Which “Wage Order” Applies to My Business?

 

The wages, hours and most working conditions of California employees are governed by the Wage Orders issued by the Industrial Welfare Commission (IWC). The Wage Orders can be found here. According to the Department of Industrial Relations, the terms and conditions of employment of California employees are regulated under an “industry order” or under an “occupational order.” A business is classified according to the “main purpose of the business,” and occupational orders only apply when a business is not covered by an industry order. The DIR has published a pamphlet on classification of employees which can be found here.

 

It is also important to be mindful that certain terms and conditions of employment of “exempt” employees may be regulated by the applicable Wage Order. For example, exempt employees may be entitled to other things regulated by the wage order such as adequate: a) change rooms and resting facilities, b) seats; and c) elevators. This means that, as a general rule, exempt employees are not entitled to the regulations about: 1) hours and days or work; 2) Minimum Wages; 3) Reporting Time Pay; 4) License for Disabled Workers; 5) Records; 6) Cash Shortages and Breakage; 7) Uniforms and Equipment; 8) Meals and Lodging; 9) Meal Periods and 10) Rest Periods.