1. Have proper onboarding (hiring documents). Whether you have 1 employee or 50 employees you must have the right paperwork and know the basic state mandated requirements to hire someone and know what it means to have an employee. That could be Paid Sick Leave, meal breaks and rest periods, leave laws and more.
2. Pay correctly. Know the minimum wage in your city. While California has a state minimum wage, counties and cities can have higher minimum wages, know what those are. This will impact overtime pay and whether your employee is classified correctly, as well premium pay. Remember too, this changes each year.
3. Reimburse for business expenses. Whether mileage, cell phone or uniforms and more, this is a huge area that we see in litigation. Especially for those that have remote workers. Know what you have to reimburse for.
4. Document document document. When you change pay, update pay, get a complaint, or discipline an employee make sure you memorialize what you do. And that you do it correctly.
5. Proper paystubs. I would say of all the wage & hour litigation we see incorrect paystubs every time. This is usually a very quick fix. But while you think yours is correct, is it really? The California labor code requires specific things to be on your paystub and if you don’t have them there, your paystub is wrong. This is a huge claim in what we call PAGA lawsuits, and can be very costly.
As an employer, the best thing that you can do to prevent wage & hour litigation is know whether you are compliant with the California Labor Law. If you are not 100% sure that the above 5 things are right, call the Employer Lawyers at Chauvel & Glatt.
This material in this article, provided by Chauvel & Glatt, is designed to provide informative and current information as of the date of the post. It should not be considered, nor is it intended to constitute legal advice. For information on your particular circumstances, please contact Chauvel & Glatt at 650-573-9500 for legal assistance near you. (photo credit: depositphotos.com).
