Commute Time Compensation?

commute time compensationCommute time compensation? Most people who work spend a fair amount of time commuting to the job site. Furthermore, many jobs require workers to commute as part of the job. With such variety in the expectations and commuting requirements for various occupations, how can you know whether or not your employer is treating you fairly when it comes to commute time? Actually, the courts have come up with some pretty clear guidelines on this topic.   

Commuting in a Company Vehicle

Installation and repair crews for Pacific Bell Telephone Company believed they should be paid for their commute time to and from home because they were driving vehicles that were provided by Pacific Bell, and those vehicles were equipped with the tools and equipment necessary to address customer needs. They decided to pursue the issue in court.  

Details of the Commute Time Case

Technicians were paid hourly for an eight-hour day to address customer issues at customer’s homes. While driving the prescribed vehicle and using company tools was required, employees had a couple of choices when it came to those vehicles:

  • Technicians could take the company vehicle to and from their own homes. This option was known as the Home Dispatch Program (HDP). Technicians received no pay for their commute time driving to a customer’s home prior to 8:00, and they were not compensated for the time spent driving home after their last appointment.
  • Employees could drive their personal vehicles to the Pacific Bell garage to exchange it for a Pacific Bell vehicle. These employees were paid for their time spent going to the garage in the morning, and from the garage home at the end of a shift.

In either case, employees were compensated for the commute time driving to and from the warehouse when they needed to restock materials for the job.

Court Findings

The California Supreme Court defined hours worked as those hours during which an employer maintains control of an employee. The issue of employer control was central to their findings, and was directly correlated to whether or not riding in employee-provided transportation was required. The court referred to Morillion v Royal Packing Co., which dealt with a similar issue. In that case, workers were required to meet at a particular place in order to take the company bus to the worksite. Employees were under the control of their employers at that point because they could not make the decision to stop at a drive-through window for coffee, could not pick up or drop off kids on the way, and could not run other errands while on the bus. Therefore, the commute time on the bus counted as hours worked.  

In the case of the Pacific Bell Workers, employees were not required to drive a company vehicle to and from home. Additionally, they were free to make stops during their commute time in the company vehicle, meaning the worker was not under the control of the company. Therefore the commute time spent under the HDP plan was not compensable. [Read more…]

California Minimum Wage Hike: Is it Set in Stone?

California Minimum WageCalifornia minimum wage changes. By the year 2022, some California employers will be required to pay their workers a minimum wage of $15 per hour. Governor Jerry Brown announced on March 28, 2016 that he had reached a deal with the state legislature that will gradually increase the state’s minimum wage.

California Minimum Wage – The Specifics

Pursuant to the deal, California’s minimum wage will rise from its current rate of $10 per hour to $10.50 per hour on January 1, 2017, but only for companies with 26 or more employees. It will then climb to $11 per hour for the year of 2018, then to $12 per hour for 2019, then to $13 per hour for 2020, $14 per hour for 2021, and $15 per hour for 2022.

The minimum wage will remain at $10 per hour for companies with 25 or fewer employees until January 1, 2018. The minimum wage for those companies will climb to $11 per hour for the year of 2019, then to $12 per hour for 2020, $13 per hour for 2021, $14 per hour for 2022, and $15 per hour for 2023.

Is This California Minimum Wage Schedule Certain?

The increases are not guaranteed to take place at these times. As part of the deal, there will be two ways that the increases can be delayed.

The first way is related to the economy. At any point, the governor can “pause” an increase if the state’s economy is bad enough. This can occur if seasonally adjusted statewide job growth has been negative over the past three months, or over the past six months – and if retail sales receipts for the prior 12 months have been negative.

The second way is related to the state’s budget. The governor will be able to pause the increase if at any point in time, the current budget year, or the year after that, or the year after that, is forecasted to be in deficit when the next scheduled increase is taken into account. This is referred to as a “budget off-ramp,” and there is a specification that it may only be used twice.

The deal will also introduce sick leave for in-home supportive services workers. In July 2018, in-home supportive services workers will be guaranteed one sick day. A second sick day will be added in the first July following the implementation of a $13 per hour minimum wage for businesses with 26 or more employees. A third sick day will be added after the minimum wage rises to $15 per hour. [Read more…]

Disclaimer

The information on this website should not be considered to be legal advice, nor construed to be the formation of any manner of attorney client relationship. Prior to taking any form of legal action, please consult with an attorney experienced in the appropriate area of law germane to your situation. Case results and testimonials presented on www.californialaborandemploymentlaw.net or any of its related websites are germane to the facts present for each individual case and is not a promise of similar outcomes for any other cases. This website is not intended to solicit clients for matters outside of the State of California.