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Civil Litigation,
Labor/Employment,
California Supreme Court

Mar. 12, 2018

New ruling on bonus pay favors employees; here’s how it works

Last week, the California Supreme Court reversed an appellate court decision which dictates how employers in the state should calculate certain types of bonuses.

Christian J. Scali

Managing Partner
Scali Rasmussen

Email: cscali@scalilaw.com

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Jack Schaedel

Employment Law Neutral
Alternative Resolution Centers

UCLA Law School

Jack Schaedel is an employment law neutral with Alternative Resolution Centers. Over the course of his career, he represented and advised both employees and employers in high-stakes litigation while also mediating cases through the LA Superior Court. He founded and chaired the Labor & Employment Section of the Pasadena Bar Association and serves on the Executive Committee of the Labor & Employment Section of the Los Angeles County Bar Association

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Jasmin Bhandari

Associate
Scali Rasmussen

Email: jbhandari@scalilaw.com

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Last week, the California Supreme Court reversed an appellate court decision in Alvarado v. Dart Container Corporation of California -- which dictates how employers in the state should calculate certain types of bonuses. 2018 DJDAR 2083 (March 5, 2018).

The lower court had rule that a flat-sum bonus should be incorporated into the regular rate of pay by adding it into total compensation, then dividing by a...

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