Cal. Labor Code § 515

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(a)The Industrial Welfare Commission may establish exemptions from the requirement that an overtime rate of compensation be paid pursuant to Sections 510 and 511 for executive, administrative, and professional employees, if the employee is primarily engaged in the duties that meet the test of the exemption, customarily and regularly exercises discretion and independent judgment in performing those duties, and earns a monthly salary equivalent to no less than two times the state minimum wage for full-time employment. The commission shall conduct a review of the duties that meet the test of the exemption. The commission may, based upon this review, convene a public hearing to adopt or modify regulations at that hearing pertaining to duties that meet the test of the exemption without convening wage boards. Any hearing conducted pursuant to this subdivision shall be concluded not later than July 1, 2000.

(b)Except as otherwise provided in this section and in subdivision (g) of Section 511, nothing in this section requires the commission to alter an exemption from provisions regulating hours of work that was contained in a valid wage order in effect in 1997. Except as otherwise provided in this division, the commission may review, retain, or eliminate an exemption from provisions regulating hours of work that was contained in a valid wage order in effect in 1997.

(c)For the purposes of subdivision (a), “full-time employment” means employment in which an employee is employed for 40 hours per week.

(d)(1)For the purpose of computing the overtime rate of compensation required to be paid to a nonexempt full-time salaried employee, the employee’s regular hourly rate shall be140th of the employee’s weekly salary.

(2)Payment of a fixed salary to a nonexempt employee shall be deemed to provide compensation only for the employee’s regular, nonovertime hours, notwithstanding any private agreement to the contrary.

(e)For the purposes of this section, “primarily” means more than one-half of the employee’s worktime.

(f)(1)In addition to the requirements of subdivision (a), a registered nurse employed to engage in the practice of nursing shall not be exempted from coverage under the orders of the Industrial Welfare Commission, unless he or she individually meets the criteria for exemptions established for executive or administrative employees.

(2)This subdivision does not apply to any of the following:

(A)A certified nurse midwife who is primarily engaged in performing duties for which certification is required pursuant to Article 2.5 (commencing with Section 2746) of Chapter 6 of Division 2 of the Business and Professions Code.

(B)A certified nurse anesthetist who is primarily engaged in performing duties for which certification is required pursuant to Article 7 (commencing with Section 2825) of Chapter 6 of Division 2 of the Business and Professions Code.

(C)A certified nurse practitioner who is primarily engaged in performing duties for which certification is required pursuant to Article 8 (commencing with Section 2834) of Chapter 6 of Division 2 of the Business and Professions Code.

(D)Nothing in this paragraph shall exempt the occupations set forth in subparagraphs (A), (B), and (C) from meeting the requirements of subdivision (a).

Notes of Decisions

Cited in 88 cases (16 in the last 5 years), 2003–2026 · leading case: Ming-Hsiang Kao v. Joy Holiday

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Ming-Hsiang Kao v. Joy Holiday (2017) calctapp5d · cites it 4× “§ 213 (a)(1) ; Lab. Code, § 515, subd. (a) ; 8 Cal. Code Regs.”

Alvarado v. Dart Container Corp. of California (2018) cal · cites it 2× “( Lab. Code, § 515, subd. (d)(1) ["the employee's regular hourly rate shall be 1/40th of the employee's weekly salary"].”

Harris v. Superior Court (2011) cal · cites it 3× “) However, Labor Code section 515, subdivision (a), added by the act, exempts from overtime compensation “executive, administrative, and professional employees” whose primary duties 3 “meet the test of the exemption,” who “regularly exercise[] discretion and independent judgment…”

Marlo v. United Parcel Service, Inc. (2011) ca9 · cites it 2× “See Cal. Lab.Code § 515(a). The district court initially certified a class comprised of full-time supervisors employed by UPS from 2000 to 2004, and appointed Mario class representative.”

Arechiga v. Dolores Press, Inc. (2011) calctapp · cites it 3× “” (Lab. Code, § 515, subd. (d).) Thus, according to Arechiga, Employer owed him for the three years at issue in the complaint overtime pay equal to 1.”

Combs v. SKYRIVER COMMUNICATIONS, INC. (2008) calctapp · cites it 2× “1(A)(2)(g) [which also provides that “[f]ull-time employment is defined in California Labor Code Section 515[, subdivision] (c) as 40 hours per week.”

Takacs v. AG Edwards and Sons, Inc. (2006) casd · cites it 3× “California Administrative Exemption Defendant next contends that Plaintiffs are exempt under Cal. Labor Code § 515 (a), which “provides an exemption Tor executive, administrative, and professional employees.”

In Re RBC Dain Rauscher Overtime Litigation (2010) mnd · cites it 5× “See Cal. Lab. Code § 515 (e). The Court therefore denies RBC’s partial motion to dismiss Counts 3 and 4 as to David.”

Collins v. Overnite Transportation Co. (2003) calctapp · cites it 2× “Labor Code Section 515, Subdivision (b)(2) Appellants contend that, with respect to truck drivers in their class, the Act eliminated the exemption for motor carriers contained in past wage orders and brought them within the overtime rules of Labor Code section 510 and other…”

Mies v. Sephora U.S.A., Inc. CA1/1 (2015) calctapp · cites it 2× “, tit. 8, § 11070.) It implements the overtime and break requirements of the Labor Code for “nonexempt” employees and defines those “exempt” employees who are to be treated differently.”

Rieve v. Coventry Health Care, Inc. (2012) cacd · cites it 2× “California Law Overtime Claim California Labor Code § 510 (“Section 510”) requires that employees be compensated with overtime pay for any work in excess of eight hours per day or in excess of forty hours in one week.”

Sepulveda v. Wal-Mart Stores, Inc. (2006) cacd · cites it 2× “” Cal. Lab.Code § 515(a). An exempt employee must be “primarily engaged in the duties that meet the test of the exemption, customarily and regularly exercise[ ] discretion and independent judgment in performing those duties, and earn[] a monthly salary equivalent to no less than…”

Show all 88 citing cases →

— Cal. Labor Code § 515(a) — 9 cases

Marlo v. United Parcel Service, Inc. (2011) ca9 “See Cal. Lab.Code § 515(a). The district court initially certified a class comprised of full-time supervisors employed by UPS from 2000 to 2004, and appointed Mario class representative.”

In Re RBC Dain Rauscher Overtime Litigation (2010) mnd “See Cal. Lab. Code § 515 (e). The Court therefore denies RBC’s partial motion to dismiss Counts 3 and 4 as to David.”

Rieve v. Coventry Health Care, Inc. (2012) cacd “California Law Overtime Claim California Labor Code § 510 (“Section 510”) requires that employees be compensated with overtime pay for any work in excess of eight hours per day or in excess of forty hours in one week.”

Campbell v. PRICEWATERHOUSECOOPERS, LLP (2009) caed

Ruggles v. WellPoint, Inc. (2011) nynd

— Cal. Labor Code § 515(c) — 3 cases

Soderstedt v. CBIZ Southern California, LLC (2011) calctapp

Eicher v. Advanced Business Integrators, Inc. (2007) calctapp

Executive Security Management, Inc. v. Dahl (2011) cacd

— Cal. Labor Code § 515(d) — 2 cases

Susan Peabody v. Time Warner Cable, Inc. (2012) ca9

Bao Yi Yang v. Shanghai Gourmet, LLC (2012) ca9

— Cal. Labor Code § 515(e) — 3 cases

Marlo v. United Parcel Service, Inc. (2008) cacd

Sepulveda v. Wal-Mart Stores, Inc. (2006) cacd “” Cal. Lab.Code § 515(a). An exempt employee must be “primarily engaged in the duties that meet the test of the exemption, customarily and regularly exercise[ ] discretion and independent judgment in performing those duties, and earn[] a monthly salary equivalent to no less than…”

In Re RBC Dain Rauscher Overtime Litigation (2010) mnd “See Cal. Lab. Code § 515 (e). The Court therefore denies RBC’s partial motion to dismiss Counts 3 and 4 as to David.”

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