REST PERIOD BILL ON GOVERNOR’S DESK – AB 1513

SEE UPDATED INFORMATION DATED 1/24/2017

News came down yesterday that there has been negotiations going on between AG attorneys and the State regarding rest periods and employees who are paid by piece-rate, or truckers by the load. As we discussed before, you have to establish a pay rate for when an employee is supposed to take a paid rest break even if they are paid by the load. So the good news is there is some recognition of the problem and a partial solution is headed to the Governor’s desk, but it is several pages and I have not had a chance to digest it all yet. It is called AB 1513 (March 5, 2015). It actually is also combined with changes to Worker’s Compensation where you may also have a problem establishing the pay rate for people when they are injured and cannot work. How do you figure the rate of Disability compensation for piece rate or commission sales employees.

 

There is a lot of complicated language in the 7 page bill, but a couple of things I do see, includes a provision that you may pay employees for non-productive time at a rate of at least the minimum wage or an average of the money an employee earns in a work week divided by the number of hours worked, minus any time spent in non-productive time. It does say that you will need to have a better system for documenting non-productive and rest period time if you are paying that separately from an hourly worker. It will require that you show the amount of rest or cool-down time you are paying for on a separate line on the paycheck stub.

 

You can read more here: https://asmdc.org/members/a37/news-room/press-releases/piece-rate-worker-compensation-bill-to-governor-s-desk

 

As I said, I do not have any big answers right now and there is no guarantee it will be signed (though it is very likely).  Once it takes effect, we will have a little more clarity and I will be able to enlist the help of attorney’s.  Still, I thought it was important to bring to your attention.