ARNOLD CHANGES LUNCH RULES BREAK REQUIRED BEFORE 6TH HOUR OF WORK.

Byline: David M. Drucker Sacramento Bureau

Continuing his effort to make California more employer-friendly, Gov. Arnold Schwarzenegger has loosened the restrictions governing when an employee can take a lunch break.

Under regulations that took effect Friday, employers must allow their workers to take a daily lunch break prior to their sixth hour on the job. The old rules dictated the break be offered before the fifth hour, and administration officials say the change creates flexibility that will benefit employers and employees.

``It doesn't take away the lunch period at all,'' Labor and Workforce Development Agency Assistant Secretary Rick Rice said, in response to criticism from the California Labor Federation claiming the change amounted to the elimination of an employee's legal right to a lunch break.

Union officials blasted the rule change, as well as the method used to implement it, insisting the rule frees businesses from the legal requirement that they provide employees a lunch break.

The CLF filed a letter of opposition Tuesday with the state Office of Administrative Law, the first step in what could eventually turn into a legal challenge. The union claims only the Legislature has the power to enact such a change.

The Schwarzenegger administration enacted the adjustments as an ``emergency'' regulation change, allowing them to take effect immediately. Today is the final day of the public-comment period.

``This has massive implications for every private-sector worker in California because it's a preposterous attempt to undo a law that says they deserve a meal break,'' CLF Executive Director Treasurer Art Pulaski said.

Administration officials suspect the union may really be upset with the aspect of the rule-changes affecting how an employee is compensated if his employer fails to grant him the lunch break.

Before the rule change, employees could take their case to court and recover lost wages, for which they then had to pay their payroll taxes. That right still exists.

But now - to encourage workers to stay out of court and discourage unscrupulous lawyers from filing frivolous class-action lawsuits - employees will be able to seek penalty payments that are not subject to payroll taxes, if they seek redress through the California Division of Labor Standards Enforcement.

Meanwhile, the administration still plans to pursue the standard rule- making process in regards to these latest changes. That process involves public hearings, and those concerned with how the new rules are implemented - like the CLF - will be able to comment further when those hearings are held.

David M. Drucker, [phone]

david.drucker(at)dailybulletin.com