Time For the July 1 Wage Hikes and Maybe Other Changes

For the past several years, California has been increasing its minimum wage annually, on January 1.  This year, minimum wage for the state grew to $16.50.    Many municipalities, such as Oakland  and San Diego, also hike their minimum wages effective the start of the year.   However, many other cities, including the City of Los Angeles,…

The Latest Developments with PAGA, California’s Gift That Keeps on Giving

With the advent of the much-hailed Private Attorney’s General Act (PAGA) Reform that came last June, attorneys for the plaintiff’s bar just keep finding ways to push their agenda.   And one of those maneuvers includes their continued attack on our dearly beloved arbitration agreements. As you all should recall, we have had a bit of…

Managing “De Minimus” Time in California

The concept of “de minimus” time has been around for decades under the Fair Labor Standards Act (FLSA), which is the federal body of law that governs wage and hour issues.  In 1947, the U.S. Supreme Court established the de minimis rule when it held that the FLSA generally is not concerned with “trifles,” when the matter…

New State Minimum Wage, New Local Minimum Wages, and New Salary Tests

It wouldn’t be the start of a new year unless California’s minimum wage was increasing.  As with many local jurisdictions, including Los Angeles, the minimum wage is now tied to the CPI and for the most part, increases annually.  The state and many local minimum wages (mostly in Northern California) increase on January 1, while…

Be Wary of Hiring “Unpaid Interns”

In general, anyone we hire to work for us needs to be treated as an employee, for purposes of wage and hour laws, civil rights and harassment laws, worker’s compensation, and all other terms and conditions.  If a business hires a worker to “train” or learn skills in a new position, they must still be…

Let’s Talk About Tips and Service Charges

I touched on this issue when the “junk fee bill” was passed, and especially now that bars, restaurants, and some other industries are exempt and can still include service charges and surcharges.  But it is worth taking a deeper dive into the difference between tips (gratuities) and service charges because in this situation, language is…

PAGA Reform – It’s REALLY Happening!!!!

Yes, Virginia, we finally got a reform passed that was an agreement between the Governor’s office, legislative leadership, business, and labor groups to reform the Private Attorneys General Act (PAGA) that would “avoid a contentious ballot measure campaign.”  It’s a very long, complicated bill, and there are a lot of components to it.  I credit…

New Year Brings New Minimum Wages

On January 1, the state-wide minimum wage in California rose to $16 an hour, for ALL employers.   When the state minimum wage increases, so, too, does the minimum salary to be exempt.  That salary is now $66,560.   That is the salary regardless of whether your employee works full time or part time – if you…