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CA Supreme Court Issues Decision in Murphy v. Kenneth Cole Regarding Meal and Rest Period.


SAN FRANCISCO San Francisco (săn frănsĭs`kō), city (1990 pop. 723,959), coextensive with San Francisco co., W Calif., on the tip of a peninsula between the Pacific Ocean and San Francisco Bay, which are connected by the strait known as the Golden  -- The CA Supreme Court today released a major ruling in the case Murphy v. Kenneth Cole Productions Kenneth Cole Productions, Inc. is an American fashion house founded in 1982 by Kenneth Cole. Born in Brooklyn, Cole is a graduate of Emory University. He originally named the company Kenneth Cole Incorporated in September 1982 and planned to showcase his new line of shoes during , Inc. finding that the amount paid to a worker by an employer for failing to provide a worker a meal break is considered a wage.

"The Court's decision today provides resolution to one component of the meal period issue, even though the decision is contrary to that of numerous appellate courts, who found the compensation paid by employers for failing to comply with California's meal period regulation is a penalty, not a wage," said Department of Industrial Relations industrial relations
pl.n.
Relations between the management of an industrial enterprise and its employees.


industrial relations
Noun, pl

the relations between management and workers
 (DIR) acting Director John Rea John Rea may refer to:
  • John Rea (horticulturist), 17th century English horticulturist
  • John Rea (politician), a 19th century United States politician
  • John Rea (snooker player), a snooker player
  • John Rea (musician), an Irish hammered dulcimer player
.

John Paul Murphy, an employee of Kenneth Cole -- an upscale retail clothing store business -- filed a complaint with the Labor Commissioner for missed meal and rest periods, as well as unpaid overtime. Kenneth Cole appealed, raising issues regarding Murphy's workplace classification - that he was a nonexempt employee - and the nature of payments for meal and rest break violations were a penalty rather than a wage.

Statutory changes made in 1999 and 2000 have caused confusion about California's meal period requirement. Hundreds of lawsuits have been filed against businesses of all sizes and from all industries alleging failure to comply with the law.

Of the many issues in dispute regarding the meal period law is whether the amount paid to a worker by an employer for failure to comply with the law is considered a wage earned by the employee or a penalty against the employer. The statute of limitations A type of federal or state law that restricts the time within which legal proceedings may be brought.

Statutes of limitations, which date back to early Roman Law, are a fundamental part of European and U.S. law.
 for a wage is three years, while the statute of limitations for a penalty is one year.

DIR's Division of Labor Standards Enforcement (DLSE DLSE Department of Labor Standards Enforcement
DLSE Directorate Land Synthetic Environments (Canadian Forces) 
) promulgated prom·ul·gate  
tr.v. prom·ul·gat·ed, prom·ul·gat·ing, prom·ul·gates
1. To make known (a decree, for example) by public declaration; announce officially. See Synonyms at announce.

2.
 regulations in 2005 that aimed to resolve this dispute and to describe how to comply. DLSE rescinded its proposed regulations in early 2006, after the Court of Appeals held the payment to be a penalty and it became clear the issue was going to be heard by the Supreme Court.

The Court's decision today provides resolution to one component of the meal period issue. The Labor and Workforce Development Agency, along with DLSE, will continue to work with stakeholders regarding other outstanding meal and rest period issues.
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Publication:Business Wire
Date:Apr 16, 2007
Words:363
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