California Labor Law & Furloughs

Mandated furloughs are sweeping offices across California.

A furlough is a mandatory period of time off work without pay. It can range from one day to multiple weeks or months. Companies use them to save money without layoffs or salary cuts.

Exempt Employees

Some salaried employees are exempt from overtime claims, if their salary is above a certain amount (for example, $75,000 for computer workers). If a mandatory furlough causes these workers' salaries to dip below their exemption threshold, the company may lose their overtime exemption and the employee may have an overtime claim for the remainder of the fiscal year.

Working from Home

An employee on furlough cannot do any work whatsoever from home. This includes sending emails, saving documents, communicating with co-workers and so on. If a salaried, overtime-exempt employee were to do even a few hours of work from home while on furlough, he must, by law, be paid for the entire week.

Unpaid Overtime

If an employer attempts to force an overtime-exempt employee to work extra hours in order to make up for the furlough, that is a violation of California labor law as well.

References

• Lawyers and Settlements: California Labor Law and the Dreaded Furlough