Bolos v. Waldorf=Astoria Management LLC

Hawaii Supreme Court·Decided May 8, 2026·No. SCCQ-25-0000822·Published

Opinion

Electronically Filed

Supreme Court

SCCQ-XX-XXXXXXX

08-MAY-2026

08:08 AM

Dkt. 161 OP

IN THE SUPREME COURT OF THE STATE OF HAWAIʻI ---o0o---

LAURIE BOLOS, et al., on behalf of herself and all others similarly situated, Plaintiffs-Appellants,

vs.

WALDORF=ASTORIA MANAGEMENT LLC operating as Grand Wailea, a Waldorf Astoria Resort, et al., Defendants-Appellees.

SCCQ-XX-XXXXXXX

CERTIFIED QUESTION FROM THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF HAWAIʻI (CASE NO. 1:23-cv-00104-JMS-KJM)

MAY 8, 2026

DEVENS, C.J., McKENNA, EDDINS, AND GINOZA, JJ., AND CIRCUIT JUDGE NAKAMOTO, ASSIGNED BY REASON OF VACANCY

OPINION OF THE COURT BY EDDINS, J.

I.

The United States District Court for the District of Hawaiʻi asks us to answer a certified question. What unit of measure applies when assessing minimum wage compliance and damages under

Hawaiʻi Revised Statutes (HRS) §§ 387-2 and 387-12? Is it the per-workweek unit used under the federal Fair Labor Standards Act (FLSA)? Or is it the per-hour unit?

Our answer: the per-hour unit applies.

HRS § 387-2 (2002) requires employers to pay employees wages “at the rate of not less than” the applicable minimum wage “per hour.” The word “per” means “for each.”

HRS § 387-12 (2015 & Supp. 2022) enforces that requirement.

The remedy follows the rule – per hour, for “each” violation.

The statutes mean what they say and say what they mean.

Employers must pay their employees at least the minimum wage for each hour of work. Nothing in HRS §§ 387-2 or 387-12 allows employers to average compensation across a workweek to satisfy minimum wage obligations.

Workweek averaging allows employers to pay workers nothing for some hours, so long as earnings from other hours make up the difference. The Legislature did not authorize that result. It directed employers to pay their employees a minimum wage “per hour.” That means for each hour. Not on average. Not after the fact. For each hour worked.

II.

Plaintiffs are massage therapists, estheticians, nail technicians, fitness instructors, and hair stylists who worked at Defendants’ Grand Wailea hotel spa in South Maui.

The hotel required them to work a minimum number of hours and shifts each week. But it did not pay by the hour. Rather, the hotel compensated its spa workers only through commissions, a percentage of the price charged for a spa service.

Commissions were only generated when a client purchased a service. No commission meant no compensation.

But no commission did not mean they did no work.

When commission-generating work dried up, Plaintiffs still had to remain on-site. They waited for clients and performed other work for the hotel. This labor included cleaning and preparing treatment rooms, laundering hotel towels and linens, sweeping floors, taking inventory, and ordering supplies. The hotel also assigned Plaintiffs to work shifts in the retail store adjacent to the spa.

Plaintiffs allege that this unpaid work “often comprised the majority or the entirety of their scheduled shifts.” They worked. They were not paid for that time.

Plaintiffs sued in federal court. They alleged, among other things, that Defendants failed to pay minimum wage under HRS §§ 387-2 and 387-12.

The U.S. District Court certified a question to this court.

We welcome the opportunity. Federalism works best when state and federal courts collaborate on unsettled questions of state law. See McGuire v. County of Hawaiʻi, 155 Hawaiʻi 475,

477, 567 P.3d 180, 182 (2025) (“we appreciate the federal courts’ respect for the sovereignty of Hawaiʻi by inviting our court to first answer an unsettled area of state law”).

We accepted the court’s question. See Hawaiʻi Rules of Appellate Procedure Rule 13.

Then we ordered briefing, which concluded March 16, 2026.

We held oral argument on April 28, 2026. We answer the certified question.

The choice between these two units of measure is not academic. It carries real-life consequences for Hawaiʻi’s workforce.

Consider an example. Hawaiʻi’s current minimum wage is $16 per hour. HRS § 387-2(a)(10). A massage therapist works 30 hours in a week. She spends 10 hours giving massages and 20 hours cleaning, doing laundry, and staffing the retail store for the hotel. She earns $500 in massage commissions for the week. Nothing more.

Under the per-hour unit, the therapist is entitled to at least $16 for each hour of work. No exceptions. If the hotel pays her nothing for the 20 hours she spends cleaning, doing laundry, and staffing the store, it violates the minimum wage law. The massage therapist is owed $320 for those 20 uncompensated hours.

The per-workweek unit gives the hotel an out. It can avoid paying the massage therapist $16 for each hour she works, as long as her average hourly rate that workweek is at least the statutory minimum. The therapist’s total compensation ($500) divided by her total hours worked (30) yields an average hourly rate of $16.67. That clears the minimum. Under weekly averaging, the hotel satisfied the statute, even though it paid the therapist nothing for two-thirds of her working hours.

The per-workweek unit cuts deeper during a slow commission week. What if the therapist earned only $400 in commissions for 8 hours of massages? She still worked 22 additional hours that week. Across 30 hours, her average hourly pay dips to $13.33. Below the statutory minimum.

Both units find a violation. But the remedies diverge.

Under the per-hour unit, she is owed $352 - $16 for each of the 22 uncompensated hours. Under the per-workweek unit, what is she owed? The shortfall in the average gives no answer. Per- hour or per-workweek? Calculated how? At what rate? Workweek averaging asks the question. The per-unit answers it.

Hawaiʻi’s working families feel the difference.

III.

We hold that Hawaiʻi’s minimum wage law requires the per-

hour unit of measure. The text compels this result. Legislative intent confirms it.

A. Text “Statutory interpretation starts with the statute’s words.”

Alpha, Inc. v. Bd. of Water Supply, 154 Hawaiʻi 486, 490, 555 P.3d 173, 177 (2024). Unless the statute itself compels a different reading, we take words at face value. Saranillio v. Silva, 78 Hawaiʻi 1, 10, 889 P.2d 685, 694 (1995) (this court “give[s] words their ordinary meaning unless something in the statute requires a different interpretation”). When a term is not statutorily defined, we turn to “legal or other well accepted dictionaries as one way to determine the ordinary meaning.” Rodriguez v. Mauna Kea Resort LLC, 156 Hawaiʻi 289, 293, 574 P.3d 309, 313 (2025) (quoting State v. Tran, 154 Hawaiʻi 211, 221, 549 P.3d 296, 306 (2024)) (brackets omitted).

HRS § 387-2 declares that “every employer shall pay to each employee employed by the employer, wages at the rate of not less than[] . . . $ [applicable minimum wage] per hour.” (emphasis added).

“Per” is undefined in the statute. Black’s Law Dictionary defines “per” to mean “for each; for every.” Per, Black’s Law Dictionary (12th ed. 2024). Merriam-Webster agrees: “for each.” Per, Merriam-Webster Dictionary, https://www.merriam- webster.com/dictionary/per [https://perma.cc/J3RF-KGRW].

These words require employers to pay their employees at least the minimum wage for each hour. The text does not

prescribe a particular pay structure. But it does guarantee a minimum amount of compensation for each hour worked. Pay structure is irrelevant. Cf. Carranza v. Dovex Fruit Co., 416 P.3d 1205, 1210 (Wash. 2018) (“The statute does not restrict employers to a specific compensation structure, but it does require an employer to pay its employees at least minimum wage ‘per hour.’”).

Nothing in HRS § 387-2 indicates that this per-hour directive may be sidestepped through weekly averaging. The statute is straightforward. The hour is the unit of measure.

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