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Employer Cannot Terminate Employee Who Makes Good Faith But Mistaken Claim For Overtime

Tuesday, February 02, 2010

In Barbosa v. IMPCO Technologies, Inc. (November 30, 2009) 179 Cal.App.4th 1116, the Court of Appeal held that the public policy in favor of an employer’s duty to pay overtime wages protects an employee from termination for making a good faith but mistaken claim to overtime.

Manuel Barbosa was a shift leader who was paid by the hour. Two of the employees whom he supervised approached him and stated that they had not been paid for two hours of overtime work. Mr. Barbosa complained to management, who paid him and the other employees for the two hours of overtime. Upon investigation, the employer found that Mr. Barbosa and the other employees had not worked the overtime and terminated Mr. Barbosa, even though he offered repeatedly to pay the money back.

Mr. Barbosa sued for wrongful termination in violation of public policy. At trial, the court granted the employer's motion for non-suit after Mr. Barbosa rested. The Court of Appeal reversed.
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