The Legality of Unpaid Training in California: A Guide to Labor Laws and Worker Rights

Living in California, you’d think everyone gets paid for every second they’re on the job, right? Well, not always—especially when it comes to unpaid training. This issue has folks in offices, courtrooms, and coffee shops arguing about what’s fair. Unpaid training happens when companies ask workers to go through training or orientation without a paycheck, often before they even officially start. The Nakase Law Firm has explored this issue in depth, addressing the question, “Is Unpaid Training Legal in California?”

Some bosses swear it’s just how things work, but others say it’s a blatant violation of California’s tough labor laws. California Business Lawyer & Corporate Lawyer advises that a startup business attorney can help navigate these complex regulations to ensure compliance. Let’s dive into what’s legal, what’s not, and what it all means for workers and employers in the Golden State.

California’s Labor Laws and the Federal Angle

California’s got a reputation for looking out for workers, and its labor laws are no joke. They’re tougher than what you’d find in most states, often going beyond federal rules. The state’s Labor Code, backed by the Division of Labor Standards Enforcement (DLSE), lays down the law on wages, hours, and workplace conditions. Then there’s the federal Fair Labor Standards Act (FLSA), which sets the bare minimum for things like minimum wage and overtime.

Both state and federal laws say workers should get paid for all the time they put in, including training. California’s Labor Code Section 1194 is crystal clear: you get at least minimum wage for every hour you’re working. Section 1197 doubles down on that, making sure employers don’t skimp on pay. The FLSA agrees, saying training time counts as work unless it’s totally voluntary, happens outside regular hours, or has nothing to do with your job. Sounds simple, but it gets messy fast.

The Six-Factor Test: When Is Unpaid Training Okay?

The U.S. Department of Labor came up with a six-part checklist to figure out if training can be unpaid. California’s courts and the DLSE lean on this test when they’re sorting out disputes. Here’s the deal:

The training’s like something you’d get in a classroom or vocational program.
It’s mostly for the trainee’s benefit, not the company’s.
The trainee isn’t taking work away from paid employees.
The employer doesn’t get a big boost in productivity or profit from it.
Finishing the training doesn’t mean you’re guaranteed a job.
Everyone’s on the same page that there’s no pay involved.

If even one of these doesn’t check out, the training counts as work, and you’re owed money. California’s super strict about this, so employers have a tough time justifying unpaid setups.

What California Courts Say

I remember chatting with a friend who went through weeks of unpaid training for a sales gig, only to find out it was against the law. That’s not just hearsay—California courts have backed this up. Take Morillion v. Royal Packing Co. in 2000. The state Supreme Court said workers had to be paid for time spent getting to mandatory training since the employer called the shots. That set a big precedent: if it’s required, it’s work.

Then there’s Harris v. Vector Marketing Corp. from 2011. The court ruled that sales reps deserved pay for mandatory training sessions because the company benefited. These cases show California’s not messing around when it comes to worker rights.

Internships and Unpaid Training

Unpaid training often pops up with internships, especially in flashy industries like Hollywood, tech, or media. Back in college, I knew folks who interned for free, thinking it was their ticket to a dream job. But California’s not so keen on that. The DLSE and courts use that six-factor test for internships, too, and they’re extra picky. A federal case, Glatt v. Fox Searchlight Pictures, Inc. (2013), shook things up by saying unpaid interns doing real work for the company’s benefit should get paid. That pushed a lot of California businesses to start paying interns to avoid trouble.

The 2018 Dynamex Operations West, Inc. v. Superior Court case added another layer. It introduced the “ABC test” to decide if someone’s an employee or a contractor. While it’s mostly about contractor status, it makes it harder for companies to claim trainees aren’t employees who deserve pay.

What Employers Need to Know

If you’re running a business in California, unpaid training is like walking through a minefield. You’ve got to nail all six of those DOL factors. For instance, offering training that helps someone’s career long-term, not just your bottom line, might keep you in the clear. And always put it in writing that the training’s unpaid and doesn’t promise a job.

Honestly, though, a lot of employers just pay for training to avoid headaches. It’s safer than risking a lawsuit, especially in industries like retail or restaurants where turnover’s high. Paying for orientation or onboarding keeps things above board and saves you from legal battles.

Standing Up for Worker Rights

Workers in California aren’t left out in the cold. If you’ve been stuck in unpaid training, you can file a wage claim with the DLSE to get what you’re owed. There’s also the Private Attorneys General Act (PAGA), which lets workers sue on behalf of themselves and others to enforce labor laws. Those cases can hit employers with hefty fines, so companies think twice before cutting corners.

Groups like the California Labor Federation are out there fighting the good fight, too. They say unpaid training hits hardest for low-wage workers or folks who can’t afford to push back. It’s a real issue, and they’re not letting it slide.

California vs. Federal Rules

The FLSA sets a baseline, but California goes harder. For example, California counts any time you’re under your employer’s control as “hours worked”—even if you’re training from your couch. That’s way broader than federal rules. If you’re a company working across state lines, what flies in Texas might get you in hot water here.

What’s Happening Now

Lately, unpaid training’s been under a microscope, especially with remote work on the rise. I’ve heard of people doing mandatory online training at home and wondering if they should’ve been paid. Spoiler: if it’s required or helps the company, you probably should’ve. Courts keep saying the same thing.

The gig economy’s stirred the pot, too. Companies like Uber have faced lawsuits over unpaid onboarding. It’s a reminder that as work changes, the law’s trying to keep up.

Conclusion

Figuring out unpaid training in California is tricky, but it boils down to following the DOL’s six-factor test and California’s tough labor laws. With court cases like Morillion and Dynamex setting the tone, employers have to tread carefully, or they’ll face trouble. Workers, on the other hand, have solid options to fight for their pay, from DLSE claims to PAGA lawsuits. As work keeps evolving—think remote training or gig jobs—everyone’s got to stay sharp on their rights and responsibilities.

California’s all about balancing worker protections with business needs. By keeping pay fair and agreements clear, the state can keep its rep as a place where workers come first.