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Safeway Wage and Hour Cases

Citation: Not availableDocket: B287103

Court: California Court of Appeal; December 18, 2019; California; State Appellate Court

Original Court Document: View Document

Narrative Opinion Summary

This case involves a former Safeway supermarket manager who filed a lawsuit claiming unpaid overtime wages, alleging he was misclassified as an exempt executive. The core legal issue revolves around the classification of the manager's duties under California's labor laws and applicable Wage Orders, which determine eligibility for overtime pay. The trial focused on whether the appellant's role primarily involved managerial tasks, with Safeway bearing the burden of proof. The jury instructions were challenged on appeal, with the appellant arguing they improperly classified tasks based on their purpose. Additionally, the admission of expert testimony evaluating managerial duties was contested. Despite these challenges, the appellate court upheld the jury's verdict in favor of Safeway, affirming the manager's exempt status. The court held that the jury instructions were consistent with legal standards and that the expert testimony was admissible. Consequently, the judgment denied the appellant's claim for overtime compensation, with the respondent entitled to recover costs on appeal.

Legal Issues Addressed

Admission of Expert Testimony in Employment Litigation

Application: The court admitted Banks’s testimony as it pertained to the reasonableness of respondent’s expectations regarding managerial duties, not specific to appellant’s work.

Reasoning: Her testimony addressed the reasonableness of respondent’s expectations regarding FAMs spending over half their time on exempt work, which is relevant under Wage Order No. 7-2001.

Burden of Proof in Employment Exemption Cases

Application: The burden of proof rested on Safeway to establish that Cunningham was primarily engaged in exempt managerial duties.

Reasoning: The trial court instructed the jury that the respondent was responsible for proving by a preponderance of the evidence that the appellant was an exempt employee not entitled to overtime compensation.

Executive Exemption under California Labor Code

Application: Safeway, Inc. established that Cunningham was an exempt executive, thus denying his claim for overtime pay.

Reasoning: The jury found that Safeway, Inc. successfully established Cunningham's exempt status, thus denying his claim for overtime pay.

Jury Instruction in Employment Misclassification Cases

Application: The court upheld the jury instructions which aligned with past decisions and clarified the classification of tasks based on the purpose behind them.

Reasoning: The trial court instructed the jury that the respondent was responsible for proving by a preponderance of the evidence that the appellant was an exempt employee not entitled to overtime compensation.

Purpose of Task in Determining Exempt vs. Nonexempt Work

Application: The court emphasized that identical tasks could be exempt or nonexempt based on their purpose within the organization.

Reasoning: Instruction No. 33 reinforced that identical tasks could be exempt or nonexempt based on their purpose within the organization.