![]() The United States Department of Labor (“DOL”) adopted a regulation approximately 50 years ago under the Fair Labor Standards Act (“FLSA”) that allows an employer to use time rounding policies under certain circumstances. The court of appeal vacated the trial court’s summary adjudication in Silva’s favor on See’s Candy’s affirmative defenses pertaining to its nearest-tenth rounding policy. The trial court ultimately granted the motion in favor of Silva on See’s Candy affirmative defenses. See’s Candy asserted that its nearest-tenth policy is consistent with state and federal law and that the policy did not deny Silva or other class members “full and accurate compensation.” Silva filed a motion for summary adjudication. In its answer to Silva’s complaint, See’s Candy asserted affirmative defenses pertaining to the nearest-tenth rounding policy. If an employee does not clock in until 8:02 a.m., the Kronos system rounds down the time to 8:00 a.m. Pursuant to the rounding policy, an employee’s “in and out punches are rounded (up or down) to the nearest tenth of an hour (every six minutes beginning with the hour mark).” The Kronos time punches are rounded to the nearest three-minute mark so if an employee clocks in at 7:58 a.m., the Kronos system rounds up the time to 8:00 a.m. One of Silva’s claims centered on whether See’s Candy violated California law by utilizing a policy that rounds employees’ punch in and punch out times to the nearest one-tenth of an hour. In 2009, Silva filed a class action complaint alleging that See’s Candy violated various California wage and hour laws. Pamela Silva (“Silva”) worked for See’s Candy from 1993 to 2010. Employees must punch into the system at the beginning of their shifts, at their lunch break, and again at the end of their shifts. (“See’s Candy”) records its employees’ work hours with Kronos, a timekeeping software system. The Superior Court of San Diego County (- Cal.Rptr.3d -, Cal.App. A court of appeal recently concluded that California law does not prohibit the application of a federal regulation that allows employers to compute employees’ work time by using a nearest-tenth rounding method as long as the rounding does not result in the failure to compensate employees properly for the time they have worked. ![]()
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