second 30-minute meal period. The meal period must be uninterrupted, and the employee must be relieved of all job duties during the meal time. In addition to meals, an employee is also entitled to rest break periods of 10 minutes for every 4 hours worked.
If an employer does not provide meal or rest breaks, the employee is entitled to one hour of pay at the regular rate for each work day that the meal or rest period was denied. The attorneys at The Rubin Law Corporation can help you determine whether you are entitled to compensation for lost meal or rest breaks.
Contact the Rubin Law Corporation of Los Angeles and Beverly Hills today by calling us at 310.385.0777 or you can schedule a consultation via email.
Termination Pay & Waiting Time Penalties
When an employee is fired, quits, or otherwise terminates his or her employment, the employer must promptly pay all wages due. If the employee is fired, all unpaid wages are due immediately. If the employee quits or resigns, the employer generally must pay outstanding wages within 72 hours; if the employee has given at least 3 days notice prior to quitting, the employer must provide payment no later than the employee's last day of work.
Employees who have not been paid their full wages earned at the time their employment terminates are entitled to collect 'Waiting Time Penalties' in addition to the actual wages owed. The amount of the penalties is calculated by multiplying the employee's average daily wage by the number of days have passed since the wages were due, up to a maximum of 30 days.
Contact the Rubin Law Corporation of Los Angeles and Beverly Hills today by calling us at 310.385.0777 or you can schedule a consultation via email.
Minimum Wage
With few exceptions, workers in California must be paid at least the minimum wage of $6.75 per hour. Employers may pay workers on commission or on a 'piece-rate' basis, rather than a set hourly wage, but if the average compensation for a pay period falls below $6.75 per hour, the employer must make up the difference.
Workers who have been paid less than the minimum wage are entitled to recover the unpaid wages due, plus 'liquidated damages' equal to the wages owed. Workers can also recover attorneys' fees, costs, and interest, which may be substantial. If you have been paid less than $6.75 per hour, the attorneys at The Rubin Law Corporation can help you recover the wages you deserve.
Do you feel your rights have been violated in the workplace?
Contact the Rubin Law Corporation of Los Angeles and Beverly Hills today by calling us at 310.385.0777 or you can schedule a consultation via email.
