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.
Popular Blog Posts
- CA EMPLOYMENT LAW (COVID-FREE) POT POURRI
- 9th Circuit Per Diem Case
- Court of Appeal: Arbitration Agreements May Apply Retroactively
- A bit of good news in these crazy times
- California Supreme Court: A Downside to Arbitration
- AB 2257 – CA’s “Improved” Independent Contractor Law, Explained
- California Legislature Passes New Employment Laws- Some Take Effect Now
- Employers Who File the EEO-1 Form Must File 2017 and 2018 Pay Data by 9/30/19
- The End of an Error?