in·de·pen·dent adjective \ˌin-də-ˈpen-dənt\

1: not dependent: as a (1) : not subject to control by others

con·trac·tor noun \1 usually ˈkän-ˌtrak-tər, 2 usually kən-ˈ\

1: one that contracts or is party to a contract: as a : one that contracts to perform work or provide supplies

Two words with straightforward meanings; at least one would think. But put those words together—“independent contractor”—and their meaning in the workplace context is often anything but clear. Applying the independent contractor label carelessly can lead to a world of trouble.

Whether workers are properly designated as independent contractors, rather than employees, depends on a host of factors. The pivotal factor is whether the principal controls the manner and means of accomplishing the desired result.

Manner and Means: Determining The Level Of Control Exerted

If I offered to pay you to deliver something to a particular place before a particular time––say the ceremonial ball to Times Square by New Year’s Eve 2014––but I gave you no additional instructions, you would be free to choose the manner and means you used to get the ball there. Your route could be circuitous, or direct, as long as the ball arrived at the location before the deadline. You could mail it, carry it on a bus, drive it by car, fly it in a plane, or take it by boat.  You could, theoretically at least, hire a mule team to take you and the ball to New York. Or, you could avoid the hassle altogether and pay a friend to do it.
Continue Reading Blurred Lines: When Manner Meets Means

In addition to the numerous and often mind-numbing requirements placed upon employers in the Golden State, Labor Code Section 2802 requires that an employer “indemnify his or her employee for all necessary expenditures or losses incurred by the employee in direct consequence of the discharge of his or her duties.”  The most common employee “expenditure” seen by businesses relates
Continue Reading The Road Less Traveled: Reimbursing Employee Vehicle Expenses Through Increased Compensation Can Make All The Difference

While most employers now use computerized timekeeping and payroll systems, many “round” employees’ time, a practice originating in olden days when time and pay calculations were done by hand.  But is this practice legal?  According to a recent California Court of Appeal decision, See’s Candy Shops, Inc. v. Superior Court, 210 Cal. App. 4th 889 (2012), the answer is
Continue Reading A Sweet Decision: See’s Candy Clarifies Time Rounding Rules

From the day we join the workforce, we are trained to think work means 8 hours a day, 5 days a week. This is especially true in California, which swoops in to reward employees with overtime pay when they work over 8 hours a day.  You might be surprised, however, to learn that California allows for some flexibility. Instead of the normal 8 hour day, employers and their workers have the ability to implement an “Alternative Workweek Schedule,” which, if done right, lets employees work more than 8 hours per day, without daily overtime, while putting in fewer days of work per week. 

Q: What is an Alternative Workweek Schedule?

A: An Alternative Workweek Schedule (or “AWS” in hip lawyer lingo) is a fancy term for a process allowing employers, with their employees’ permissions, to set work schedules that vary from the usual 8 hours per day, 5 days a week, without paying daily overtime. California Labor Code section 511 governs the requirements for implementing an AWS. 

Q: Why would I want to do this?

A: Short answer?  Happier employees. Employees like an AWS because it allows greater flexibility in their personal lives.  Many employees who are told they can finish their work week in four days by working two extra hours a day will pounce on the idea with unbridled enthusiasm. 

The other answer? A well-designed AWS can essentially eliminate the payment of overtime for those using it. Your finance guys will thank you.

Q: What are the possible work schedules?

A: Employers have many options to choose from. The most common are:  four days of work per week, for ten hours a day (aka a “4/10 ”); and what’s referred to as a  “9/80.” A 9/80 allows for nine days worked in a fourteen day calendar period, totaling eighty hours of work.
Continue Reading Tired of the 9-5 Grind? Consider an Alternative Workweek Schedule!