Date: Jul 23, 2013
A court ruling has impacted piece rate compensation programs for agriculture.

The California Supreme Court has denied review of a California Court of Appeal case which held that piece-rate-paid employees are entitled to separate hourly pay for non-productive time.  As a result, the Court of Appeal’s decision in Gonzalez v. Downtown LA Motors is now binding precedent.  Western Growers and other industry groups had submitted letters in support of the appellant’s petition for review.  

In Gonzalez v. Downtown LA Motors, the appellate court held the general rule that “employers must pay for all hours worked and may not average paid, productive hours with non-paid, non-productive hours” applies to piece-rate employees.  Therefore, the class of auto technicians was “entitled to separate hourly compensation for time spent waiting for repair work or performing other non-repair tasks directed by the employer during their work shifts.”

A sample piece rate policy in light of this ruling is available on the WG website by clicking here.

WG Staff Contact

Jason Resnick
Sr. Vice President & General Counsel

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