What’s New in Employment Law?

Welcome to Shaw Law Group, PC’s law blog. We focus on employment law developments, particularly in California. The posts below are current as of the date of the posting. Nothing in this forum should be construed as legal advice, ’cause it isn’t. Please consult your regular counsel or hire us! Also – this is a public website, so communications are not privileged.

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9th Circuit Per Diem Case

by Jennifer Shaw | | February 19, 2021

If you pay employees a “flat” or automatic amount for reimbursement of their expenses, such as cell phone and internet charges, this new 9th Circuit case is important:  https://cdn.ca9.uscourts.gov/datastore/opinions/2021/02/08/19-55784.pdf.  The Court ruled that an employer’s per diem expense reimbursement payments constituted compensation for work rather than business expense reimbursements. As a result, the employer should have included the per diem payments in the calculation of the employees’ “regular rate of pay” for overtime and other purposes, including mandated sick leave and reporting time pay.  Stay tuned!   Watch Jennifer discuss this development here.

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