Opinion

Huerta v. CSI Electrical Contractors

Court
California Supreme Court
Filed
Mar 25, 2024
Status
Published
Cited by
0 cases
Authority
More cited than 15.6%

The opinion

IN THE SUPREME COURT OF

CALIFORNIA

GEORGE HUERTA,

Plaintiff and Appellant,

v.

CSI ELECTRICAL CONTRACTORS,

Defendant and Respondent.

S275431

Ninth Circuit

21-16201

Northern District of California

5:18-cv-06761-BLF

March 25, 2024

Justice Liu authored the opinion of the Court, in which Chief

Justice Guerrero and Justices Corrigan, Kruger, Groban,

Jenkins, and Evans concurred.

HUERTA v. CSI ELECTRICAL CONTRACTORS

S275431

Opinion of the Court by Liu, J.

Industrial Welfare Commission (IWC) wage order No. 16-

2001 (Wage Order No. 16) governs wages, hours, and working

conditions in the construction, drilling, logging, and mining

industries. (Cal. Code Regs., tit. 8, § 11160.) It entitles certain

employees in these industries to at least minimum wage

compensation for “hours worked.” (Id., § 11160, subd. 4(B); see

id., § 11160, subd. 2(J).)

We granted a request from the United States Court of

Appeals for the Ninth Circuit to answer three questions about

Wage Order No. 16 and the scope of the term “hours worked.”

First: “Is time spent on an employer’s premises in a personal

vehicle and waiting to scan an identification badge, have

security guards peer into the vehicle, and then exit a Security

Gate compensable as ‘hours worked’ within the meaning of . . .

Wage Order No. 16?” (Huerta v. CSI Electrical Contractors, Inc.

(9th Cir. 2022) 39 F.4th 1176, 1177 (Huerta).) Second: “Is time

spent on the employer’s premises in a personal vehicle, driving

between the Security Gate and the employee parking lots, while

subject to certain rules from the employer, compensable as

‘hours worked’ or as ‘employer-mandated travel’ within the

meaning of . . . Wage Order No. 16?” (Ibid.) And third: “Is time

spent on the employer’s premises, when workers are prohibited

from leaving but not required to engage in employer-mandated

activities, compensable as ‘hours worked’ within the meaning of

. . . Wage Order No. 16, or under California Labor Code Section

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Opinion of the Court by Liu, J.

1194, when that time was designated as an unpaid ‘meal period’

under a qualifying collective bargaining agreement?” (Ibid.)

We answer these questions as follows: First, an

employee’s time spent on an employer’s premises awaiting and

undergoing an employer-mandated exit procedure that includes

the employer’s visual inspection of the employee’s personal

vehicle is compensable as “hours worked” within the meaning of

Wage Order No. 16, section 2(J).

Second, the time that an employee spends traveling

between the Security Gate and the employee parking lots is

compensable as “employer-mandated travel” under Wage Order

No. 16, section 5(A) if the Security Gate was the first location

where the employee’s presence was required for an employment-

related reason other than the practical necessity of accessing the

worksite. Separately, this travel time is not compensable as

“hours worked” because an employer’s imposition of ordinary

workplace rules on employees during their drive to the worksite

in a personal vehicle does not create the requisite level of

employer control.

Third, when an employee is covered by a collective

bargaining agreement that complies with Labor Code section

512, subdivision (e) and Wage Order No. 16, section 10(E), and

provides the employee with an “unpaid meal period,” that time

is nonetheless compensable under the wage order as “hours

worked” if the employer prohibits the employee from leaving the

employer’s premises or a designated area during the meal period

and if this prohibition prevents the employee from engaging in

otherwise feasible personal activities. An employee may bring

an action under Labor Code section 1194 to enforce the wage

order and recover unpaid wages for that time.

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Opinion of the Court by Liu, J.

I.

The California Flats Solar Project (the Site) is a solar

power facility located on privately owned land in Monterey and

San Luis Obispo Counties. First Solar Electric, Inc. (First Solar)

owns the facility. A subcontractor hired George Huerta (Huerta)

and other workers to assist CSI Electrical Contractors (CSI), the

company providing “procurement, installation, construction,

and testing services” at the Site.

A designated road provided access between a guard shack

located at the Site’s perimeter and the employee parking lots. A

security gate (Security Gate) was located on that road several

miles from the guard shack; from the Security Gate, it would

take Huerta approximately 10 to 15 minutes to reach the

parking lots. Huerta underwent security checks at the Security

Gate and was told by CSI management that this gate was the

“first place” he had to be at the beginning of the workday.

In the morning, vehicles formed a long line outside the

Security Gate, where guards scanned each worker’s badge and

sometimes peered inside vehicles and truck beds. At the end of

the day, workers again formed a long line inside the Security

Gate, where the exit procedure took place. The exit procedure

could take up to a minute or more per vehicle and caused delays

of five to over 30 minutes. CSI told Huerta that security guards

had the right to search vehicles during the entry and exit

processes, and the guards visually inspected the bed of his truck

for stolen tools or endangered species. Huerta was not paid for

the time he spent waiting to pass through the Security Gate at

the beginning or end of the workday.

Because two endangered species were present near the

Site, the Department of Fish and Wildlife required First Solar

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Opinion of the Court by Liu, J.

to obtain an Incidental Take Permit (ITP) before work could

begin on the project. The ITP imposed a speed limit of 20 miles

per hour on the access road between the guard shack and the

parking lots, and restricted the roads that could be taken at the

Site. It also required a biologist to monitor the Site to minimize

disturbances to species’ habitats. As part of this monitoring, the

biologist each morning ensured that the road between the guard

shack and the parking lots was clear of endangered species

before anyone could enter the Site. On some occasions, this

clearing process added to the time Huerta spent waiting in line

to enter the worksite in the morning.

As First Solar’s subcontractor, CSI was required to abide

by the ITP and was required to ensure that its employees did as

well. After passing through the Security Gate each morning,

Huerta was subject to the rules imposed by the ITP in addition

to other rules governing his conduct. CSI required adherence to

speed limits between five and 20 miles per hour; restricted

travel to driving on the access road to reach the Site, thereby

prohibiting employees from driving on other roads near the Site

or walking or biking from the Security Gate to the parking lots;

and prohibited employees from honking their horns, playing

music that could be heard outside of their vehicles, or otherwise

disturbing local wildlife. Violation of these rules or other Site

rules could result in suspension or termination. Huerta was not

paid for the time he spent driving between the Security Gate

and the employee parking lots.

Huerta’s employment was governed by two collective

bargaining agreements (CBAs), which specified that the

standard workday included an unpaid 30-minute meal period.

CSI did not allow workers to leave the Site during the workday

and instructed workers to spend their meal periods at a

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Opinion of the Court by Liu, J.

designated area near their assigned worksite (Installation Site).

In accordance with the CBAs, Huerta was not paid for his meal

periods.

Huerta filed a wage and hour class action in the Superior

Court of Monterey County on behalf of himself and all others

similarly situated against CSI, seeking payment for unpaid

hours worked. The suit was removed to the United States

District Court for the Northern District of California. The

district court granted Huerta’s motion for class certification.

CSI then filed a motion for partial summary judgment on the

class claims Huerta raised in his first amended complaint; that

motion was granted by the district court. CSI filed a second

motion for partial summary judgment on the class claim that

survived the first motion for partial summary judgment. This

second motion was also granted. Huerta timely appealed the

orders granting CSI’s motions to the Ninth Circuit, which

certified to us the questions stated above.

II.

“The [IWC] was established more than a century ago ‘to

fix minimum wages, maximum hours of work, and standard

conditions of labor.’ ” (Frlekin v. Apple Inc. (2020) 8 Cal.5th

1038, 1045 (Frlekin).) To achieve this goal, the IWC formulated

a series of regulations known as wage orders. (See Hernandez

v. Pacific Bell Telephone Co. (2018) 29 Cal.App.5th 131, 136–137

(Hernandez).) These industry- and occupation-wide orders

specify “minimum requirements with respect to wages, hours,

and working conditions.” (Brinker Restaurant Corp. v. Superior

Court (2012) 53 Cal.4th 1004, 1026 (Brinker).)

Wage Order No. 16 applies to employees like Huerta who

work in certain “on-site occupations” in the construction,

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Opinion of the Court by Liu, J.

drilling, logging, and mining industries. (Cal. Code Regs., tit. 8,

§ 11160, subd. 1.) Section 4 of Wage Order No. 16 sets a

minimum wage at which employees will be compensated for

“hours worked.” (Cal. Code Regs., tit. 8, § 11160, subd. 4.)

“ ‘Hours worked’ ” is defined in Wage Order No. 16, section 2(J)

as “the time during which an employee is subject to the control

of an employer, and includes all the time the employee is

suffered or permitted to work, whether or not required to do so.”

(Cal. Code Regs., tit. 8, § 11160, subd. 2(J); see Morillion v.

Royal Packing Co. (2000) 22 Cal.4th 575, 581 (Morillion) [“All

15” of the wage orders in effect at the time “contain the same

definition of ‘hours worked’ . . . , except for IWC wage order

Nos. 4–89 and 5–89, which include additional language.”].)

We have explained that the two clauses of the “hours

worked” definition — the control clause and the suffered or

permitted to work clause — “establish ‘independent factors,

each of which defines whether certain time spent is compensable

as “hours worked.” ’ ” (Frlekin, supra, 8 Cal.5th at p. 1046,

quoting Morillion, supra, 22 Cal.4th at p. 582.) “Thus, an

employee who is subject to the control of an employer does not

have to be working during that time to be compensated under

the applicable wage order. ([Morillion, at p. 582].) Likewise, an

employee who is suffered or permitted to work does not have to

be under the employer’s control to be compensated, provided the

employer has or should have knowledge of the employee’s work.”

(Frlekin, at p. 1046, italics omitted.)

A.

The Ninth Circuit asks whether time an employee spends

on his employer’s premises waiting in his personal vehicle to

scan an identification badge and have a security guard peer into

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Opinion of the Court by Liu, J.

his vehicle before exiting a Security Gate is compensable as

“hours worked.” We hold that it is.

In Frlekin, the Ninth Circuit asked us to resolve a similar

question: whether time that Apple employees spent on Apple’s

premises “waiting for, and undergoing, required exit searches of

packages, bags, or personal technology devices voluntarily

brought to work purely for personal convenience by employees”

is compensable as “ ‘hours worked.’ ” (Frlekin, supra, 8 Cal.5th

at p. 1042.) In answering yes, we conducted a “strictly textual

analysis” of the control clause, which led us to conclude that

“Apple employees are clearly under Apple’s control while

awaiting, and during, the exit searches.” (Id. at p. 1047; see

ibid., citing Bono Enterprises, Inc. v. Bradshaw (1995) 32

Cal.App.4th 968, 974–975 (Bono), disapproved on other grounds

in Tidewater Marine Western, Inc. v. Bradshaw (1996) 14

Cal.4th 557, 574.) Apple’s control of its employees during the

time they spent “awaiting, and during, the exit searches” was

evidenced by Apple’s requirement that “its employees

. . . comply with the bag-search policy under threat of discipline,

up to and including termination”; its confinement of employees

to the premises while they waited to undergo an exit search; and

its requirement that employees “perform specific and supervised

tasks while awaiting and during the search,” including “locating

a manager or security guard and waiting for that person to

become available, unzipping and opening all bags and packages,

moving around items within a bag or package, removing any

personal Apple technology devices for inspection, and providing

a personal technology card for device verification.” (Frlekin, at

p. 1047.)

Apple argued that the exit searches were not compensable

because Apple employees could avoid them “by choosing not to

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Opinion of the Court by Liu, J.

bring a bag, package, or personal Apple technology device to

work.” (Frlekin, supra, 8 Cal.5th at p. 1049.) We rejected this

argument along with Apple’s contention that the employee’s

activity, to be compensable under the control clause, must be

“ ‘required’ and ‘unavoidable.’ ” (Id. at p. 1048.) “Redefining the

control clause to cover only unavoidably required employer-

controlled activities would limit the scope of compensable

activities, resulting in a narrow interpretation at odds with the

wage order’s fundamental purpose of protecting and benefitting

employees.” (Ibid.) We reaffirmed “that ‘[t]he level of the

employer’s control over its employees, rather than the mere fact

that the employer requires the employees’ activity, is

determinative’ concerning whether an activity is compensable

under the ‘hours worked’ control clause.” (Id. at p. 1056, quoting

Morillion, supra, 22 Cal.4th at p. 587.) Nonetheless, an

activity’s mandatory nature “remains probative in determining

whether an employee is subject to the employer’s control,” along

with other factors such as the location of the activity, the degree

of the employer’s control, whether the activity primarily benefits

the employee or employer, and whether the activity is enforced

through disciplinary measures. (Frlekin, at p. 1056.)

California courts have not addressed whether “time spent

on the employer’s premises, in a personal vehicle, waiting for

and undergoing an exit process” that includes a vehicle

inspection causing delay is compensable under the control

clause. (Huerta, supra, 39 F.4th at p. 1180.) This case, like

Frlekin, involves time spent on the employer’s premises by

employees awaiting an exit security procedure that included a

search. The fact that an employee awaits and undergoes the

exit process while in his personal vehicle does not necessarily

transform that time into commuting time, nor does it foreclose

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an employer’s ability to exert control over its employee. An

employee in his personal vehicle may be subject to his

employer’s control within the meaning of the wage order if

sufficient indicia of control are present. The inquiry we

undertook in Frlekin applies equally here.

We conclude that under the indicia of employer control

identified in Frlekin, Huerta was subject to CSI’s control “while

awaiting, and during,” the exit security procedure even though

he was in his personal vehicle during that time. (Frlekin, supra,

8 Cal.5th at p. 1047.) Like the employees in Frlekin, Huerta was

required to wait for and undergo the exit security procedure

before leaving the Site. Whereas the bag search in Frlekin was

practically mandatory because employees could only avoid it by

not bringing personal technology items to work, compliance with

CSI’s exit procedure was strictly required for every employee.

(Id. at pp. 1054, 1056 [mandatory nature of activity is

probative].) Further, like the employees in Frlekin, Huerta

remained confined to the employer’s premises until he

completed the exit procedure; the procedure was thus an “onsite

employer-controlled activit[y].” (Id. at p. 1056; see id. at p. 1051

[an employer’s level of control is “greater in the context of an

onsite search”]; Mendiola v. CPS Security Solutions, Inc. (2015)

60 Cal.4th 833, 840 (Mendiola) [“ ‘ “[W]hen an employer directs,

commands or restrains an employee from leaving the work place

. . . and thus prevents the employee from using the time

effectively for his or her own purposes, that employee remains

subject to the employer’s control.” ’ ”].)

In addition, Huerta was required to perform “specific and

supervised tasks” as part of the exit procedure: he had to drive

his vehicle to the Security Gate, wait in his vehicle until it was

his turn to undergo the security check, roll down his window and

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Opinion of the Court by Liu, J.

present his security identification badge to the guard, and

submit his vehicle to visual inspection and possible physical

search. (Frlekin, supra, 8 Cal.5th, at p. 1047; see id. at p. 1051

[describing the “specific actions and movements” required of

employees to comply with Apple’s bag search policy].) Finally,

CSI’s requirement that Huerta undergo the exit procedure was

primarily in service of its own interests. (See Frlekin, supra, 8

Cal.5th at pp. 1052–1053.) CSI was bound by its contract with

First Solar to comply with various health, safety, and

environmental protection protocols, and it took an active role in

enforcing those protocols, including through the exit procedure.

In addition to ensuring that only badged workers entered and

exited the Site each day, CSI also had an interest in preventing

the theft of tools and endangered species from the premises. CSI

therefore had a significant interest in ensuring compliance with

its exit procedure.

CSI contends that unlike the security search in Frlekin,

the exit procedure here is “strictly for the purposes of ingress

and egress.” The procedure, CSI says, is akin to “stopping at a

gate at a parking garage to exit, which also requires the mere

lowering of the window, reaching out of an arm, and scanning a

card in order to cause the gate to rise,” “swiping a card or using

a key to unlock a door to exit the employer’s building,” or

“flashing an identification card to bypass a security line.”

This description does not capture the scope of the exit

procedure or CSI’s interest in it. As detailed in the Site’s

security plan, the procedure not only requires employees to

present their badges for inspection and scanning; it also involves

inspection of “back seats, back of trucks, and periodically . . .

trunks of cars” by a security guard. The procedure requires the

employment of personnel specifically tasked with “consistently

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Opinion of the Court by Liu, J.

inspect[ing] any vehicle that has entered the project site upon

exiting” to match the badge or badges presented by the driver to

the individual or individuals in the vehicle and to check for

stolen items or endangered species. The fact that security

workers were employed to operate the Security Gate and

conduct inspections — in lieu of security cameras or an

automated gate that would open after “the mere lowering of the

window, reaching out of an arm, and scanning a card” — is

evidence that the exit process involved more than facilitation of

ingress and egress.

To be sure, the CSI exit protocol is not as intrusive as the

search in Frlekin. But the fact that the procedure itself could

take up to a minute or more per vehicle suggests that CSI’s

inspections extended beyond the time necessary to simply scan

a badge. It is also evidence that the procedure prolonged the

time required for workers to exit the Site beyond what would

result from ordinary traffic congestion at the end of the

workday. We note that California’s wage and hour statutes do

not incorporate the federal de minimis doctrine and do not

“excuse the payment of wages for small amounts of otherwise

compensable time upon a showing that the bits of time are

administratively difficult to record.” (Troester v. Starbucks

Corp. (2018) 5 Cal.5th 829, 835; id. at p. 847 [“a few extra

minutes of work each day can add up”].)

We thus hold that when an employee spends time on his

employer’s premises awaiting and undergoing an exit security

procedure that includes a vehicle inspection causing delay and

that is mandated by the employer for its own benefit, the

employee — even when in his personal vehicle — is subject to

the employer’s control, and the time is compensable as “hours

worked” within the meaning of Wage Order No. 16.

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Opinion of the Court by Liu, J.

B.

Next: “Is time spent on the employer’s premises in a

personal vehicle, driving between the Security Gate and the

employee parking lots, while subject to certain rules from the

employer, compensable as ‘hours worked’ or as ‘employer-

mandated travel’ . . . ?” (Huerta, supra, 39 F.4th at p. 1177.) We

hold that the time may be compensable as “employer-mandated

travel” but is not compensable as “hours worked.”

1.

In determining whether this drive time is compensable as

“employer-mandated travel” under Wage Order No. 16, section

5(A), we apply “the usual rules of statutory interpretation.”

(Brinker, supra, 53 Cal.4th at p. 1027.) Because IWC wage

orders, like the provisions of the Labor Code, “ ‘have long been

viewed as part of the remedial worker protection framework’ ”

(Brinker, at p. 1027), we interpret these orders “so as to promote

employee protection” (Mendiola, supra, 60 Cal.4th at p. 840; see

Brinker, at pp. 1026–1027) and to benefit employees (see

Frlekin, supra, 8 Cal.5th at p. 1045).

Wage Order No. 16, section 5(A) says: “All employer-

mandated travel that occurs after the first location where the

employee’s presence is required by the employer shall be

compensated at the employee’s regular rate of pay or, if

applicable, the premium rate . . . .” (Cal. Code Regs., tit. 8,

§ 11160, subd. 5(A).) Huerta urges a literal construction of the

phrase “the first location where the employee’s presence is

required” and contends that because CSI management told him

that the Security Gate was the “first place” he had to be at the

beginning of the workday, his drive from the Security Gate to

the employee parking lots is compensable as “employer-

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mandated travel.” Huerta also relies on declarations from other

employees on this point.

In response, CSI contends that a location does not qualify

as “the first location where the employee’s presence is required

by the employer” within the meaning of the wage order “just

because an employer’s premises can be accessed only from one

point, and the employee is ‘required’ to stop there before starting

work.” If this were the case, CSI argues, employees would be

entitled to compensation under Wage Order No. 16, section 5(A)

for any travel occurring after passing through “any gate, front

door, or other entrance.” CSI urges us to interpret the phrase to

refer to “the very common situation where employees must

gather at a certain location, and then are required to travel

again to another location.”

As the Ninth Circuit explained, “[i]t is true that there was

at least a de facto required arrival time to be at the [Security]

Gate for entry and exit: Workers had to sign in at the parking

lots before their shift started; there was a strictly enforced speed

limit on the only road between the Gate and parking lot; CSI

knew how long the drive took; the Gate did not open until a

certain time each morning; and CSI ‘gave workers a scheduled

time when [they] could enter’ the site, which sometimes was

delayed; which taken together indicates CSI and the workers

knew the Gate arrival time was de facto required for workers to

begin or end their shifts on time. [¶] But de facto arrival times

do not always signify that the drive was employer-mandated,

compensable travel. Standard commutes need not be

compensated in California, . . . during which there are always

de facto required arrival times for locations unrelated to the

employer.” (Huerta, supra, 39 F.4th at p. 1184, citation

omitted.)

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The Statement as to the Basis for Wage Order No. 16

explains that section 5(A) was adopted with “compromise

language proposed by employee and employer representatives.”

(IWC, Statement as to the Basis for Wage Order No. 16

Regarding Certain On-site Occupations in the Construction,

Drilling, Mining, and Logging Industries (Jan. 2001) p. 10

(Statement as to the Basis for Wage Order No. 16).) In

describing section 5(A), the statement reproduces the section’s

text and then cites Morillion. (Statement as to the Basis for

Wage Order No. 16, supra, at p. 10.) In Morillion, we considered

whether time spent by agricultural employees traveling to and

from the worksite on employer-provided buses was compensable

as “hours worked.” (Morillion, supra, 22 Cal.4th at p. 578.) The

employees were required to meet at a designated departure

point at a certain time to catch a bus to the fields where they

worked. (Id. at p. 579.) They sought compensation for time “(1)

assembling at the [bus’s] departure points; (2) riding the bus to

the fields; (3) waiting for the bus at the end of the day; and (4)

riding the bus back to the departure points.” (Ibid.) We referred

to this as “compulsory travel time,” meaning time spent

traveling “to and from a work site that an employer controls and

requires.” (Id. at p. 579 & fn. 2.) We concluded that this

compulsory travel time was compensable as “hours worked”

under the control clause because the employer “ ‘ “direct[ed]” ’

and ‘ “ command[ed]” ’ ” the plaintiffs to “travel between the

designated departure points and the fields” on the employer’s

buses. (Id. at p. 587.) We distinguished such travel time from

“an ordinary commute from home to work and back that

employees take on their own,” which is not compensable. (Id. at

p. 580, fn. 2.)

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Morillion did not assess whether the employees’ time was

compensable as “employer-mandated travel,” a term unique to

Wage Order No. 16. And in adopting Wage Order No. 16,

section 5(A), the IWC did not tether the term “employer-

mandated travel” to the employer’s control over that employee

during the travel time, as it did for the term “hours worked.”

(Cal. Code Regs., tit. 8, § 11160, subd. 2(J).) Rather, the IWC

elected to make compensation for “employer-mandated travel”

turn on whether the employer mandates travel to a second

location “after the first location where the employee’s presence

is required.” (Id., § 11160, subd. 5(A).)

We reject CSI’s interpretation of “first location” as unduly

restrictive. Although the IWC Statement as to the Basis for

Wage Order No. 16 cites Morillion, there is no indication that

the IWC intended to limit the applicability of Wage Order No.

16, section 5(A) to a scenario where employees are required to

gather before traveling elsewhere. In addition, for time to be

compensable as “employer-mandated travel,” an employee need

not be subject to the employer’s control during the travel. The

travel need only have occurred at the direction and command of

the employer after the employee’s arrival at the “first location”

where the employer required the employee’s presence. This

much is clear from the text of section 5(A).

At the same time, we agree with CSI that a location does

not qualify as “the first location where the employee’s presence

is required by the employer” within the meaning of the wage

order “just because an employer’s premises can be accessed only

from one point, and the employee is ‘required’ to stop there

before starting work.” In circumstances where an employee

must use a single entrance to the employer’s premises, it could

be said that the employee’s “presence” is, as a matter of practical

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necessity, “required by the employer” at that entrance before

entering work. (Cal. Code Regs., tit. 8, § 11160, subd. 5(A).) But

this literalism does not align with the notion of being required

by the employer — purposefully, not just circumstantially — to

report to a specific location before subsequent employer-

mandated travel. What the Ninth Circuit called “de facto arrival

times” (Huerta, supra, 39 F.4th at p. 1184) do not demarcate

“the first location where the employee’s presence is required by

the employer” under Wage Order No. 16, section 5(A). Were it

otherwise, our reading of the wage order would be at odds with

the rule that ordinary commuting, for which “there are always

de facto required arrival times for locations unrelated to the

employer” (Huerta, at p. 1184), “is not generally compensable”

(Frlekin, supra, 8 Cal.5th at p. 1051).

We hold that an employee’s presence at a location is

“required by the employer” within the meaning of the wage

order when it is required for an employment-related reason

other than the practical necessity of reaching the worksite.

Examples include situations where an employee’s presence at

an initial location is required to pick up work supplies, receive

work orders or other directives, or perform work before traveling

to a second jobsite. (See Griffin v. Sachs Electric Co. (N.D.Cal.

2019) 390 F.Supp.3d 1070, 1097, affd. mem. (9th Cir. 2020)

831 Fed.Appx. 270 [citing Burnside v. Kiewit Pacific Corp. (9th

Cir. 2007) 491 F.3d 1053, 1056, 1070, and reasoning that

requiring an employee to be present at a designated site to

receive instructions and retrieve equipment are “indicative” of

employer requirements that would render travel time

compensable under Wage Order No. 16, § 5(A)].)

This reading is supported by material presented to the

IWC during the public hearings that informed the adoption of

16

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Wage Order No. 16. (See Murphy v. Kenneth Cole Productions,

Inc. (2007) 40 Cal.4th 1094, 1109–1110 [favorably discussing

reliance on IWC hearing statements].) A representative of the

State Building and Construction Trades Council explained that

compensating employees for “employer-mandated travel” as

provided in Wage Order No. 16, section 5(A) is “extremely

important in the construction industry” because employees may

be told to report to work at a particular job site, work at that site

for a few hours, and then be asked to report to a second job site.

(IWC public hg. transcript (Aug. 17, 2000) <https://

www.dir.ca.gov/IWC/Pubmtg08172000.htm> [as of March 25,

2024]; this citation is archived by year, docket number, and case

name at <http://www.courts.ca.gov/38324.htm>.) Such a

scenario more closely resembles the circumstances in Morillion,

where the employees were required to arrive at designated

departure points at certain times to travel to their worksites,

than the “de facto arrival times” (Huerta, supra, 39 F.4th at

p. 1184) that arise when employees out of practical necessity

must arrive at certain locations in order to reach their worksite.

Nothing in the IWC’s public hearings suggests that section 5(A)

was intended to apply to the latter scenario.

On the record before us, we express no view on whether

the Security Gate was “the first location” where Huerta’s

presence was required by CSI such that his travel time between

the Security Gate and the employee parking lots is compensable.

On one hand, declarations by Huerta and other employees

indicate that CSI told them the Security Gate was “the first

place” they had to be at the beginning of the workday. It appears

undisputed that workers were not allowed to enter the access

road between the Security Gate and the employee parking lots

until a biologist cleared the road each day and security guards

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scanned their identification badges, which Huerta says caused

five- to 20-minute delays entering the Security Gate in the

morning. This could support the view that CSI required

employees’ presence at the Security Gate for a purpose other

than accessing the worksite, i.e., ensuring compliance with CSI’s

security and environmental protection protocols. On the other

hand, CSI offered evidence contradicting these allegations,

including declarations from workers stating that CSI did not

instruct them that the Security Gate was the first location that

their presence was required and that they never observed delays

in the morning. CSI also observes, and it appears undisputed,

that passage through the Security Gate is practically necessary

in order to reach the employee parking lots; there is no other

access road.

In sum, for travel time to be compensable under Wage

Order No. 16, section 5(A), there must be evidence not only that

the employer required the employee’s presence at an initial

location before mandating travel to a subsequent location, but

also that the employee’s presence was required for an

employment-related reason other than accessing the worksite.

An employee’s declaration that the employer required him to be

present at an entrance gate to access the worksite is insufficient

by itself to meet this standard. Here, whether the Security Gate

is “the first location” within the meaning of the wage order turns

on whether Huerta’s presence there was required by CSI for an

employment-related reason other than the practical necessity of

accessing the worksite, as well as the nature of any such reason.

Relevant considerations include, but are not limited to, what

purpose is served by the employee’s presence at the location,

what activities occur there, and how much time is spent there.

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2.

We next consider “whether driving on an employer’s

premises, in a personal vehicle, before or after a shift, while

subjected to an employer’s rules, is compensable as ‘hours

worked’ ” (Huerta, supra, 39 F.4th at p. 1183), first under the

control clause and then under the suffer or permit to work clause

(Cal. Code Regs., tit. 8, § 11160, subd. 2(J)).

CSI relies on the high court’s interpretation of the Fair

Labor Standards Act of 1938 (FLSA) (29 U.S.C. § 201 et seq.) in

Anderson v. Mt. Clemens Pottery Co. (1946) 328 U.S. 680 and on

the Portal-to-Portal Act of 1947 (29 U.S.C. § 251 et seq.) to argue

that time spent traveling on an employer’s premises before or

after work is not generally compensable. Congress passed the

FLSA in 1938. (Pub.L. No. 75-718 (June 25, 1938) 52 Stat. 1060;

see also 29 U.S.C. § 201 et seq.) Among other provisions, the act

set a federal minimum wage and rules for overtime

compensation, but it did not define the statutory terms “work”

or “workweek.” (See 29 U.S.C. §§ 203 [definitions], 206

[minimum wage], 207 [maximum hours].) In its early cases

interpreting the act, the high court construed those terms

broadly. It defined “work” to mean “physical or mental exertion

(whether burdensome or not) controlled or required by the

employer and pursued necessarily and primarily for the benefit

of the employer and his business.” (Tennessee Coal Co. v.

Muscoda Local (1944) 321 U.S. 590, 598.) And it defined

“workweek” to include “all time during which an employee is

necessarily required to be on the employer’s premises, on duty

or at a prescribed workplace, the time spent in these activities

must be accorded appropriate compensation.” (Anderson, supra,

328 U.S. at pp. 690–691.) “Applying these expansive definitions,

the Court found compensable the time spent traveling between

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mine portals and underground work areas, Tennessee Coal,

[supra, 321 U.S. at p. 598], and the time spent walking from

timeclocks to workbenches, Anderson, [supra, 328 U.S. at

pp. 691–692].” (Integrity Staffing Solutions, Inc. v. Busk (2014)

574 U.S. 27, 31 (Integrity Staffing).)

These decisions “provoked a flood of litigation” (Integrity

Staffing, supra, 574 U.S. at p. 31; id. at pp. 32–33) and led

Congress to pass the Portal-to-Portal Act of 1947, which

amended the FLSA. (Pub.L. No. 80-49 (May 14, 1947) 61 Stat.

84; see also 29 U.S.C. § 254.) As relevant here, the act exempted

employers from liability for wage claims based on “ ‘(1) walking,

riding, or traveling to and from the actual place of performance

of the principal activity or activities which such employee is

employed to perform, and [¶] (2) activities which are preliminary

to or postliminary to said principal activity or activities . . . .’ ”

(Integrity Staffing, at p. 32.)

“In response [to the Portal-to-Portal Act], the IWC,

exercising its authority to provide employees with greater

protection than federal law affords [citations], revised its wage

orders from 1947 forward . . . .” (Martinez v. Combs (2010) 49

Cal.4th 35, 60 (Martinez).) Before this revision, “California’s

definition of ‘hours worked’ was entitled ‘Hours Employed’ in

most wage orders and was defined differently.” (Morillion,

supra, 22 Cal.4th at p. 591.) “For example, former IWC wage

order No. 1 N.S. provided as follows: ‘ “Hours Employed” means

all time during which: [¶] (1) An employee is required to be on

the employer’s premises, or to be on duty, or to be at a prescribed

work place . . . .” (Id. at p. 591, fn. 7, italics added.) The 1947

revision adopted the term “hours worked” and defined it to mean

“ ‘the time during which an employee is subject to the control of

an employer, . . . includ[ing] all the time the employee is

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suffered or permitted to work, whether or not required to do

so.’ ” (Martinez, at p. 60, italics omitted.)

CSI contends that “California’s removal of ‘required to be

on the employer’s premises’ from the definition of ‘hours

employed’ just after Anderson and just after Congress [enacted

the Portal-to-Portal Act] is substantial evidence that California,

like Congress, also rejected Anderson’s holding that traveling on

the employer’s premises before and after work should be

compensated.” But we rejected a nearly identical argument in

Morillion. There we considered the contention that “the 1947

amendment [to the wage orders], which eliminated specific

language regarding waiting time and time when employees are

required to be on their employer’s premises and on duty (in

addition to ‘time when an employee is required or instructed to

travel on the employer’s business after the beginning and before

the end of her work day’; [citation]), covered preliminary and

postliminary activities, including travel time, which are not

compensable under the Portal-to-Portal Act.” (Morillion, supra,

22 Cal.4th at p. 591.) We declined to infer that “the IWC revised

the definition of ‘hours worked’ to correspond to the federal

standard” (ibid.), which “expressly eliminates substantial

protections to employees” (id. at p. 592). “In addition to

eliminating the cited language, the IWC added the phrase ‘the

time during which an employee is subject to the control of an

employer’ to the definition of ‘hours worked.’ ‘Control’ may

encompass activities described by the eliminated language . . . .”

(Id. at pp. 591–592.) We observed that this “departure from the

federal authority is entirely consistent with the recognized

principle that state law may provide employees greater

protection than the FLSA.” (Id. at p. 592.)

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Yet we had no occasion in Morillion, which addressed

“compulsory travel time” on an employer-provided bus

(Morillion, supra, 22 Cal.4th at pp. 587–588), to consider what

circumstances would make travel time on work premises in an

employee’s own vehicle compensable as “hours worked” under

the control test. Huerta says he is entitled to compensation for

the time he spent driving between the Security Gate and the

employee parking lots because he was subject to many rules

imposed by CSI during this time and mandatory entrance and

exit security procedures on either end. (We have considered the

exit security procedure separately in response to the first

certified question. (Ante, at pp. 6–12.))

The general Site rules that Huerta says CSI imposed

during his drive on the access road include safety and personal

protective equipment rules; anti-discrimination and anti-

harassment rules; environmental rules; alcohol and drug

policies; rules related to being subject to searches for alcohol,

drugs, and other things; and rules prohibiting smoking,

practical jokes, horseplay, gambling, photography, and playing

loud music. Additional “rules of the road” required Huerta to

abide by signs posted on the access road, adhere to speed limits,

and drive only on the road connecting the Security Gate and the

parking lots. Other rules prohibited Huerta from passing other

drivers on the access road, stopping on the access road except in

emergencies, smoking or using ear buds or ear pods while

driving, or driving in a manner that would generate dust or

otherwise disturb the local wildlife. Violation of these rules

could result in suspension or termination.

Although these rules curbed Huerta’s freedom of action

while traveling between the Security Gate and the parking lots,

we hold that they do not amount to a level of control sufficient

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to render the travel time compensable as “hours worked.” The

rules at issue are designed to ensure safe, lawful, and orderly

conduct while traveling on the employer’s premises. Such rules

are necessary and appropriate in virtually every workplace. A

warehouse employee who drives onto the employer’s grounds

may be subject to speed limits, parking rules, and restrictions

on noise, smoking, littering, paths of travel, or other conduct.

The same is true of employees of amusement parks, universities,

hospitals, retail stores, and other businesses with sizable

grounds. Huerta cites no authority for a rule that an employee

is entitled to compensation whenever he is not permitted to

drive wherever he wants, to go however fast as he wants, or to

stop wherever he wants on the employer’s premises.

In addition, the position Huerta urges does not appear

limited to driving time. If the rules that apply during Huerta’s

drive satisfy the control test, then so would workplace rules that

curb an employee’s freedom while walking or otherwise

traveling on the employer’s premises to and from the employee’s

worksite at the beginning or end of the day. A maintenance

worker who skateboards to his office building may be prohibited

from skateboarding through the lobby to the elevator. A

department store clerk may be prohibited from chewing gum or

talking on her cell phone while walking through the store before

or after her shift. And employees of all kinds are subject to

prohibitions on workplace harassment and discrimination while

on an employer’s premises.

We are unable to discern any meaningful distinction

between such rules and the workplace rules alleged by Huerta

to constitute employer control here. CSI appears correct that

Huerta’s position “has no limiting principle” and would invite

claims of unpaid wages from “any employee who uses a time

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clock” because “[e]mployees always spend some amount of time

navigating towards a time clock or their workspace before a shift

and away from the same area after a shift, in their cars on

employer property or walking across employer hallways or

sidewalks.” Because workplaces are regulated environments,

adopting Huerta’s position would mean that whenever an

employee is traveling on an employer’s premises, including

before or after a work shift, the time is compensable as “hours

worked.” We are not aware of any authority that has construed

employer control so expansively. Even though “ ‘[c]ontrol’ may

encompass activities described by the eliminated language”

covering preliminary and postliminary activities in pre-1947

wage orders (Morillion, supra, 22 Cal.4th at p. 592), we decline

to reduce the control test to a categorical rule of compensability

for any time that an employee spends traveling on work

premises. Rules designed to ensure safe, lawful, and orderly

conduct while traveling on an employer’s premises, such as the

general Site rules and the “rules of the road” at issue here, do

not impose a level of control that renders the time compensable.

Huerta says Morillion dictates a contrary result. But the

fact that the employer in Morillion required its employees to use

its buses to reach the workplace and “prohibited employees from

using their own transportation” (Morillion, supra, 22 Cal.4th at

p. 579) was notable because “[i]n contrast to Royal’s employees,

employees who commute to work on their own decide when to

leave, which route to take to work, and which mode of

transportation to use. By commuting on their own, employees

may choose and may be able to run errands before work and to

leave from work early for personal appointments.” (Id. at

pp. 586–587; see id. at p. 586 [“[D]uring the bus ride plaintiffs

could not drop off their children at school, stop for breakfast

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before work, or run other errands requiring the use of a car.”];

Frlekin, supra, 8 Cal.5th at p. 1051 [“Commuting is an activity

that employees ordinarily initiate on their own . . . .”].)

The issue here does not concern Huerta’s commute to the

workplace; it is whether the rules that apply during Huerta’s

drive on the workplace premises make the driving time

compensable. Huerta argues the control test is met because

“while on the Access Road, [workers] could not use the time

effectively for their own personal purposes.” But quite apart

from CSI’s rules, once Huerta drove onto the Site, he did not

have the same options for running errands, dropping off

children, or attending to personal appointments that we found

relevant for evaluating control in Morillion. Huerta’s inability

to use the drive time for his personal purposes is no different

from the inability of an employee with a 30-minute commute to

use the 30 minutes required for getting to and from work —

independent of whatever additional time for personal errands

might be appended to the 30-minute commute — for his or her

personal purposes. (See Frlekin, supra, 8 Cal.5th at p. 1051

[“Commuting . . . is not generally compensable.”].) And if the

general Site rules were sufficient to establish control, then the

control test would boil down to a categorical rule of

compensability for any time an employee spends on the

employer’s premises, including the time it may take to find a

parking space at the start of the work day, to walk between a

parking lot and worksite at the beginning or end of the day, or

to wait for an elevator in a tall building. Unlike the mandatory

bus ride to the worksite in Morillion, and unlike the exit security

procedure here (ante, at pp. 9–14) and in Frlekin, the rules that

apply during Huerta’s drive between the Security Gate and the

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employee parking lots do not impose a level of control that

renders the driving time compensable as “hours worked.”

Huerta alternatively contends that the time he spent

driving between the Security Gate and the employee parking

lots is compensable as “hours worked” because he was “suffered

or permitted to work” during that time. (Cal. Code Regs., tit. 8,

§ 11160, subd. 2(J).) This phrase encompasses “time an

employee is working but is not subject to an employer’s control,”

such as “unauthorized overtime, which the employer has not

requested or required,” or when an employee “ ‘voluntarily

continue[s] to work at the end of a shift.’ ” (Morillion, supra, 22

Cal.4th at p. 585.) Courts have explained that “ ‘the standard of

“suffered or permitted to work” is met when an employee is

engaged in certain tasks or exertion that a manager would

recognize as work.’ ” (Hernandez, supra, 29 Cal.App.5th at

p. 142, quoting Taylor v. Cox Communs. Cal., LLC (C.D.Cal.

2017) 283 F.Supp.3d 881, 890.) Huerta says the time he spent

driving between the Security Gate and the employee parking

lots required him to exert himself mentally and physically, i.e.,

“work” for the benefit of his employer. But this expansive

construction does not align with the definition of “work” in this

context as “ ‘tasks or exertion that a manager would recognize

as work.’ ” (Hernandez, at p. 142.) Because an employee’s drive

on the access road is not a form of exertion that a manager would

recognize as work on the Site, the drive time is not compensable

under the suffer or permit clause.

C.

We now consider whether “time spent on the employer’s

premises, when workers are prohibited from leaving but not

required to engage in employer-mandated activities, [is]

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compensable as ‘hours worked’ within the meaning of . . . Wage

Order No. 16, or under California Labor Code Section 1194,

when that time was designated as an unpaid ‘meal period’ under

a qualifying collective bargaining agreement.” (Huerta, supra,

39 F.4th at p. 1177.)

Labor Code section 512, subdivision (a) and Wage Order

No. 16, section 10(A) require employers to provide their

employees 30-minute meal periods, subject to certain

limitations and exemptions. As relevant here, Labor Code

section 512, subdivision (a) requires that employees working for

periods of more than five hours per day receive a meal period of

not less than 30 minutes, unless the employer and employee

waive the meal period in certain limited circumstances. The

subdivision does not apply to “employee[s] employed in a

construction occupation” (Lab. Code, § 512, subd. (f)(1); see id.,

§ 512, subd. (g)(2) [defining “construction occupation”]) if “(1)

[t]he employee is covered by a valid collective bargaining

agreement” and “(2) [t]he valid collective bargaining agreement

expressly provides for the wages, hours of work, and working

conditions of employees, and expressly provides for meal periods

for those employees, final and binding arbitration of disputes

concerning application of its meal period provisions, premium

wage rates for all overtime hours worked, and a regular hourly

rate of pay of not less than 30 percent more than the state

minimum wage rate” (id., § 512, subd. (e)(1), (2)).

Wage Order No. 16, sections 10(A) and 10(B) generally

mirror Labor Code section 512, subdivision (a). (See Cal. Code

Regs., tit. 8, § 11160, subd. 10(A), (B).) Further, like Labor Code

section 512, subdivision (e), Wage Order No. 16, section 10(E)

provides that “Subsections A, B, and D of Section 10, Meal

Periods, shall not apply to any employee covered by a valid

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collective bargaining agreement if the agreement expressly

provides for the wages, hours of work, and working conditions of

the employees, and if the agreement provides premium wage

rates for all overtime hours worked and a regular hourly rate of

pay for those employees of not less than 30 percent more than

the state minimum wage.” Unlike the exemption to the meal

period requirements in Labor Code section 512, subdivision (e),

the exemption under Wage Order No. 16, section 10(E) does not

require the requisite collective bargaining agreement to

“expressly provide[] for meal periods for . . . employees, [or

provide for] final and binding arbitration of disputes concerning

application of its meal period provisions.” (Lab. Code, § 512,

subd. (e)(2).)

The parties do not contest the validity of the CBAs, nor do

they dispute that the CBAs contain the requisite provisions to

exempt CSI from the meal period requirements set out in Labor

Code section 512, subdivision (a) and Wage Order No. 16,

section 10(A). (See Huerta, supra, 39 F.4th at pp. 1185–1186

[concluding that the CBAs properly exempted CSI from meal

period requirements].) They dispute whether a meal period,

when provided, may be unpaid if the workers remain subject to

the employer’s control.

Huerta argues that because he was prohibited from

leaving the Site and subject to CSI’s control during his meal

period, that time is compensable as “hours worked.” CSI

contends that Huerta is not entitled to compensation for unpaid

meal periods because the CBAs also exempted CSI from

compliance with Wage Order No. 16, section 10(D). (See Cal.

Code Regs., tit. 8, § 11160, subd. 10(E).) Wage Order No. 16,

section 10(D) provides: “Unless the employee is relieved of all

duty during a thirty (30) minute meal period, the meal period

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shall be considered an ‘on duty’ meal period and counted as time

worked. An ‘on duty’ meal period shall be permitted only when

the nature of the work prevents the employee from being

relieved of all duty and when, by written agreement between the

parties, an on-the-job paid meal period is agreed to and complies

with Labor Code § 512.” (Cal. Code Regs., tit. 8, § 11160,

subd. 10(D).) CSI urges us to read the exemption from section

10(D)’s paid meal period requirement to mean that under a

qualifying CBA, workers may be permitted to bargain away

their right to a minimum wage for an on-duty meal period even

though it is “time worked.”

We reject CSI’s proposed construction of the Wage Order

No. 16, section 10(D) exemption. To read the wage order as

authorizing employees and employers to bargain away

employees’ right to be paid for an on-duty meal period, i.e., “time

worked,” would run afoul of the well-established principle that

the right to a minimum wage under Labor Code section 1194,

subdivision (a) is unwaivable. (Gutierrez v. Brand Energy

Services of California, Inc. (2020) 50 Cal.App.5th 786, 799–800

(Gutierrez).) Instead, we interpret Wage Order No. 16, section

10(D) and (E) to permit employees to bargain for a voluntary

paid on-duty meal period. In other words, an exemption from

section 10(D) permits workers to negotiate a contract for on-duty

meal periods even when “the nature of the work” does not

“prevent[] the employee from being relieved of all duty.” (Cal.

Code Regs., tit. 8, § 11160, subd. 10(D).) Here, neither party

argues that the nature of Huerta’s work was such that he could

not be relieved of all duty.

This reading harmonizes Wage Order No. 16, section

10(D) and (E) with Wage Order No. 16, section 4(B)’s

requirement that an employee be provided a minimum wage for

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all “hours worked.” (Cal. Code Regs., tit. 8, § 11160, subd. 4(B).)

Any time that an employee spends working is compensable as

“hours worked”; this includes an on-duty meal period, which by

definition is a meal period in which the employee is not relieved

of all work obligations. (See id., § 11160, subd. 2(J) [defining

“ ‘[h]ours worked,’ ” in pertinent part, as “the time during which

an employee is subject to the control of an employer”]; Brinker,

supra, 53 Cal.4th at p. 1039 [“the defining characteristic of on-

duty meal periods is failing to relieve an employee of duty, not

simply ‘suffering or permitting’ work to continue”].) This right

to a minimum wage for all “hours worked” derives not from

section 10(D), which specifies the circumstances in which paid

on-duty meal periods are authorized, but rather from Labor

Code section 1194, subdivision (a) and Wage Order No. 16,

section 4(B). The right to a minimum wage for all “hours

worked” exists independently of any right to an unpaid, off-duty

meal period.

This interpretation is also consistent with Araquistain v.

Pacific Gas & Electric Co. (2014) 229 Cal.App.4th 227

(Araquistain) and Gutierrez, supra, 50 Cal.App.5th 786. In

Araquistain, the Court of Appeal considered a CBA that

provided that employees working eight-hour shifts were

permitted to eat meals during work hours and would not be

afforded “additional time therefore at Company expense.”

(Araquistain, at p. 230.) The plaintiffs argued they were

entitled to “missed meal payments” when they were unable to

take a duty-free meal period. (Id. at p. 231.) The Court of

Appeal disagreed, holding that the employees waived their right

to an off-duty meal period under the CBA, as permitted by Labor

Code section 512, subdivision (e), which expressly exempts

employees from the meal period requirements of Labor Code

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section 512, subdivision (a) when they are covered by a collective

bargaining agreement that provides for meal periods. (Id. at

pp. 234, 236.)

The court explained that a “meal period” provided for in a

CBA need not have the same characteristics as the “meal

periods” required by the Labor Code. (Araquistain, supra, 229

Cal.App.4th at p. 234 [“a collectively bargained meal period . . .

need not necessarily be a full 30 minutes, begin before the end

of the fifth hour of work, or even be completely free of all employer

control”] (italics added).) Although the italicized language is

consistent with our view that collective bargaining agreements

may provide for voluntary on-duty meal periods, it does not

speak to the issue of compensation. The “meal periods” in

Araquistain — brief on-duty meal periods — were paid. (Id. at

p. 230.) The court said this was permissible because unionized

employees “are free to bargain over the terms of their meal

period, including whether the meal period will be of a specified

length and whether employees will be relieved of all duty during

that time.” (Id. at p. 238.) But the court said nothing about

whether employees are free to bargain over their right to be paid

minimum wage for all hours worked, including the hours of an

on-duty meal period.

In Gutierrez, the Court of Appeal considered an analogous

exemption from Wage Order No. 16, section 5(A)’s requirement

that employees be compensated at the regular rate or premium

rate for all employer-mandated travel. (Gutierrez, supra, 50

Cal.App.5th at p. 797.) It concluded the exemption allowed

employees to waive the right to compensation at their regular or

premium rates of pay, but not their right to compensation at the

applicable minimum wage. (Id. at pp. 798–799.) The court

reasoned that the Wage Order No. 16, section 5(D) collective

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bargaining exemption did not “mention, much less override, the

separate requirement under Wage Order [No.] 16, section 4(B)

that employees receive compensation ‘not less than the

applicable minimum wage for all hours worked . . . .’ ”

(Gutierrez, at p. 798.) Thus, an employer and union cannot

bargain away workers’ entitlement to be paid a minimum wage

for employer-mandated travel time. (Id. at p. 804.)

Similarly, the Wage Order No. 16, section 10(E) exemption

at issue here neither mentions nor overrides Wage Order No. 16,

section 4(B)’s requirement that all workers be paid a minimum

wage for all “hours worked.” (See Cal. Code Regs., tit. 8,

§ 11160, subds. 4(B) & 10(D), (E).) The wage order does not

purport to limit, nor could it limit, Huerta’s right to file a civil

action to recover minimum wages “[n]otwithstanding any

agreement to work for a lesser wage.” (Lab. Code, § 1194,

subd. (a).) Thus, Wage Order No. 16 does not foreclose Huerta

from seeking compensation for any “hours worked” during an

“unpaid meal period” provided by a collective bargaining

agreement that exempts the employer from compliance with

Wage Order No. 16, section 10(A), (B), and (D).

We next examine under what circumstances an ostensibly

off-duty meal period may qualify as compensable “hours

worked.” In Bono, the Court of Appeal held that “[w]hen an

employer directs, commands or restrains an employee from

leaving the work place during his or her lunch hour and thus

prevents the employee from using the time effectively for his or

her own purposes, that employee remains subject to the

employer’s control,” and thus the employee must be

compensated for that time. (Bono, supra, 32 Cal.App.4th at

p. 975.) We have repeatedly relied on Bono’s reasoning in cases

interpreting the control clause, and we see no reason we should

32

HUERTA v. CSI ELECTRICAL CONTRACTORS

Opinion of the Court by Liu, J.

not do the same here. (See Frlekin, supra, 8 Cal.5th at p. 1047

[applying Bono]; Morillion, supra, 22 Cal.4th at p. 583 [same];

Mendiola, supra, 60 Cal.4th at p. 842 [citing Morillion’s

application of Bono].) In Brinker, we cited Bono approvingly as

“emphasizing absence of duty and freedom from employer

control as central to unpaid meal periods.” (Brinker, supra, 53

Cal.4th at p. 1036, fn. 15.) There, we agreed with an opinion of

the Division of Labor Standards Enforcement (DLSE) of the

Department of Industrial Relations that an unpaid, off-duty

meal period requires that the employee “(1) has at least 30

minutes uninterrupted, (2) is free to leave the premises, and (3)

is relieved of all duty for the entire period.” (Id. at p. 1036,

italics added.)

We hold that even when a qualifying CBA exempts

employers from the requirements of Wage Order No. 16, section

10(D), an employee must be paid a minimum wage for meal

periods when an employer’s prohibition on leaving the premises

or a particular area forecloses the employee from engaging in

activities he or she could otherwise engage in if permitted to

leave. (See Bono, supra, 32 Cal.App.4th at p. 975.) Under these

circumstances, the employee remains under the employer’s

control despite being relieved of official duties because the

employer is restraining the employee from engaging in

otherwise feasible activities. (See ibid.) Although a meal

period’s limited duration may impose some practical limitations

on employees’ freedom of movement, employees must retain the

freedom to use the time “for their own purposes” if a meal period

is to qualify as off-duty. (Augustus v. ABM Security Services,

Inc. (2016) 2 Cal.5th 257, 270; see Brinker, supra, 53 Cal.4th at

p. 1036 [“ ‘The worker must be free to attend to any personal

business he or she may choose during the unpaid meal period’ ”

33

HUERTA v. CSI ELECTRICAL CONTRACTORS

Opinion of the Court by Liu, J.

(quoting Dept. of Industrial Relations, DLSE Opn. Letter

No. 1991.06.03 (June 3, 1991))].) Even at remote worksites,

there is a meaningful difference between being required to eat

at one’s workstation or in a designated meal area and being

allowed to return to one’s personal vehicle or take a walk. In

the latter situations, an employee may be able to make personal

phone calls, take a nap, or simply enjoy a moment of quiet.

This conclusion accords with the view taken by the DLSE

in an opinion letter responding to a claim almost identical to

Huerta’s. (Dept. of Industrial Relations, DLSE Opn. Letter

No. 2001.01.12 (Jan. 12, 2001) p. 1 (DLSE 2001 Opinion Letter);

see Brinker, supra, 53 Cal.4th at p. 1029, fn. 11 [DLSE opinion

letters are “ ‘ “ ‘ “not controlling . . . [but] do constitute a body of

experience and informed judgment to which courts and litigants

may properly resort for guidance” ’ ” ’ ”]; Morillion, supra, 22

Cal.4th at p. 584 [relying on a DLSE opinion letter to inform its

interpretation of the IWC’s wage orders].) In the letter, the

DLSE addressed an employee inquiry regarding whether an

employer could “require[] its employees to remain on its

premises during the employees’ lunch period” without paying

the employees “for the lunch periods in which they are restricted

to the employer’s premises.” (DLSE 2001 Opinion Letter, at

p. 1.) Finding the practice was unlawful, the DLSE explained:

“[A]ny time during which an employee is prohibited from leaving

his or her employer’s premises constitutes ‘hours worked’ under

California law, and that such employees are entitled to

compensation for those hours worked.” (Ibid.) The DLSE

observed that Bono was “precisely on point” and that Morillion

“expressly approved” Bono’s interpretation of “hours worked.”

(Id. at p. 2.) After describing the holdings of those cases, the

DLSE concluded that “employees who were not paid for meal

34

HUERTA v. CSI ELECTRICAL CONTRACTORS

Opinion of the Court by Liu, J.

periods during which they were prohibited from leaving the

employer’s premises, notwithstanding the fact that they were

relieved from all duty during those meal periods, are entitled to

compensation for their unpaid meal periods.” (Id. at p. 3.)

On this record, we express no view on whether CSI’s

restrictions on employee’s movement during meal periods

prohibited Huerta from engaging in activities he might have

otherwise engaged in if permitted to leave. Huerta says he was

prohibited from leaving the Site during meal periods and that

CSI required him to stay at an assigned lunch area at his daily

Installation Site during his meal period. Huerta further states

that he could not return to his vehicle “at any time during the

workday” without special approval. On the other hand, the

distances separating the Installation Site, parking lot, and

public road, as well as the speed limit on the access road, might

have made travel impractical during Huerta’s 30-minute meal

period, and the fact that the features of a worksite make travel

impractical in the time allotted is not sufficient to establish

employer control. (See Augustus, supra, 2 Cal.5th at p. 270.)

Further evidentiary development may be needed to determine if

these impediments, considered in light of the location and

characteristics of the Installation Site, meant that employees

could not engage in personal activities they would otherwise

have been able to engage in absent CSI’s prohibitions.

Finally, we hold that if Huerta’s “unpaid meal period” is

compensable under the wage order as “hours worked,” he is

entitled to seek compensation for that time under Labor Code

section 1194. The statute does not itself provide a substantive

basis for bringing a claim for unpaid wages; instead, it

authorizes an employee to bring a civil action to recover unpaid

wages owed under applicable wage orders. Subdivision (a) of

35

HUERTA v. CSI ELECTRICAL CONTRACTORS

Opinion of the Court by Liu, J.

Labor Code section 1194 provides: “Notwithstanding any

agreement to work for a lesser wage, any employee receiving

less than the legal minimum wage or the legal overtime

compensation applicable to the employee is entitled to recover

in a civil action the unpaid balance of the full amount of this

minimum wage or overtime compensation, including interest

thereon, reasonable attorney’s fees, and costs of suit.” We have

explained that the “statutory and historical context” of this

section “shows unmistakably that the Legislature intended the

IWC’s wage orders to define the employment relationship in

actions under the statute.” (Martinez, supra, 49 Cal.4th at 52.)

“[S]pecific employers and employees become subject to the

minimum wage only under the terms of an applicable wage

order, and an employee who sues to recover unpaid minimum

wages actually and necessarily sues to enforce the wage order.”

(Id. at p. 57.) The fact that the CBAs specify that Huerta’s meal

periods are “unpaid” does not defeat an action pursuant to the

statute; as noted, the statute by its terms authorizes suit for

minimum wages “[n]otwithstanding any agreement to work for

a lesser wage,” including no wage at all. (Lab. Code, § 1194,

subd. (a).)

CONCLUSION

In response to the Ninth Circuit’s certification request, we

conclude as follows: First, when an employee is required to

spend time on his employer’s premises awaiting and undergoing

an employer-mandated exit security procedure that includes the

employer’s visual inspection of the employee’s personal vehicle,

the time is compensable as “hours worked” within the meaning

of Wage Order No. 16.

36

HUERTA v. CSI ELECTRICAL CONTRACTORS

Opinion of the Court by Liu, J.

Second, the time that an employee spends traveling

between the Security Gate and the employee parking lots is

compensable as “employer-mandated travel” under Wage Order

No. 16, section 5(A) if the Security Gate is the first location

where the employee’s presence is required for an employment-

related reason other than the practical necessity of accessing the

worksite. Separately, this travel time is not compensable as

“hours worked” because an employer’s imposition of ordinary

workplace rules on employees during their drive to the worksite

in a personal vehicle does not create the requisite level of

employer control.

Third, when an employee is covered by a collective

bargaining agreement that complies with Labor Code section

512, subdivision (e) and Wage Order No. 16, section 10(E), and

that agreement provides for an “unpaid meal period,” that time

is nonetheless compensable under the wage order as “hours

worked” if the employer prohibits the employee from leaving the

employer’s premises or a designated area during the meal period

and if this prohibition prevents the employee from engaging in

otherwise feasible personal activities. An employee may bring

an action under Labor Code section 1194 to enforce the wage

order and recover unpaid wages for that time.

LIU, J.

We Concur:

GUERRERO, C. J.

CORRIGAN, J.

KRUGER, J.

GROBAN, J.

JENKINS, J.

EVANS, J.

37

See next page for addresses and telephone numbers for counsel who

argued in Supreme Court.

Name of Opinion Huerta v. CSI Electrical Contractors, Inc.

__________________________________________________________

Procedural Posture (see XX below)

Original Appeal

Original Proceeding XX on request by 9th Circuit (Cal. Rules of

Court, rule 8.548)

Review Granted (published)

Review Granted (unpublished)

Rehearing Granted

__________________________________________________________

Opinion No. S275431

Date Filed: March 25, 2024

__________________________________________________________

Court:

County:

Judge:

__________________________________________________________

Counsel:

Peter R. Dion-Kindem; The Blanchard Law Group and Lonnie C.

Blanchard III for Plaintiff and Appellant.

Ford & Harrison, Daniel B. Chammas and Min K. Kim for Defendant

and Respondent.

Atkinson, Andelson, Loya, Ruud & Romo, Steven D. Atkinson, Ronald

W. Novotny and Kieran D. Hartley for Construction Employers’

Association, Southern California Contractors Association and Southern

California Association of Scaffold Contractors as Amici Curiae on

behalf of Defendant and Respondent.

Simpson, Garrity, Innes & Jacuzzi, Paul V. Simpson and Sarah E.

Lucas for the Los Angeles County Chapter, National Electrical

Contractors Association as Amicus Curiae on behalf of Defendant and

Respondent.

Ogletree, Deakins, Nash, Smoak & Stewart, Robert R. Roginson,

Christopher W. Decker and David Szwarcsztejn for Employers Group

and California Employment Law Council as Amici Curiae on behalf of

Defendant and Respondent.

Counsel who argued in Supreme Court (not intended for

publication with opinion):

Peter R. Dion-Kindem

Peter R. Dion-Kindem, P.C.

3856 Davids Road

Agoura Hills, CA 91301

(818) 883-4900

Daniel B. Chammas

Ford & Harrison LLP

350 South Grand Avenue, Suite 2300

Los Angeles, CA 90071

(213) 237-2442

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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