Yesterday the state Supreme Court ruled that piece-rate workers must be paid separately for rest breaks. Further, such workers must be paid at least the minimum wage for the time spent on break, or their regular rate of pay, whichever is greater.

Many agricultural workers are paid on a piece-rate basis (e.g., per bin of fruit picked). Previously, although such workers have been entitled to breaks, their employers were not required to pay them additionally for that time. (The relevant section of the Washington Administrative Code is 296-131-020.)

A brief in the case filed by the Association of Washington Business, Washington Farm Bureau Federation, and Western Growers Association argued that the piece rate already factors in compensation for rest breaks.

The Yakima Herald-Republic writes about the costs of the decision:

“What this means is a higher cost of production,” said Mike Gempler, executive director of the Washington Growers League, a Yakima association that represents farmers in labor issues. . . .

The extra labor costs could add up quickly for Central Washington fruit growers, who paid $915 million in wages in 2013, according to the most recent statistics from the state Employment Security Department.

. . . the rest-break ruling could add about $1 per apple bin to the cost of harvest, based on 2013 piece rate wages, and the industry has been harvesting in the neighborhood of 6 million bins a year recently. At that rate, apple growers alone could be on the hook for an extra $6 million per year.

The decision may affect other industries as well, as a Yakima Herald-Republic story on the case from earlier this year noted:

The U.S. District Court certified that issue to the state Supreme Court because state courts have never tackled the topic and the outcome could have widespread ramifications on Washington employers and workers.