Seyfarth Synopsis: California employers seeking to mitigate the financial impact of the COVID-19 pandemic may consider adjusting certain pay plans as a way to control costs. Where these adjustments involve commission agreements and bonus plans, it makes cents to invest some time in recalling that phrase coined by Benjamin Franklin: “An investment in knowledge pays the best interest.” So here
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Commissions
When The End Is Near for Departing Employees, Don’t Do It Your Way
Seyfarth Synopsis: While Mr. Sinatra could get away with doing things his way, California law requires that employers provide employees facing the final curtain with specific paperwork and a check on their final day. Although these various items may seem simple, failure to correctly provide them can lead to more than a few regrets for employers.
On an employee’s last…
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Update — California Courts: a Piece of Work?
Update: In April we reported on a California appellate court decision, Gonzales v. Downtown LA Motors, which held that an employer paying on a piece-rate basis must pay a separate “hourly” rate for time spent waiting between compensable piece-rate tasks. The California Supreme Court recently denied review in Gonzalez v. Downtown LA Motors. If you are wondering what …
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Got It In Writing? Rules for Commissioned Employee Pay Agreements
As many employers know, California’s new written commission agreement law (Labor Code Section 2751) became effective on January 1, 2013. This new law requires employers that pay California employees “commissions” to do the following:
1. have a written contract with the employee regarding commissions that is signed by the employer;
2. include in the contract the method for …
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California Courts: a Piece of Work?
If you are employing piece-rate employees who don’t get paid for downtime, California Courts have just given you a piece of their minds.
In Gonzalez v. Downtown LA Motors, a group of car repair technicians who were paid on a piece-rate basis brought a class action to recover unpaid minimum wages for the time they spent waiting between repairs. …
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