Publication
Workplace Word® – California Court of Appeal Decision May Signal the End of Piece-Rate Compensation Plans
by Anne E. Hopkins
This issue of the Workplace Word will address a recent California court decision invalidating piece-rate compensation plans:
- Piece-rate compensation plans compensate employees based on the tasks they perform rather than hours worked;
- Even if an employee's average wage is greater than minimum wage, piece-rate compensation can violate the minimum wage law; and
- Employers may be required to pay an additional hourly wage to piece-rate employees.
About Snell & Wilmer
Founded in 1938, Snell & Wilmer is a full-service business law firm with more than 500 attorneys practicing in 17 locations throughout the United States and in Mexico, including Los Angeles, Orange County, Palo Alto and San Diego, California; Phoenix and Tucson, Arizona; Denver, Colorado; Washington, D.C.; Boise, Idaho; Las Vegas and Reno, Nevada; Albuquerque, New Mexico; Portland, Oregon; Dallas, Texas; Salt Lake City, Utah; Seattle, Washington; and Los Cabos, Mexico. The firm represents clients ranging from large, publicly traded corporations to small businesses, individuals and entrepreneurs. For more information, visit swlaw.com.
