Insights Archive

Split Ninth Circuit Decision Clarifies the Limitations of Tip Pooling

In a split 2-1 decision, the Ninth Circuit Court of Appeals ruled in Oregon Restaurant and Lodging Association v. Perez (February 2016) that its 2010 decision in Cumbie v. Woody Woo, Inc. did not prevent the U. S. Department of Labor (DOL) from implementing regulations prohibiting all employers—even those that do not take advantage of a “tip credit”—from requiring tipped employees to participate in a tip pool that includes employees who are not “customarily and regularly” tipped.

Gregory C. Cheng San Francisco Author

Single Act of Disobedience Does Not Disqualify Employee From Unemployment Benefits, California High Court Rules

On July 3, 2014, the California Supreme Court decided whether a single act of disobedience by an employee constitutes misconduct within the meaning of section 1256 of California’s Unemployment Insurance Code, thereby disqualifying the employee from receiving unemployment insurance benefits. The court held that the employee’s refusal to sign a…..

Gregory C. Cheng San Francisco Author

California Employer Held Liable for Employee’s Accident During Commute

Moradi v. Marsh USA, No. B239858 (September 17, 2013): A California Court of Appeal recently held that an employer was vicariously liable for a car accident that occurred when an employee was driving home from work. The employee, Judy Bamberger, was an insurance salesperson for Marsh USA. She was required to use her personal vehicle

Gregory C. Cheng San Francisco Author

BREAKING NEWS: California’s Minimum Wage Goes Up—But There Are Some Pitfalls Employers Need to Avoid

This morning, Governor Jerry Brown signed AB 10 into law, raising California’s minimum wage to $10 per hour by January 2016. The first increase will go into effect on July 1, 2014, raising the minimum wage to $9 per hour. And the jumpto $10 per hour will take place on January 1, 2016.

Gregory C. Cheng San Francisco Author

California Agencies Don’t Get Two Bites at the Apple When It Comes to Misclassification

Happy Nails & Spa of Fashion Valley, LP, v. Julie Su, No. D060621 (July 19, 2013): A California Court of Appeal recently held that an employer does not have to relitigate the issue of whether the workers at its facilities are employees or independent contractors based on the legal principle of collateral estoppel, since the

Gregory C. Cheng San Francisco Author

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