Takeaway: Employers should include premium payments for missed meal and rest breaks on employee wage statements for the pay periods in which the premiums are owed and ensure that employees' final wages include any premium payments the employees have earned.
California law requires employers to provide daily meal and rest breaks to most unsalaried employees. If an employer unlawfully makes an employee work during all or part of a meal or rest period, the employer must pay the employee an additional hour of pay. California's highest court ruled that this extra pay for missed breaks constitutes "wages" and therefore must be reported on statutorily required wage statements and paid within statutory deadlines when an employee separates from employment.
Failure to comply with these requirements may subject the employer to additional penalties for meal and rest period violations.
A security guard who worked for a company that transported prisoners to appointments outside the custodial facilities was suspended and later fired after leaving his post to take a meal break, in violation of a company policy that required custodial employees to remain on duty during all meal breaks. The guard filed a class action on behalf of the company's employees, alleging that the employer had violated state meal break requirements under the Labor Code and the applicable Industrial Welfare Commission wage order.
The complaint sought an additional hour of pay—commonly referred to as "premium pay"—...
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