You must pay reporting time pay in a number of circumstances.� A California court ruled favorably for employers in a case concerning two technical wage and hour rules that can cause confusion: reporting time pay and split shift pay. The law requires the employer to pay the worker for the time he worked and the rest of the hours will be paid under reporting wage rate. When public utilities fail to supply electricity, water, or gas, or there is a failure in the public utilities, or sewer system. This pay represents the reporting time penalty for the first time you reported to work but were provided with less than half your regularly scheduled shift. In response, Tilly's argued that the phrase "report for work" requires an employee's physical presence at the workplace at the start of a scheduled shift. The Wage Orders provide that employers are not required to pay overtime pay during the following circumstances: 5.  What if the employee voluntarily leaves early? Victoria’s Secret Stores, LLC (No. 4-2001 (“Wage Order”). Employers don't have to pay for reporting time in a disaster or emergency scenario. If the claim is not resolved at the conference, the next step usually is to refer the matter to a hearing. However, there are certain exceptions to this law. On February 4, 2019, the California Court of Appeal, Second District issued a 2-1 decision in Ward v.Tilly’s, Inc. in which it held employees must be given “reporting time pay” under Wage Order No. Yes, you are entitled to three hours of reporting time pay. Example: California's reporting-time pay law requires employers to compensate employees for half of their scheduled hours, up to a maximum of four hours. Employers must remember, when an employee is scheduled to work, the minimum two-hour pay requirement applies only if the employee is furnished work for less than half the scheduled time. Reporting pay also applies if the employee is called back to work after finishing a shift. No, one of the exceptions to the reporting time pay requirement is if the workday is interrupted due to a threat to employees or property. Rptr 3d 461 (Ct. App. The reporting time payment is equal to half of the scheduled or regular shift, no less than two hours and no more than four. 3 hours regular rate. When the employer's operations cannot begin or continue due to threats to employees or property, or when civil authorities recommend that work not begin or continue. When the interruption of work is caused by an Act of God or other cause not within the employer's control, for example, an earthquake. There has been significant litigation over reporting time pay that is owed when employees are called in for meetings.  If an employee is called in on a day in which he is not scheduled, the employee is entitled to at least two hours of pay, and potentially up to four hours if the employee normally works 8 hours or more per day. Reporting time pay for hours in excess of the actual hours worked is not counted as hours worked for purposes of determining overtime. at pp. This solution impacts wage and hour laws in several ways: 1. Since you worked for one hour, you must be paid for that hour's work, and for two hours of reporting time penalty pay, for a total of 3 hours of pay. Things you need to know about Reporting time pay in California. 3.         Appearing at a client’s job site; This judgment has the same force and effect as any other money judgment entered by the court. The law requires the employer to pay the worker for the time he worked and the rest of the hours will be paid under reporting wage rate. What is reporting time pay? For example, reporting time doesn't apply if there are safety threats to employees, if public utilities fail or if a natural disaster occurs. Reporting Time Pay By Corey Hanrahan Employers may know about the California Labor Code, which grants employees certain protections from unlawful treatment by employers. In fact, Oregon’s Reporting Time Pay only applies to minors under age 18. 2.  Time paid as reporting time pay does not trigger overtime pay. This provision of the law applies even though you were called back to work later that same day and worked a full shift. Traditionally, reporting time pay was required when an employee physically showed up to work and was sent home or given fewer than half the scheduled hours. 4.  Exceptions to the reporting time requirements. IWC Orders govern everything from uniforms, to alternate workweek schedules, to reporting time pay. 8, § 11070). Already a Member? California minimum wage laws require employers to pay non-exempt employees reporting or show up pay, unless an exception applies. However, the California Department of Industrial Relations also publishes wage orders (referred to as “Industrial Welfare Commission orders“) that offer protections for California employees. Since you worked only one hour, which is less than half your scheduled day's work, your employer is required to pay you for half the usual or scheduled day's work, but in no event for less than two hours nor more than four hours. The question then arises as to whether or not the on call employee is entitled to pay, and if so what are the "hours worked"—the entire period of time the employee is on call, or just the time spent addressing the emergency. This means that regardless of whether a worker is sent home early from their scheduled shift, or if they are asked to show up to work for a short period of time than scheduled, they should still get paid a fair amount of wages for reporting to work. In the case of Aleman v.AirTouch Cellular (PDF), decided on December 21, the employee claimed … In California, industry-specific Industrial Welfare Commission (IWC) Orders supplement other wage and hour requirements found in the California Labor Code. For employees required to report to work a second time in any one workday and is furnished less than two hours of work on the second reporting, he or she must be paid for two hours at his or her regular rate of pay. California allows some exceptions to the reporting time rule. After your claim is completed and filed with a local office of the Division of Labor Standards Enforcement (DLSE), it will be assigned to a Deputy Labor Commissioner who will determine, based upon the circumstances of the claim and information presented, how best to proceed. In addition, if an employee is required to report to work a second time in any one workday and is furnished less than two hours of work on the second reporting, he or she must be paid for two hours at his or her regular rate of pay. Generally, California employers must pay “reporting time” pay when “an employee is required to report for work and does report, but is not put to work or is furnished less than half said employee’s usual or scheduled day’s work.” See, e.g., Wage Order 7-2001 (Cal. In Ward v. Tilly’s, Inc. (Cal. Employers are not required to pay reporting time pay if the employee voluntarily leaves work early.  For example, if the employee becomes sick or must attend to personal issues outside of work and leaves early, then the employer is not obligated to pay reporting time pay. Sign In Below. Also, the reporting time pay provisions do not apply to employees on paid standby status or when an employee has a regularly scheduled shift of less than 2 hours, such as a relief cashier who works only during a 1-hour period in the middle of the day. California employers cannot forget about detailed employment provisions such as reporting time pay.  This Friday’s Five provide a list of five things California employers should understand about reporting time pay: California law requires an employer to pay “reporting time pay” under the applicable Wage Order.  This requires that when an employee is required to report for work and does report, but is not put to work or is furnished less than half said employee’s usual or scheduled day’s work, the employee shall be paid for half the usual or scheduled day’s work, but in no event for less than two (2) hours nor more than four (4) hours, at the employee’s regular rate of pay, which cannot not be less than the minimum wage. Reporting time pay would only be due if the meeting lasted less than 1 hour. No. Tilly’s Inc., the California Second District Court of Appeal addressed the question of whether California’s reporting time pay rule only applies to situations where the on-call employee must physically report to the job site. On February 5th, a California Court of Appeal announced a drastic change to California’s reporting time pay rules that will directly impact the scheduling policies of all employers in the state. The latest litigation trends, court decisions, & issues on California Employment Law. Five things to know about reporting time pay under California law, Five items California employers need to know about new law extending deadline for required sexual harassment training, End of employment issues for California employers, Five keys to managing a successful business in California, Panel discussion: Employers Best Practices In Reducing Employment Law Liability, Learn about best employment law practices for 2018, my prior post on Aleman v. AirTouch for a more detailed discussion, When operations cannot begin or continue due to threats to employees or property, or when civil authorities recommend that work not begin or continue; or, When public utilities fail to supply electricity, water, or gas, or there is a failure in the public utilities, or sewer system; or. Code Regs. What is reporting time pay? California’s Reporting Time Requirements. Under the law, an employee who reports to work on time and is later sent home because of lack of work, having worked less than half of his or her regularly scheduled shift, is entitled to be paid for half the usual or scheduled day's work, but in no event for less than two hours nor more than four hours at his or her regular rate of pay. These laws require employers to pay nonexempt employees a minimum amount whenever they report to work as required or requested, even if no work is performed. Reporting time pay is owed only when an employer ends the shift before it is halfway completed. On November 29, 2017, a California Superior Court judge ruled that employers that require employees to set aside time for a shift and have them call in to determine if they will indeed be working are required to pay employees “reporting time pay,” even if the employee never actually steps foot inside the business for a shift. In Ward v. Tilly’s, Inc. (Cal. Under California law, workers have a right to reporting time pay. 8 hours regular rate. Under the law, if an employee is required to report to work a second time in any one workday and is furnished less than two hours of work on the second reporting, he or she must be paid for two hours at his or her regular rate of pay. California law requires an employer to pay “reporting time pay” under the applicable Wage Order. The purpose of the conference is to determine the validity of the claim, and to see if the claim can be resolved without a hearing. According to a recently-published California Court of Appeal decision, employees who are required to use such a call-in procedure may be entitled to "reporting time pay" if they are told not to come to work that day—even if the employees do not physically report to work. The following summarizes your total pay due for the day: If the decision is to hold a conference, the parties will be notified by mail of the date, time and place of the conference. In California the concept of “reporting time pay” was created to ensure employers aren’t taking advantage of workers by over scheduling a shift then sending them home if not needed. Thus, in the example given above, the employee would be due 2 hours of pay for the 2 hour meeting. Reporting time pay constitutes wages.  (Murphy v. Kenneth Cole Productions, Inc. (2007) 40 Cal. A California appellate court, however, ruled in the case of Aleman v. For this workday, your total compensation is 11 hours of compensation at your regular rate of pay, and one hour of overtime pay, calculated as follows: Yes, you are entitled to one hour of reporting time pay in addition to the three hours of wages you earned for the work you performed before being sent home. Ct. App. Under California law, workers have a right to reporting time pay. The jurisdictions that do have reporting time pay laws are: California, Connecticut, the District of Columbia, Massachusetts, New Hampshire, New Jersey, New York, Oregon (minors only), and Rhode Island. Yes, you are entitled to one hour of reporting time pay. The amount of pay owed is half the usual or scheduled day’s work, but in no event for less than two hours or more … What ‘Reporting to Work’ Means Now Traditionally, reporting time pay was required when an employee physically showed up to work and was sent home or given fewer than half the scheduled hours. In California, industry-specific Industrial Welfare Commission (IWC) Orders supplement other wage and hour requirements found in the California Labor Code. Those reporting time pay requirements vary depending on how long the shift was to have been, and how soon into … No, you were paid correctly. Reporting Time Pay laws are notoriously tricky for employers. Tit. The law requires the employer to pay the worker for the time he worked and the rest of the hours will be paid under reporting wage rate. The time spent at the required training is compensable as hours worked as you were subject to the control of your employer. This includes using drivers to deliver products and outside agencies to perform cleaning and other services necessary to maintain operations during the pandemic. Reporting Time Pay Requirement California employers must generally pay "reporting time" when an employee is "required to report for work and does report, but is not put to work or is furnished less than half said employee's usual or scheduled day's work." It applies when an employee reports for work, but then either is not put to work at all or for less than half of the scheduled or usual hours of work. Reporting time pay is not compensation for services rendered or labor performed and thus, is not used in determining if overtime is due. Ct. App. See Price v. Starbucks. For immediate access, join online or by phone at (800) 649-4921. Preview This premium content is for our members. Code Regs. Many companies are retooling to deliver their products or services to customers while still complying with government shutdown orders. In addition to the one-hour of reporting time pay, you are also entitled to one hour of overtime pay. The jurisdictions that do have reporting time pay laws are: California, Connecticut, the District of Columbia, Massachusetts, New Hampshire, New Jersey, New York, Oregon (minors only), and Rhode Island. When the interruption of work is caused by an Act of God or other cause not within the employer’s control, for example, an earthquake. If an employee is required to report to work a second time in any one workday and is furnished less than two hours of work on the second reporting, he or she must be paid for two hours at his or her regular rate of pay. Since you did not work more than eight hours in the workday, no overtime is due. California is one of a handful of states requiring employers to pay a certain minimum to employees as reporting time, or “show up,” pay. You must pay reporting time pay in a number of circumstances. If the employee has worked more than half the scheduled shift, then the employee is simply paid for whatever hours have been worked. A second case addressed this issue directly, Aleman v. Airtouch Cellular. On the heels of another favorable appellate decision earlier this year, a recent Court of Appeal decision has held that employees are not entitled to reporting time pay when attending a scheduled staff meeting lasting less than two hours. Show up pay covers two types of situations: employees who show up for a scheduled shift but are not permitted to work any time IWC Orders govern everything from uniforms, to alternate workweek schedules, to reporting time pay. The decision, made in the case of Ward v. Tilly’s, Inc., effectively amends the reporting time rule contained within Wage Order No. Once an employer determines that a reporting time pay law exists, the following must be considered: 1. Reporting time pay is designed to discourage you from requiring employees to report to a job unless there is work to be done. Reporting time pay obligations. When the Order, Decision, or Award (ODA) is in the employee's favor and there is no appeal, and the employer does not pay the ODA, the Division of Labor Standards Enforcement (DLSE) will have the court enter the ODA as a judgment against the employer. On November 29, 2017, a California Superior Court judge ruled that employers that require employees to set aside time for a shift and have them call in to determine if they will indeed be working are required to pay employees “reporting time pay,” even if the employee never actually steps foot inside the business for a shift. Wage Order 7-2001 (Cal. Joint Employment - California Labor Code section 2810.3 makes companies that use workers supplied by other companies, like gig economy companies and staf… 17 For minor employees who report to work, Oregon requires that the employer provide “reasonable compensation” to the minor who is not provided with at least half the scheduled shift. Attending a required meeting is counted as, 1 hour of reporting time pay (regular rate)* =, 1 hour of overtime at time and one-half =. states do not have reporting time pay laws. The concept of “reporting time pay” was created to ensure employers do not take advantage of workers by scheduling workers to report to work and then sending them home without being put to work. The evidence and testimony presented at the Labor Commissioner's hearing will not be the basis for the court's decision. Reporting time pay is designed to discourage you from requiring employees to report to a job unless there is work to be done. The purpose of this article is to cover the Reporting Time Pay Law and provide an overview of how employers should maintain compliance. A second case addressed this issue directly, Aleman v. Airtouch Cellular. Or Start a Free Trial Now for 15 days. The requirement to pay reporting time is set forth in Section 5 of all but one of the 17 Wage Orders, and it guarantees workers that they will be paid for at least half of their scheduled shift in the event they are sent home early. 1111-1112.   In Ward v. Tilly’s, Inc. (2019) 31 Cal.App.5th 1167, the court held physical reporting was not required in order to come within the reporting time pay provision.  Types of situations that trigger reporting time pay include: 1.         Physically appearing at the workplace at the shift’s start; states do not have reporting time pay laws. At the hearing the parties and witnesses testify under oath, and the proceeding is recorded. Some employees will call workers but the work can end up being assigned less than the normal work day work, in such a case, the employee will be paid for reporting to work. Each workday an employee is required to report to work, but is not put to work or is furnished with less than half of his or her usual or scheduled day's work, he or she must be paid for half the usual or scheduled day's work, but in no event for less than two hours nor more than four hours, at his or her regular rate of pay. On March 19, 2020, the United States Court of Appeals for the 9th Circuit in Herrera v.Zumiez, Inc. sided with the California Court of Appeal in Ward v. Tilly’s Inc., 243 Cal. In this situation your employer did not deprive you of the opportunity to work your full schedule, it was your choice not to so and thus, no reporting time penalty is due. “Reporting time” pay must be paid when an employee is required to call in before their shift to find out if they have to work that shift. Performing at a level that the employer feels is unacceptable does not fall within any of the exceptions to the employer's obligation to pay reporting time pay. Oftentimes, California employees are asked to be "on call" and in turn to respond to calls or emergencies after hours and on weekends. The California reporting time provisions are part … Some employees will call workers but the work can end up being assigned less than the normal work day work, in such a case, the employee will be paid for reporting to work. In the case of an appeal by the employer, DLSE may represent an employee who is financially unable to afford counsel in the court proceeding. Is Reporting Time Pay Always Required? Reporting time pay would only be due if the meeting lasted less than 1 hour. In the situation described, since less than two hours of work was provided on the second reporting (i.e., the one hour training session) one hours' pay is due as the reporting time pay penalty. However, if the employer schedules the employee to come into work for two hours or less, and the employee works at least one half of the scheduled shift, the employer is only required to pay for the actual time worked and no reporting time is owed.  See my prior post on Aleman v. AirTouch for a more detailed discussion. California’s Labor Commissioner provides the following example: For example, if an employee is scheduled to report to work for an eight-hour shift and only works for one hour, the employer is nonetheless obligated to pay the employee four hours of pay at his or her regular rate of pay (one for the hour worked, and three as reporting time pay). 7(A) which […] Sign In Below. Either party may appeal the ODA to a civil court of competent jurisdiction. Tit. The concept of “reporting time pay” was created to ensure employers do not take advantage of workers by scheduling workers to report to work and then sending them home without being put to work. Reporting time pay in California is intended to ensure that employees are paid for a mandated minimum number of hours if they are not allowed to work their full shift. Or Start a Free Trial Now for 15 days. Initial action taken regarding the claim can be referral to a conference or hearing, or dismissal of the claim. Once an employer determines that a reporting time pay law exists, the following must be considered: 1. California allows some exceptions to the reporting time rule. In fact, Oregon’s Reporting Time Pay only applies to minors under age 18. CV 14-6412-GW) 2014 WL 12644922, at * 5 (C.D. California law requires an employer to pay “reporting time pay” under the applicable Wage Order. On February 4, 2019, the California Court of Appeal, Second District issued a 2-1 decision in Ward v.Tilly’s, Inc. in which it held employees must be given “reporting time pay” under Wage Order No. In the case, the court ruled that employees who reported to work for regularly scheduled short meetings were not entitled to additional reporting time pay. 8, § 11070) (emphasis added). In a case of first impression, the California Court of Appeal has clarified the scope of an employer’s obligation to pay reporting time and split shift premiums under the California Industrial Welfare Commission’s Wage Order No. 5.         Or as in Tilly’s, by telephoning the store two hours prior to the start of a shift. After the hearing, an Order, Decision, or Award (ODA) of the Labor Commissioner will be served on the parties. California’s Reporting Time Requirements. If your employer discriminates or retaliates against you in any manner whatsoever, for example, he discharges you because you told him he owed you reporting time pay, or because you file a claim or threaten to file a claim with the Labor Commissioner, you can, When operations cannot begin or continue due to threats to employees or property, or when civil authorities recommend that work not begin or continue; or, When public utilities fail to supply electricity, water, or gas, or there is a failure in the public utilities, or sewer system; or. 2.         Presenting themselves for work by logging on to a computer remotely; Thus, in the example given above, the employee would be due 2 hours of pay for the 2 hour meeting. The Reporting Time Pay law requires that California employers pay employees at least half of all scheduled shifts, even when canceled. Consequently, you may either try to collect the judgment yourself or you can assign it to DLSE. Generally, if an employee reports for their regularly scheduled shift but is required to work fewer hours or is sent home, the employee must be compensated for at least two hours, or no more than four hours, of reporting time pay. Reporting Time Pay - Generally, if an employee reports for their regularly scheduled shift but is required to work fewer hours or is sent home, the employee must be compensated for at least two hours, or no more than four hours, of reporting time pay. Your employer is required to pay you two hours of reporting time pay. The court will set the matter for trial, with each party having the opportunity to present evidence and witnesses. Reporting Time Pay. Reporting time pay constitutes "half the usual or scheduled day's work, but in no event for less than two hours nor more than four hours, at his or her regular rate of pay." California law requires an employer to pay “reporting time pay” under the applicable Wage Order. 17 For minor employees who report to work, Oregon requires that the employer provide “reasonable compensation” to the minor who is not provided with at least half the scheduled shift. One hour worked the first time you reported to work plus the first seven hours worked the second time you reported to work later in the same workday. No reporting time pay is due for the second time you reported to work because you were furnished with more than two hours of work. The provisions of the law regarding reporting time pay are as follows: Yes, there are a number of instances whereby an employee reports to work as scheduled and is sent home immediately, or works less than half his or her usual or scheduled day's work and is not entitled to reporting time pay. Reporting time pay is one of the provisions of California wage and hour law that is often overlooked by employers. There is a requirement in the California Wage Orders referred to as “reporting time pay” — employers must pay employees a minimum of half their regularly scheduled hours of work, but in no case less than two hours. Reporting time pay for hours in excess of the actual hours worked is not counted as hours worked for purposes of determining overtime. The Industrial Welfare Commission Orders require employers to pay their nonexempt employees for regularly scheduled, but un-worked time because of the lack of proper notification or inadequate scheduling by the employer. Since you worked only one hour, which is less than half your scheduled day's work, your employer is required to pay you for half the usual or scheduled day's work, but in no event for less than two hours nor more than four hours. For whatever hours have been worked for whatever hours have been worked solution impacts and! Works only a few minutes not be the basis for the court will the! 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