California is known as the innovation hub of the United States for the right reasons. The State is known for providing the best employment opportunities and facilitating some of the most comprehensive and employee-friendly work schedule laws in the United States.
California labor law changes impact work schedule regulations to cover various aspects, including overtime pay, meal and rest breaks, shift scheduling, and reporting time pay. This article explores California’s work schedule laws and how they affect employers and employees. All the laws related to work schedules in the State are primarily enforced by the California Department of Industrial Relations (DIR) and the Division of Labor Standards Enforcement (DLSE).
Table of Contents
Key Regulations Governing Work Schedules in California
For employers and employees, knowledge of crucial work schedule regulations is necessary for compliance and fair compensation.
Overtime Laws
Compared to federal standards, California’s overtime laws are more generous. As one of the most dynamic work cultures attracting global talent, employers in California are required to offer non-exempt employees overtime pay at 1.5 times their regular rate for hours worked over 8 in a day or 40 in a week. Furthermore, for hours exceeding 12 hours in a day, employees must be compensated at double the regular rate.
Meal and Rest Breaks
California law mandates that non-exempt employees receive a 30-minute meal break for shifts over 5 hours and a 10-minute rest break for every 4 hours worked. These break periods are introduced in the work hours to keep the employee’s well-being and productivity high.
Shift Length and Scheduling Rules
Employees in California can only be made to work up to 7 days without a day off. That is why a typical work week cannot extend more than 7 days (where 1 day is considered to be a day off). However, this rule does not apply to employees who work less than 30 hours a week or don’t work more than 6 hours a day. The schedule change laws in California also require employers to consider employee well-being when creating work schedules.
The 8-Hour Rule and 40-Hour Workweek
Like most U.S. states, California also has a standard workday of 8 hours and a standard workweek of 40 hours. Any work beyond these limits typically requires overtime pay. However, certain exceptions exist, such as administrators, highly paid executives and seasonal workers.
Alternative Workweek Schedules
A 40-hour workweek rule doesn’t bind employers to have a fixed schedule with 8 hour shifts over 5 days. Employers can explore alternative workweek schedules depending on their work requirements and demands. Two commonly implemented alternatives are 4/10 or 9/80 work schedules. These work schedules allow employees to work 10 hours a day for 4 days a week or 80 hours over 9 days rather than the typical 80 hours over 10 days.
However, implementing these schedules requires employers to follow a specific process, which includes communicating the alternative work schedule to employees and holding employee elections to ensure workers’ agreement. Additionally, employers must report the election results to DLSE within 30 days of finalizing the results.
Reporting Time Pay
Reporting time pay is one of the unique pay types applicable to all employers in California. It requires employees to be compensated for a minimum number of hours if they report to work but are not provided the expected amount or put to work. In California, reporting time pay is half of the complete day’s shift pay. It should be included in the California labor law schedule change notification provisions, and employees must be notified about their reporting time pay and the reason.
Let’s understand with an example. Suppose an employee at a manufacturing unit is scheduled for an 8-hour shift. However, when they clock in for work, they are sent home after only 2 hours; they must be paid for half of the scheduled shift (4 hours) even though they only worked for 2 hours.
Reporting time pay is implemented to encourage employers to create more accurate schedules and protect employees from unnecessary commutes.
Predictable Schedules
Schedule change laws in California have been evolving to address the need for more predictable work schedules, especially in the retail and service industries. The cities of San Francisco, Emeryville, and San Jose have local ordinances requiring additional compensation when employers make last-minute schedule changes. For instance, in San Francisco, if changes are made with less than 24 hours notice, the employer must pay 1-4 hours of pay at the employee’s regular hourly rate.
Restrictions on Split Shifts
A split shift is a schedule in which an employee’s work schedule for the day is split into chunks with non-paid, non-working periods in between. California labor law places specific restrictions on split shifts to ensure fair compensation for employees. If an employer requires employees to work a split shift, they must be paid a split shift premium. This premium is one hour’s pay at the state minimum wage or the local minimum wage if it’s higher.
Employee Notification Requirement
California labor law schedule change notification requirements vary depending on the jurisdiction. While the state law doesn’t specify a particular notice period for schedule changes, employers must give employees reasonable notice.
However, local jurisdictions exist regarding advanced notification for shift schedule changes. In San Francisco, employers must provide employees with their work schedules at least 7 days in advance. The same is true for employers in Emeryville.
What Are Overtime Job Schedule Laws in California?
Let’s examine California’s overtime job schedule laws and compliance requirements-
Daily Overtime
California overtime laws mandate overtime pay at 1.5 times the regular rate for hours worked over 8 a day. This law applies regardless of how many hours an employee worked over a workweek; if they work over 8 hours a day, they are entitled to overtime.
Weekly Overtime
On the same line, if employees work over 40 hours a week, they must be paid overtime regardless of how many hours they work in a day.
Double Time
If, on my day, employees work more than 12 hours, then they are entitled to double time, i.e., they will be paid overtime at twice the regular wage rate. Additionally, if employees work seven consecutive days in a workweek, they must receive double time for all hours worked beyond 8 on the seventh day.
Exempt Employees
The schedule change laws in California apply to most workers, but certain employees are exempted from overtime rules. These include:
- Executive, administrative, and professional employees who meet specific salary (at least $66,560 annually) requirements.
- Certain commissioned sales employees, often outdoor sales staff.
- Computer software professionals who meet make more than $66,560 annually.
- Collective bargaining agreements cover certain unionized employees.
Employers must carefully refer to the California Labor Code to determine if an employee qualifies for exempt status.
Local Ordinances Affecting Work Schedules
California state law provides a baseline for employee protection, and several cities have enacted their ordinances to further California labor law, changing work schedules.
San Francisco’s Formula Retail Employee Rights Ordinance (FRERO)
San Francisco has been at the forefront of employee scheduling rights with its Formula Retail Employee Rights Ordinance (FRERO). The ordinance applies to “formula retail establishments” (chain stores) with at least 40 locations worldwide and 20 or more employees in San Francisco. Employers must provide employees with work schedules at least 14 days in advance. Also, the schedule change should be posted in a conspicuous location at the workplace. For less than 7 days’ notice, 1-4 hours of pay premium must be paid; for less than 24 hours’ notice, 4-8 hours of pay must be paid.
Emeryville’s Scheduling Ordinance
Emeryville is a small city in the San Francisco Bay Area and has also implemented strong schedule change laws in California. Emeryville’s ordinance applies to retail firms with 56 or more employees globally, fast food firms with 56 or more employees globally, and 20 or more in Emeryville. It also requires employers to provide employees with their work schedules at least 14 days before the first shift. Otherwise, “predictability pay” must be paid at the same rate as the FRERO ordinance.
San Jose and Berkeley Regulations
San Jose and Berkeley need to implement comprehensive, predictable scheduling laws like San Francisco and Emeryville. In San Jose, the work ordinance requires employers to offer additional hours to existing part-time employees before hiring new staff. This law applies to all businesses with 36 or more employees. Similarly, Berkeley has strong worker protection laws that indirectly affect scheduling practices. It also requires employers to offer additional hours to part-time employees before hiring new staff.
Compliance and Enforcement
Enforcement of schedule change laws in California is on employers. It is essential for compliance across industries. Understanding employees’ rights and responsibilities is also mandatory.
Employer Responsibilities
- Accurate Record-Keeping: Employers must maintain accurate records of employee hours, meal breaks, overtime, and rest periods. According to the California Labor Code and DLSE, all employers must maintain a three-year record of every employee.
- Overtime Compliance: Employers must ensure that employees are paid for overtime according to the law, including the proper overtime rate. Employees must be paid 1.5 times the regular rate for hours worked over 8 in a day or over 40 hours in a week. If they work over 12 hours or over 8 hours on the seventh consecutive day of work in a workweek, they must be paid double the regular wage rate.
- Meal and Rest Breaks: Employers in the State are obligated to provide meal and rest breaks under the labor law. A 30-minute break for every 5-hour shift, 10 minutes after 4-hour work, and a second 30-minute break for lunch/meal.
- Posting Requirements: Employers must display the schedule and related information at a place within the organization that is visible to all employees. The “Notice to Employees” poster should include information on wages, hours, and working conditions. Additionally, it should have comprehensive information on payday notices, workers’ compensation insurance information, and whistleblower protection notices.
- Paying Reporting Time: California has implemented reporting time pay to protect employees’ rights and encourage employers to be better at work allocation. According to this provision, if employees are sent home early or not provided work after reporting, employers must compensate them for a minimum number of hours. For instance, if an employee reports to work and is not put to work or is furnished less than half of their usual or scheduled day’s work, they are entitled to be paid for half of their usual or scheduled day’s work, up to a maximum of 4 hours.
Employee Rights and Remedies
- Right to Overtime Pay: All non-exempted employees are entitled to overtime pay for hours worked beyond the standard 8-hour or 40-hour workweek. The rate of overtime depends on the number of hours worked.
- Right to Meal and Rest Breaks: Irrespective of their roles and responsibilities, workers working more than 30 hours a week must be allowed to take meal and rest breaks during their shifts as mandated by law. For example, employees working more than 5 hours in a day are entitled to a 30-minute meal break, and those working more than 10 hours are entitled to a second meal break. Additionally, employees are entitled to a 10-minute rest break for every 4 hours worked.
- Right to Reporting Time Pay: Employees sent home after reporting for work or not allotted enough work during their shifts are entitled to be paid a minimum amount for their time. For instance, if an employee reports to work and is not put to work or is furnished less than half of their usual or scheduled day’s work, they are entitled to be paid for half of their usual or scheduled day’s work, up to a maximum of 4 hours.
- Right to File a Complaint: Employees can file complaints with the California Department of Industrial Relations (DIR) if they believe their rights under work schedule laws have been violated. The DIR provides resources and assistance for workers to report violations and seek remedies.
- Penalties for Violations: Employees can seek legal remedies for violations of work schedule laws, which could include back pay, penalties, and legal fees. They can file their complaints with the DIR and the California Labor Commissioner’s Office under the correct provision to receive the compensation and protections they are entitled to.
What are the consequences of violating work schedule laws?
Violations of California labor law regarding work schedules can result in severe penalties for employers. Depending on the severity of the violation, employees can be liable to give:
- Back pay for affected employees
- Interest on unpaid wages if proven guilty
- Civil penalties, which can range from $50 to $100 per employee per pay period for initial violations
- Waiting time penalties of up to 30 days of the employee’s average daily pay
- Additional penalties for wage statement violations
- Potential class action lawsuits from employees
Employers who are found guilty of willful violations may also face criminal charges. The severity of these consequences underscores the importance of strict compliance with California’s work schedule laws.
Recent Developments and Proposed Legislation
Proposed ‘Right to Disconnect’ Legislation
In California, Assembly Bill (AB) 2751 proposes that workers have a “right to disconnect.” If passed, it will allow employees to ignore work-related communications during off-hours. This legislation, if passed, would “mandate employers to establish a written policy guaranteeing California employees the right to disconnect from work communications during non-working hours. This includes emails, texts, and phone calls. Exceptions would exist for emergencies or for scheduling changes within 24 hours.”
Impact on Employers and Employees
Such legislation could lead to more defined work schedules and potentially reduce employee stress and burnout. At the same time, it can raise challenges for employers to implement their communication channels. Communication policies will require more flexibility to comply with these new regulations.
Best Practices for Employers
To stay compliant with work schedule laws and the changes, employers can use these best practices:
Developing Clear Scheduling Policies
Employers should always create comprehensive and transparent scheduling processes to comply with CA labor laws and schedule changes. Include employees in the process and provide work schedules well in advance. Have clear procedures for requesting time off or shift changes.
Training and Education
Employers should invest in comprehensive training programs for HR personnel and managers to ensure they understand and can implement California’s complex labor laws correctly. It will ensure that you continuously comply with the laws and that your workers are fairly treated and compensated.
Employee Communication
Effective communication is key to compliance. Employers should clearly explain scheduling policies to all employees through handbooks and websites. To avoid confusion, provide written documentation of schedules and any changes. Establish open channels for employees to discuss scheduling concerns.
How Truein Helps with Employee Job and Shift Scheduling
Truein is a cloud-based time and attendance system that can significantly aid employers in complying with California labor laws.. Truein can completely automate time attendance management, and scheduling using a web portal and mobile app. It has robust work scheduling features that allow for easy creation and management of employee schedules, ensuring compliance with overtime laws and break requirements.
Its 70+ customizable policy templates ensure that employers can adjust the application per their company policies and local work schedule ordinances. Additionally, the system can automatically notify employees about their schedules and any changes, helping employers meet notification requirements. You can use Truein to significantly reduce the risk of violating schedule change laws in California while improving overall workforce management efficiency.
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Conclusion
California has one of the most competitive work schedule laws in the United States, designed to protect employee rights. Understanding and adhering to these work schedule laws is crucial for maintaining a fair and lawful workplace. While compliance can be complex, the benefits far outweigh the potential costs of violations.