In compensating employees, employers traditionally have applied the wage-and-hour laws of the state in which the employee resides and/or performs most of the work. Employers have not generally deviated from this practice, even when an employee performs work in another state for several days. This practice, however, is now unlawful in certain circumstances.
For employees entering California to perform work, the California Supreme Court recently issued an opinion in Sullivan v. Oracle that compels employers to revisit their wage-and-hour practices. Specifically, the Sullivan court held that employees of California-based employers who are residents of Colorado or Arizona, and primarily work in those states, are nevertheless subject to California overtime laws when they perform work for whole days or weeks in California.
FACTs OF SULLIVAN V. ORACLE
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