California has a set of overtime laws that are more favorable to employees than federal laws. The state’s overtime laws require employers to pay eligible employees overtime pay for all hours worked over 8 hours in a single workday and over 40 hours in a workweek. This is different from the federal overtime laws, which require overtime pay for hours worked over 40 hours in a workweek.
Additionally, California law requires employers to pay double time for hours worked over 12 hours in a single workday and for the first 8 hours worked on the seventh consecutive day of a workweek. Employers must also provide a 30-minute meal break and a 10-minute rest break for every 4 hours worked. If the employer fails to provide these breaks, they must pay the employee one hour at the employee’s regular rate of pay.
There are some exemptions to California’s overtime laws. For example, certain employees, such as outside salespersons and executives, are exempt from overtime pay. Additionally, employees in certain industries, such as agriculture and domestic work, may be exempt from overtime pay under certain conditions.
It’s important to note that California law also requires employers to keep accurate records of employee’s hours worked and overtime pay. Employers that violate California’s overtime laws can be subject to penalties, including fines and back pay for affected employees.
In recent years, California has made further changes to its overtime laws to increase the salary threshold for certain employees to qualify for the exemptions. The new rule increases the salary threshold for certain executive, administrative, and professional employees from $33,280 to $62,400 annually and from $45,760 to $125,000 for certain computer software employees, effective January 1, 2022. This means that employees who earn less than this threshold must be paid overtime. The new rule also increases the minimum salary for the highly compensated employee exemption to $100,000.
These changes are expected to significantly increase the number of employees who are eligible for overtime pay in California, particularly in industries such as technology, finance, and healthcare. Employers should review their payroll and timekeeping practices to ensure compliance with the new regulations.
It’s also important for employers to be aware that California’s overtime laws are subject to change, and it’s essential to stay informed about any updates or changes to the law. Employers should consult with legal counsel to ensure compliance with California’s overtime laws and to avoid penalties for non-compliance.
In conclusion, California’s overtime laws are more favorable to employees than federal laws. They require employers to pay eligible employees overtime pay for all hours worked over 8 hours in a single workday, and over 40 hours in a workweek. California law also requires employers to pay double time for hours worked over 12 hours in a single workday, and for the first 8 hours worked on the seventh consecutive day of a workweek, and provides for meal and rest breaks. Employers should stay informed about any updates or changes to the law and consult with legal counsel to ensure compliance with California’s overtime laws to avoid penalties for non-compliance.