Bufil v. Dollar Financial Group, Inc.

162 Cal. App. 4th 1193, 76 Cal. Rptr. 3d 804, 2008 Cal. App. LEXIS 717
CourtCalifornia Court of Appeal
DecidedApril 17, 2008
DocketA118143
StatusPublished
Cited by57 cases

This text of 162 Cal. App. 4th 1193 (Bufil v. Dollar Financial Group, Inc.) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bufil v. Dollar Financial Group, Inc., 162 Cal. App. 4th 1193, 76 Cal. Rptr. 3d 804, 2008 Cal. App. LEXIS 717 (Cal. Ct. App. 2008).

Opinion

Opinion

REARDON, J.

On the heels of the denial of class certification against employer and respondent Dollar Financial Group, Inc. (Dollar), in a suit alleging violation of meal and rest break labor laws, appellant Caren Bufil pursued class certification in a new suit which significantly narrowed the *1197 class definition. Relying on the doctrine of collateral estoppel, the trial court granted judgment on the pleadings in favor of Dollar. Also relying on this doctrine as well as traditional concerns relevant to the issue of certification, the court denied Bufil’s motion for class certification. We reverse.

L FACTUAL BACKGROUND

A. Dollar’s Operations and Policies

Dollar provides check cashing and Western Union services as well as consumer lending, through its 130 retail stores in California. Products and services vary from store to store, and in turn this variety impacts the number and duration of employee transactions in each store, as does variation in store location and hours of operation. Each retail store has its own manager who is responsible for hiring employees and staffing the store and setting employee work schedules, including meal and rest breaks. There is no staffing guideline or policy establishing the level of staffing. Rather, each manager determines staff based on the services offered, volume and seasonal fluctuation in customer demand.

Scheduling conflicts occur that sometimes prevent an employee from being able to leave a store for an off-duty meal break. In particular, this may occur if the employee (1) is the only employee in the store on a particular shift; or (2) is working solely with a newly hired employee who is not certified to cash checks or transact business without supervision. According to Melissa Soper, the vice-president of human resources for Dollar at the relevant times and the person most knowledgeable (PMK) about Dollar’s meal and rest break policies, a single employee working a shift or supervising a new employee when no one else is on duty is not authorized to do any of the following for 10 consecutive minutes every four hours; close the store; tell customers they are off duty; ignore customer traffic or stop monitoring customer traffic and go off duty; or leave his or her teller station. In other words, while working a shift as a single employee or a single employee with an in-store trainee, the employee is on duty at all times.

Industrial Welfare Commission wage order No. 4-2001 (Wage Order No. 4-2001) governs an employer’s obligation for providing meal and rest breaks to hourly employees. It provides; “No employer shall employ any person for a work period of more than five (5) hours without a meal period of not less than 30 minutes, except that when a work period of not more than six (6) hours will complete the day’s work the meal period may be waived by mutual consent of the employer and the employee. Unless the employee is *1198 relieved of all duty during a 30 minute meal period, the meal period shall be considered an ‘on duty’ meal period and counted as time worked. An ‘on duty’ meal period shall be permitted only when the nature of the work prevents an employee from being relieved of all duty and when by written agreement between the parties an on-the-job paid meal period is agreed to. The written agreement shall state that the employee may, in writing, revoke the agreement at any time.” (Cal. Code Regs., tit. 8, § 11040, subd. 11(A) (section 11040).)

In 2001 Dollar introduced the “California Meal Agreement” in an attempt to accommodate in a lawful manner the occasions when employees were not afforded an off-duty meal break. The agreement is included in all “new hire” paperwork for California employees, and Dollar’s human resources policy manual provides that these employees will sign the agreement when they complete that paperwork. The agreement states that (1) Dollar and the employees acknowledge that the nature of the business may prevent employees from being relieved of all duties during meal periods; (2) Dollar and the employees agree that an employee may take an on-duty meal break, and be paid accordingly; and (3) the employees may revoke their right to have the meal break be deemed “on duty” by giving 24 hours’ written notice to a supervisor.

Dollar introduced an updated meal break policy effective September 2003. This policy reiterates that hourly employees sign the meal break agreement at the time of hire, consenting to an on-duty meal break in the event they are unable to be relieved of duty during a meal break. To clarify the circumstances necessitating an on-duty meal break, the revised policy spells out that the only acceptable circumstances are that the hourly employee (1) is the only employee in the store working during the entire work shift; and (2) is working with only one other employee who has been employed less than 90 days and is not certified to transact business alone. An e-mail to store managers in June 2006 reiterated this policy.

Coinciding with the revised policy, in August 2003 Dollar implemented a timekeeping system—called the MMTimesheet—which requires full-time, hourly employees to take and record off-duty meal breaks, or indicate from three options presented why they were not able to do so. The three options are: (1) only employee on duty; (2) supervising one new employee; or (3) meal break not taken (describe in comments section). All California stores received a technical bulletin which described these procedures.

Concerning rest breaks, Wage Order No. 4-2001 states that every employer must “authorize and permit all employees to take rest periods .... *1199 The authorized rest period time shall be based on the total hours worked daily at the rate of ten (10) minutes net rest time per four (4) hours or major fraction thereof. However, a rest period need not be authorized for employees whose total daily work time is less than three and one-half (3¥2) hours.” (§ 11040, subd. 12(A).)

The Dollar policy at the relevant times did not require consecutive 10-minute breaks. Rather, it permitted a “net” 10 minutes of time that could be broken up during the course of a day. A 2002 Division of Labor Standards Enforcement opinion letter iterates that the “net” 10 minutes had to be consecutive. And, as stated above, Dollar does not authorize single employees working a single shift or supervising a trainee to close, tell customers they are off duty, ignore or stop monitoring customer traffic, or otherwise relieve the employee of all duty for 10 consecutive minutes every four hours in order to accommodate lawful rest breaks.

Further, according to Melissa Soper, Dollar does not notify its employees that they are authorized and permitted to take a 10-consecutive-minute off-duty rest break every four hours. Nor does Dollar instruct supervisory personnel to take steps to provide employees with the opportunity to take the required rest breaks. The onus is on the employer to clearly communicate the authorization and permission to its employees. (Cicairos v. Summit Logistics, Inc. (2005) 133 Cal.App.4th 949, 963 [35 Cal.Rptr.3d 243].)

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Cite This Page — Counsel Stack

Bluebook (online)
162 Cal. App. 4th 1193, 76 Cal. Rptr. 3d 804, 2008 Cal. App. LEXIS 717, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bufil-v-dollar-financial-group-inc-calctapp-2008.