February 26, 2015
February 25, 2015
February 24, 2015
Cochran v. Schwan’s Home Service, Inc.; California Court Tells Employers to Pay Part of Employees’ Cell Phone Bills
Action required: Employers should review their cell phone policies in light of this new ruling
Labor Code section 2802 requires an employer to reimburse an employee who uses a personal cell phone for work-related calls, according to the California Court of Appeal, Second Appellate District.
"Reimbursement owed is a reasonable percentage of their cell phone bills"
In a sweeping decision, published Tuesday, August 12, the Court of Appeal in Cochran v. Schwan's Home Service, Inc., stated: "We hold that when employees must use their personal cell phones for work-related calls, Labor Code section 2802 requires the employer to reimburse them. Whether the employees have cell phone plans with unlimited minutes or limited minutes, the reimbursement owed is a reasonable percentage of their cell phone bills." Even if the employee has purchased a personal cell phone plan that provides the employee with "unlimited" minutes and the employee does not incur any additional expense for his/her work-related calls, the employer must still provide a reasonable reimbursement to the employee.
Although Tuesday's decision remains subject to further appellate activity (and does not become final for 30 days) employers should begin to review their cell phone policies now to assess this emerging issue.
- The Second Circuit Holds That Comcast Does Not Require Automatic Denial of Rule 23(b)(3) Class Certification in Cases Presenting Individualized Damages Issues
- Opening Pandora’s Inbox: Potential Impact of NLRB’s Decision to Grant Employee Access to Company Email Systems
- Employer Liability for Employees’ Privacy Violations: What Your Organization Should Learn from Walgreens’ Expensive Lesson (Hint: It Has Little To Do with HIPAA)