California Split-Shift and On-Call Pay Laws: What Restaurant Managers Must Know

California Split-Shift and On-Call Pay Laws: Key Takeaways

• Employees on split shifts in California receive a premium equal to one hour’s minimum wage as compensation for broken work schedules.
• On-call time is compensable if employees are under employer control, including restrictions on movement and required response times.
• Employers must itemize split shift premiums separately on pay stubs and ensure on-call hours are counted toward overtime calculations.

California's labor laws impose specific requirements on split-shift and on-call pay practices that restaurant managers must understand.

Proper compliance ensures fair employee compensation and avoids legal penalties.

For related rules beyond split shifts, review the California overtime law.

1. Understanding Split-Shift Pay Laws in California

A split shift occurs when an employee's work schedule is interrupted by an unpaid, non-working period set by the employer, aside from standard meal or rest breaks.

For example, a restaurant server working 10 a.m. to 1:30 p.m., then returning from 4 p.m. to 8 p.m., is considered on a split shift.

California law mandates employees who earn minimum wage receive a split shift premium—one additional hour paid at the state’s minimum wage rate.

So, if the minimum wage is $16.50/hour, the employee should be paid an extra $16.50 in addition to wages for hours worked to fairly compensate for the disruption.

Split Shift Premium for Above Minimum Wage Employees

When employees earn more than the minimum wage, the split shift premium calculation adjusts.

The total daily compensation must be at least the sum of hours worked multiplied by the minimum wage plus the one-hour premium.

For example, an employee working 7 hours at $18 per hour earns $126; however, the calculation for minimum wage compliance is:

• (7 hours x $16.50) + $16.50 = $132

This means the employer must pay an additional $6 to meet the split shift premium requirement for that day.

It’s crucial for managers to monitor these calculations carefully and ensure employees are made whole.

For role clarity, see the restaurant manager job description.

Recordkeeping and Exemptions for Split Shifts

Employers must itemize the split shift premium separately on pay stubs so employees understand their compensation.

Accurate records of hours worked and premiums paid help prevent disputes and facilitate audits.

One exemption applies: employees who reside on the employer’s premises are not entitled to the split shift premium, as their situation differs from typical workers.

2. On-Call Pay Obligations for Restaurant Managers in California

On-call or standby time refers to periods when employees must be available to work but are not actively working.

California law requires on-call time to be compensated if the employer exercises sufficient control over the employee during these periods.

Factors determining control include:

• Geographical restrictions limiting the employee’s movement.
• Required response times to return to work upon call.
• Frequency and predictability of calls.
• The employee’s ability to engage in personal activities during standby.

For restaurant managers, this means if workers must remain close to the workplace and be able to quickly report back, the hours spent on call count as paid time.

For example, if a restaurant worker must stay within a 15-minute drive and respond within 30 minutes, that period is likely compensable.

Calculating Pay and Overtime for On-Call Hours

Employers must pay at least the minimum wage for all compensable on-call hours.

These hours also count toward calculating overtime, so managers should incorporate them into total hours worked each day and week.

Failing to account correctly for on-call hours can lead to wage and hour violations.

To prevent working off the clock, ensure policies clearly define when standby becomes paid time.

3. Best Practices for Compliance with California Split-Shift and On-Call Laws

Restaurant managers can adopt several practices to stay compliant and ensure fair pay:

• Regularly review employee schedules for split shifts to identify employees owed premiums.
• Calculate split shift premiums accurately based on minimum wage, especially when employees earn above it.
• Ensure separate reporting of split shift premiums on pay statements.
• Assess on-call assignments to determine if employer control exists, requiring pay.
• Track on-call hours as part of total hours worked to properly calculate overtime.
• Keep detailed records of hours worked, split shift premiums, and on-call times.

Implementing clear policies and communicating with staff about these entitlements can prevent confusion and litigation.

For templates and guidance, review HR policies for restaurants.

Clarify task ownership by revisiting kitchen manager duties when designing schedules.

4. Common Mistakes Restaurant Managers Must Avoid in California

• Ignoring split shift premiums: Failing to compensate employees the required extra hour at minimum wage.
• Miscalculating premiums for higher-paid employees: Not ensuring total pay reaches the combined minimum wage hours plus premium.
• Not paying for on-call time when employer control exists: Assuming standby time is unpaid without assessment.
• Omitting on-call hours from overtime calculations: Leading to wage violations.
• Poor documentation: Insufficient records of hours and premiums increasing legal risk.

When hiring or promoting leaders, prepare with these manager interview questions.

5. Useful Resources for California Restaurant Managers

For authoritative guidance, restaurant managers can consult the following official sources:

• California Department of Industrial Relations - Split Shift Information
• California Department of Industrial Relations - Minimum Wage Information
• California Department of Industrial Relations - Hours Worked FAQ

California Split-Shift and On-Call Pay Laws: What Restaurant Managers Must Know - Conclusion

California’s split-shift and on-call pay laws create specific obligations for restaurant employers.

Managers must understand how to properly calculate and compensate for split shift premiums and on-call time to comply with state law and protect employee rights.

By maintaining accurate records, communicating policies transparently, and regularly reviewing work schedules, restaurant managers can ensure their establishments meet legal standards and foster fair workplace practices.