Why Skipping a Meal (Period) Can Be Bad For Your Business
By Kathleen M.K. Carter, Managing Principal & Philip J. Azzara, Associate, Hollins Law

By now, most California employers are well aware that California law generally requires all employees be provided a meal period of not less than 30 minutes within the first five hours of work. An employee who does not receive a legally compliant meal period is entitled to one hour of pay at the employee's regular rate of compensation. By way of example, an employee working an eight hour day and not furnished a meal period within the first five hours of work is actually entitled to a total of nine hours worth of compensation.

For one reason or another, employees often choose, voluntarily, to postpone or altogether forego their meal period. Many employers believe that so long as they merely offer an employee a meal period, they are absolved from any liability when the employee voluntarily chooses to postpone or forego the meal period. This belief is mistaken.

In fact, California law clearly places the burden on the employer to compel the employee to cease work during the meal period. An employer is not entitled to excuse the fact that it employed an employee for a period of more than five hours without a meal period on the failure of the employee to take the meal period. Moreover, an employer who refuses to allow its employee to take a meal period can be penalized in an equal manner to an employer who allows the employee to postpone or forego the meal period.

Consider the potential liability exposure under the following scenario: A business of 25 employees, each making an average of $150 per hour, allows its employees to determine independently when to take their meal period. Suppose further that, on average, one time per week each employee improperly postpones the time by which they take their meal period. Because the employer will be liable for one hour of wages per employee, per violation, up to a total of three years, the employer in this scenario could be required to pay its employees nearly $60,000 in back wages, exclusive of any additional liability for penalties or attorney's fees.

Many employers simply do not have the resources to monitor every employee and ensure that legally compliant meal periods are taken. How, then, can an employer run a profitable, efficient business, while also avoiding liability for failure to comply with the law on meal periods?

An employer can eliminate much of the administrative headache by putting the burden to comply with meal period law onto the employee. Establishing a written policy requiring employees to take legally compliant meal periods, and disciplining those employees who violate the policy, can substantially reduce the potential for liability. Employers should also consider establishing strict schedules for employee meal periods, eliminating any employee discretion in taking potentially non-complaint meal periods.

Complying with all applicable employment laws can be challenging. At Hollins Law, we recognize the difficulties facing employers, and we have the experience necessary to assist your business in developing a legally complaint environment.