August 2008
 Compliance Matters
CALIFORNIA LABOR COMMISSIONER ADOPTS NEW MEAL AND REST BREAK RULES
 
Here is some more good news for California employers on the meal and rest break front.  As we reported in last week's Compliance Matters, the California Court of Appeals has issued a very favorable decision clarifying the State's meal and rest break requirements.  Just two days later, California Labor Commissioner Angela Bradstreet issued an important memorandum to all of the agency's field staff with instructions that they are to follow the new case ruling when handling Labor Commissioner investigations.  Under the State's comprehensive wage hour laws, the Labor Commissioner's office is empowered to investigate wage complaints and prosecute employers who do not follow the State's meal and rest period rules.  This memorandum by the State's wage hour watchdog agency is indeed welcome news.

What Now?  To be sure, the Labor Commissioner Memorandum is good news for the State's employers.  However, the Court's ruling is NOT final and it could be months or even years before it is.  In the meantime, employers need to do several things, at a minimum.

  • Hold off making any sweeping changes because of the ruling until the decision is final.
  • Review written meal and rest break policies to ensure legal compliance.  If the company policy is not in writing, it's a good idea to develop one.  We recommend that you have all employees acknowledge in writing that they are aware of the policy, understand it and pledge to comply.
  • Train managers on the State's meal and rest period rules.
  • Monitor compliance on a weekly or pay period basis.
  • With new definitions about what is compliance, consider whether it's wise to limit the circumstances under which the company will pay state mandated penalties.  The most conservative approach would be to make no changes in how the penalty compensation is being paid, since the case is far from over.  However, you may be paying penalty compensation under circumstances where it is not required.  Ultimately, this will be a risk management decision.

Your contact at the Firm is ready to assist you with any questions. 

For more information, call us today at (818) 508-3700, or visit us on the web, at www.brgslaw.com.

Sincerely,

Richard S. Rosenberg
Partner
BRG&S, LLP


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