California Alternative Workweek Schedule: Election, Overtime, and Repeal

A California alternative workweek schedule lets a defined group of non-exempt employees work up to ten hours a day without triggering daily overtime, but only if the employer gives a written disclosure, holds an informational meeting at least 14 days before the vote, wins two-thirds approval of all affected employees by secret ballot at the worksite, and reports the results to the Division of Labor Standards Enforcement within 30 days.1California Legislative Information. California Code Labor Code 511 – Alternative Workweek Schedules Miss a step and the schedule is treated as if it never existed, with daily overtime owed for every hour past eight the affected employees worked while it was in place.

What the Schedule Can Look Like

Labor Code Section 511 caps the regular workday at ten hours and the regular workweek at 40 hours. Within that ceiling, the employer can propose a single schedule that applies to everyone in the work unit, or a menu of options that each employee picks from individually. A menu can include the traditional five-day, eight-hour schedule alongside compressed options, and employees on a menu can switch between options weekly with the employer’s consent.

The written proposal does not have to specify the exact days worked, but it has to identify the regularly recurring pattern of days and hours for each option. The same election and disclosure rules apply whether the proposal is a single schedule or a menu.

Defining the Work Unit That Votes

Every election begins by identifying the work unit. Under Section 511, a work unit can be a division, department, job classification, shift, separate physical location, or a recognized subdivision of any of those. A single employee can qualify as a unit if the grouping is “readily identifiable.” The unit must include every non-exempt employee within it. Exempt employees can be excluded.

IWC Wage Orders back this up by preventing the employer from cherry-picking individual workers to form a unit.2Department of Industrial Relations. Wage Order 5-2001 – Wages, Hours and Working Conditions in the Public Housekeeping Industry If a department contains twenty technicians and five administrative assistants, the technicians can be the unit by job classification, but every technician in that classification is then in the vote. Pulling together a handful of willing employees and calling them a unit will not survive a challenge.

The unit also has to exist as a real grouping before the proposal is introduced. Sticking with established classifications, shifts, or locations keeps the designation defensible, and it determines who gets the disclosures, who votes, and who is bound by the result.

The Disclosure and the 14-Day Meeting

Before the vote, the employer has to give affected employees a written disclosure explaining how the proposed schedule will affect wages, hours, and benefits.3Legal Information Institute. California Code of Regulations Title 8 11110 – Order Regulating Wages, Hours, and Working Conditions in the Broadcasting Industry – Section: Election Procedures That means spelling out the days and hours of each proposed shift, explaining when overtime starts under the new arrangement, and identifying any changes to vacation accrual, health coverage, or other benefits.

The employer also has to hold at least one meeting at the worksite, dedicated to discussing the effects of the schedule, and it must give at least 14 days’ notice of that meeting before the election.4Department of Industrial Relations. California Code of Regulations Title 8 Section 11170 – Miscellaneous Employees – Section: Election Procedures Employees who do not attend must be mailed the written disclosure. If at least five percent of the affected workforce primarily speaks a language other than English, the disclosure has to be provided in that language too. Any failure on disclosure voids the election.

Keep documentation of all of it: attendance logs, copies of distributed materials, proof of mailings. Those records are the employer’s evidence that the process was lawful if the election is later challenged.

The Secret-Ballot Election

The vote itself cannot happen until the 14-day window after the disclosure meeting has passed. It must be conducted by secret ballot, during regular working hours, at the worksite where the affected unit works. The employer pays all costs of the election.

Approval requires at least two-thirds of the affected employees in the work unit to vote yes. The threshold is two-thirds of all affected employees, not two-thirds of those who show up. An employee who does not cast a ballot effectively counts against the proposal. In a 30-person unit, 20 affirmative votes are needed no matter how many people participate. Every eligible employee should get a reasonable chance to vote during their shift.

A show of hands, an off-site vote, or any other deviation from secret ballot at the worksite makes the result unenforceable.

Reporting the Results to the State

Within 30 days of a successful election, the employer must report the results to the Division of Labor Standards Enforcement. The report should include the final vote tally, the number of eligible voters, and a description of the work unit. Results go to:

Attn: Alternative Workweek Election Results
Department of Industrial Relations
P.O. Box 420603
San Francisco, CA 94142-06035Department of Industrial Relations. Office of the Director – Research – Alternate Workweek Elections

The state does not send back an approval. Filing is a compliance step, not an application. Keep a copy of the submission with certified mail receipts, because that proof becomes important in any audit or later challenge to the schedule.

How Overtime Works Once the Schedule Is in Place

A valid alternative workweek shifts when daily overtime starts. It does not eliminate overtime.

  • Within the scheduled hours, up to 10 per day and 40 per week, no overtime is owed. A four-day, ten-hour employee earns straight time for all 40 hours.
  • Time-and-a-half applies for hours worked beyond the schedule set by the agreement, and for any hours past 40 in a week.
  • Double time applies for every hour past 12 in a day.
  • Double time also applies for hours past eight on a day that falls outside the regularly scheduled workdays.

There is a trap worth knowing about. If the employer sends employees home early on a day that was supposed to be a ten-hour shift, the alternative schedule’s overtime protection may not apply for that day. Under most IWC Wage Orders, when the employer requires fewer hours than regularly scheduled, overtime reverts to the standard eight-hour threshold.6Department of Industrial Relations. Exceptions to the General Overtime Law Routinely shortening shifts undermines the schedule and creates overtime exposure the employer may not see coming.

Non-discretionary pay also matters. Production bonuses, shift differentials, and similar compensation have to be factored into the regular rate when computing overtime. The bonus is apportioned back over the workweeks it was earned in, and an additional half-time premium is owed on the allocated hourly bonus rate for each overtime hour worked in those weeks.7eCFR. 29 CFR 778.209 – Method of Inclusion of Bonus in Regular Rate Leaving non-discretionary bonuses out of overtime math is one of the most common payroll errors in compressed-schedule workplaces.

Accommodating Employees Who Can’t Work the New Hours

Adopting the schedule does not force every person in the unit to work it. Section 511(d) splits accommodation into two tracks.

For employees who were eligible to vote but cannot work the adopted schedule, the employer “shall” make a reasonable effort to find a schedule of no more than eight hours a day. For employees hired after the election who cannot work the schedule, the employer is “permitted” to provide an eight-hour accommodation but is not required to. Existing employees get stronger protection than new hires.

Religion gets separate treatment. The employer has to explore every reasonable alternative means of accommodating an employee whose sincerely held religious belief or observance conflicts with the schedule, under the same standards as California’s Fair Employment and Housing Act. Federal Title VII law reinforces this by requiring reasonable accommodation unless it would cause substantial hardship in the overall context of the business. Schedule changes are one of the EEOC’s most commonly cited examples of a reasonable religious accommodation.8U.S. Equal Employment Opportunity Commission. Fact Sheet: Religious Accommodations in the Workplace

Disability-related requests follow a parallel track under the ADA. An employee who cannot work a ten-hour shift because of a medical condition may be entitled to a modified schedule as a reasonable accommodation. The employer and employee engage in an interactive process to identify alternatives, and if no modified schedule works, the employer should consider reassigning the employee to a vacant position with compatible hours.9U.S. Equal Employment Opportunity Commission. Enforcement Guidance on Reasonable Accommodation and Undue Hardship under the ADA

Pay Rates Cannot Drop

Section 511(c) prohibits reducing any employee’s regular hourly rate as a result of adopting, repealing, or nullifying an alternative workweek. Switching from five eight-hour days to four ten-hour days cannot come with a pay cut, and reverting to a standard workweek later cannot either.

Ending the Schedule

An alternative workweek can be undone two ways.

Employee Repeal Election

Employees can start a repeal by submitting a petition signed by at least one-third of the affected workers in the unit. Once a valid petition comes in, the employer has to hold a new secret-ballot election within 30 days. Repeal requires the same two-thirds supermajority as adoption.10Department of Industrial Relations. IWC Order 16 Section 3(C)(7) Some IWC Wage Orders prohibit a repeal election within six months of the previous election; others impose a 12-month waiting period. The applicable period depends on the wage order covering the industry.

If repeal passes, the employer has to make the change within 60 days. The Labor Commissioner may extend that period if the employer shows undue hardship in transitioning back.

Employer Termination

The employer can also end the schedule unilaterally without a vote, as long as it gives affected employees reasonable advance notice. The Section 511(c) pay-protection rule still applies: hourly rates cannot be cut when reverting to a standard workweek.

What Happens If the Process Is Flawed

If a required step is skipped or botched, the alternative workweek is treated as though it was never adopted. The employer owes daily overtime at time-and-a-half for every hour each affected employee worked beyond eight in a day across the entire period the invalid schedule was in effect. Double time applies for hours past 12 in a day and for hours past eight on a seventh consecutive workday.

For an employee who worked four ten-hour days each week for a year under an invalid schedule, that is two hours of overtime per day, four days per week, over 52 weeks. The back-pay exposure adds up quickly. Under federal law, an employer that cannot show good faith and reasonable grounds for believing it was in compliance also faces liquidated damages equal to the unpaid overtime, effectively doubling the liability.11Office of the Law Revision Counsel. 29 US Code 260 – Liquidated Damages The disclosure and election procedures exist to prevent exactly this result, and cutting corners on any of them is one of the costliest compliance mistakes a California employer can make.