Can CA Employers Require New Hires to Obtain Certification at Their Own Expense?

Question from 7, Can CA Employers Require New Hires to Obtain Certification at Their Own Expense?

Answer from AI:

As an employer in California, you may wonder if you can require a new employee to obtain a certification within 90 days of hire and have them pay for it themselves during unpaid time. This question involves several aspects of employment law, including wage and hour laws, and the specifics of what constitutes a lawful employment condition.

California Wage and Hour Laws

California has stringent wage and hour laws designed to protect employees. Under the California Labor Code, employers must generally cover the costs of any required training or certification that is necessary for the job. This is because such costs are considered business expenses.

Key Points to Consider

• Business Expenses: According to California Labor Code Section 2802, employers must reimburse employees for all necessary expenditures or losses incurred in direct consequence of the discharge of their duties.
• Unpaid Time: Requiring employees to obtain certification on their own time without compensation may violate wage and hour laws, particularly if the training is mandatory for their job.
• Fair Labor Standards Act (FLSA): Under federal law, if the training is directly related to the employee’s job and is required by the employer, the time spent in training may be considered compensable work time.

Legal Precedents and Regulations

Several cases and regulations provide guidance on this issue:

1. Gomez v. Lincare, Inc.: In this case, the court ruled that employers must reimburse employees for expenses incurred as a condition of employment.
2. California Code of Regulations, Title 8, Section 11040: This regulation outlines that all hours worked must be compensated, including time spent in mandatory training.

Steps to Ensure Compliance

To ensure you are compliant with California laws, consider the following steps:

1. Review Job Requirements: Clearly outline whether the certification is a pre-employment requirement or a condition of continued employment.
2. Reimburse Costs: If the certification is required for the job, plan to reimburse the employee for the cost of obtaining it.
3. Compensate Training Time: Ensure that any time spent on mandatory training or certification is compensated according to wage and hour laws.
4. Consult Legal Counsel: Given the complexities of employment law, it is advisable to consult with a legal professional to ensure compliance with all applicable laws and regulations.

When to Seek Legal Advice

Given the potential legal implications, it is crucial to seek legal advice to ensure that your policies comply with both state and federal laws. A legal professional can provide personalized advice tailored to your specific situation.

For more detailed information, you can refer to the [California Labor Code Section 2802](https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=LAB&sectionNum=2802) and the [Fair Labor Standards Act (FLSA)](https://www.dol.gov/agencies/whd/flsa).

By following these guidelines, you can help ensure that your employment practices are fair and legally compliant.