Non-Resident Employees Must Be Paid Overtime Compensation

July 13, 2011

In a California case that may have widespread impact, the California Supreme Court has just determined that out-of-state workers must be paid for overtime work performed in California. In Sullivan et al v. Oracle Corp., the Court determined that Oracle Corp. could be found liable for unpaid wages if it did not pay its out-of-state computer trainers for work performed in California pursuant to its wage and hour laws.

Similar to the federal Fair Labor Standards Act (FLSA), the California labor code requires workers to be paid overtime for work over eight hours a day or 40 hours a week. The Court reviewed whether Arizona and Colorado workers who visited the state to provide training must also receive overtime compensation.

The California Supreme Court unanimously determined they must be paid overtime, with Justice Kathryn Werdegar writing, "To permit nonresidents to work in California without the protection of our overtime law would completely sacrifice, as to those employees, the state's important public policy goals of protecting health and safety and preventing the evils associated with overwork."

This case may have significant impact for those non-California employees who do work at California businesses.

For more information or if you believe you have been denied all the compensation you deserve, please contact the dedicated Atlanta wage and hour attorneys at Buckley & Klein, LLP for a confidential consultation.