California employment case index

Arbitration agreements providing for individualized proceedings — including class- and collective-action waivers in the employment context — are enforceable under the FAA, and the NLRA does not override the FAA or render such agreements unlawful; courts must enforce the agreements according to their terms.

Three Oracle instructors living in Colorado and Arizona worked a limited number of days in California for their California-headquartered employer. Answering certified questions from the Ninth Circuit, the California Supreme Court held that the Labor Code's overtime provisions apply to work performed in this state regardless of residence, and that those violations support a UCL claim – but that the UCL does not reach FLSA violations occurring in other states on these stipulated facts. The court confined its holding to overtime and to entire days and weeks worked in California.

Citigroup let employees take part of their annual compensation as discounted restricted stock vesting only after two years; an employee who resigned early forfeited both the shares and the pay used to buy them. The California Supreme Court affirmed summary judgment for the company, holding that no earned wages remained unpaid on resignation. The decision agrees that restricted stock is a wage – so it turns on when incentive compensation is earned, not on characterization – and expressly refuses to extend Suastez's pro rata vacation-vesting rule to voluntary incentive programs.