California Minimum Wage 2012:
The current California minimum wage for 2012 is $8.00 per
hour. This minimum wage rate remains the same as the California
minimum wage for 2011. Keep in mind that the California
minimum wage of $8.00 was effective as of January 1, 2008
and this was an increase from the 2007 rate of $7.50 per
hour.
Federal Minimum Wage 2012: Additionally,
the third and final federal minimum wage increase as amended
under the Fair Labor Standards Act (FLSA) was implemented
effective July 24, 2009. The federal minimum wage increased
to $7.25 per hour. Therefore, the state of California minimum
wage for 2012 remains approximately 10% higher than the federal minimum
wage rate for 2012.
Payment of Minimum Wage to Non-Exempt
Employees: California employers must pay at least
the California minimum wage to all non-exempt workers for
all hours worked. If an employer misclassifies an employee
as exempt and the employee works overtime and is only paid
the equivalent of minimum wage, the employer may face significant
penalties for failure to pay minimum wage once all hours
worked are considered and claimed.
The payment of minimum wage and determining whether an employee
is entitled to overtime or not, are concepts that must be
jointly considered. California employers should remember
that one condition of exemption is that the employee is
paid at least twice the minimum wage. If an employee is
paid less than twice the minimum wage and does not fall
under another exemption, such employee may be entitled
to overtime pay. Our CA labor law attorneys are available to review potential violations related to the current minimum wage in California.
Minimum Wage Related to Meal/Break
Periods: Employer abuses and violations for “failure
to pay minimum wage” frequently occur when an employee’s
rate of pay is the California minimum wage rate, but the
employee is not receiving their rest and meal break periods
in accordance with California labor laws. If an employee
is denied these legally mandated meal and rest break periods,
then in effect, that employee is being paid less per hour
than the state of CA minimum wage. A California
employer’s failure to pay the California minimum wage is
considered a serious violation.
Minimum Wage and Working Off The Clock:
Another employer abuse related to the failure to pay California
minimum wage is requiring that employees work “off the clock.”
Requiring that employees actually begin working before “clocking
in” to the time reporting system, or staying late to work
after they have “punched out” are not uncommon violations.
Additionally, failure to compensate employees for driving
from one job site to another may be constituted as failure
to pay minimum wage. California minimum wage attorneys can
provide sound legal advice on this type of employer violation.
Minimum Wage Postings:
California employers are required to conspicuously post
notices of both California and Federal minimum wage in the
workplace along with other informational requirements. This
is a requirement even though the minimum wage in California
is currently higher than the federal minimum wage. Failure
to pay minimum wage to employees in accordance with California
labor laws will expose employers to serious liability. Liabilities
include, but are not limited to, unpaid wages, double damages,
attorney's fees and court costs.
Minimum Wage and Inside Salesperson Commissions:
California minimum wage requirements extend to inside sales
employees as well. It is common for employers to believe
that since an employee is paid on commission, they are not
required to pay minimum wage for all hours worked. This
could not be further from the truth. California class action
cases have been initiated on this very violation in favor
of inside sales people so employees should carefully research
their compensation to ensure that they are being paid all
that is owed under California labor laws. Seeking the advice
of qualified California wage attorneys may be prudent if
you are an inside salesperson and commission sales are part
of your overall compensation package. For additional information
about the California Inside Sales Exemption, see our “Other
Exemptions” section.
If you feel your employer is not complying with 2012 California
minimum wage law and you may have a claim related to this
failure to pay minimum wage, our California labor law attorneys
are available to review your potential claim.