Are You Working After Punching Out?
California wage laws may not recognize federal ‘de minimis’ exception
By Judy Malmon, J.D. | Last updated on January 29, 2023Use these links to jump to different sections:
If a speck of coffee grounds falls on the counter, does it make a sound? What about when you multiply that single bit by 2,874? That’s the number of Starbucks coffee shops in the state of California, and, theoretically, roughly the number of hourly employees required to perform certain end of the day closing shift duties after they’ve mandatorily clocked out for the day. They should receive overtime pay.FLSA ‘De Minimis’ Rule

California Law More Protective of Employees
California’s state wage and hour law provides more protections to employees than federal law. As such, it may go further to require payment in circumstances where the FLSA would not. At issue in the Troester case is whether California state law recognizes the de minimis exception—and, if so, what amount may be considered so minimal as to justify nonpayment of an employee. A lower court in Troester did find that a de minimis exception would apply, and granted summary judgement in favor of Starbucks. But in the California Supreme Court review, justices focused on the modern ubiquity of technology that could accurately measure an employees work to the minute. It is worth noting that Starbucks has since changed its company policy to compensate employees for precisely the activities and time at issue in the Troester case. While the details of the de minimis doctrine under California labor law may take years to hash out, it remains the law that every employee must be paid their hourly wage for the number of hours worked, and employees may not waive this requirement. If you need help assessing a wage issue, labor laws or unpaid overtime, talk to an experienced employment law attorney for legal advice. For more information about this area, see our overviews on employment law for employees and wage and hour laws.What do I do next?
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