Citations
- 32 Cal. App. 4th 555
Full opinion text
Opinion
THAXTER, J.
In the published portion of this opinion we will uphold the trial court’s decisions on two novel issues: (1) that plaintiff and respondent Brian E. Nordquist, a television station sports director/newscast anchor, is entitled to overtime compensation under subdivision 3 of Industrial Welfare Commission Order No. 11-80 (IWC Order No. 11-80) because he was not exempt as a professional or administrative employee, “engaged in work which is primarily intellectual, managerial, or creative,” and “which requires exercise of discretion and independent judgment” (Cal. Code Regs., tit. 8, § 11110); and (2) that Nordquist was entitled to prejudgment interest following his successful appeal to the superior court following an order by the Labor Commissioner rejecting his compensation claim.
In the unpublished portion of the opinion we will hold that the trial court erred by applying the four-year limitations period of Code of Civil Procedure section 337, subdivision 1 rather than the three-year period of section 338, subdivision (a) to Nordquist’s claim. We will remand with directions to apply the correct statute of limitations and to recalculate the amount of overtime compensation and interest payable to Nordquist.
Facts and Procedural History
Appellant McGraw-Hill Broadcasting Company, Inc., doing business as KERO-TV23 (KERO), hired Nordquist as a sportscaster/reporter on May 24, 1982. On August 5, 1982, Nordquist signed a written employment contract with KERO and his employment continued pursuant to successive written employment contracts until he resigned in 1987. His job responsibilities were the same before and after he signed the contract.
The three letter contracts contained similar terms, including compensation by salary and integration clauses. The contract in effect when Nordquist resigned provided:
“4. Your basic work week will consist of five days. It is understood that from time to time you may be required to work additional days or extended workshifts.
“5. In consideration of your duties hereunder we shall pay you, less only those deductions required by law or mutually agreed upon, a weekly gross compensation based on the following annual rates:
“(i) From 12/30/85 through 12/28/86, $30,000 per year.
“(ii) From 12/29/86 through 12/27/87, $33,000 per year.
“6. Except as superseded by the terms of this agreement, you are subject to, and agree to be bound by, all of the personnel policies and benefits as outlined in the KERO-TV handbook for employees, ‘McGraw-Hill Broadcasting Company and You,’ and all other KERO-TV policies and procedures.”
The employee handbook incorporated into the contract states a normal workweek is 40 hours and consists of five 8-hour days; payment is made for overtime work in excess of 40 hours per week and, in California, for hours worked in excess of 8 hours per day. The handbook also states in answer to the question, “[a]re you ‘exempt’ or ‘nonexempt’?”: “. . . If you are exempt, . . . [y]ou do not record your hours worked on a time-card. [