Calif. Court Rules Businesses Must Reimburse Cell Phone Bills
New submitter dszd0g writes The Court of Appeal of the State of California has ruled in Cochran v. Schwan's Home Service that California businesses must reimburse employees who BYOD for work. "We hold that when employees must use their personal cell phones for work-related calls, Labor Code section 2802 requires the employer to reimburse them. Whether the employees have cell phone plans with unlimited minutes or limited minutes, the reimbursement owed is a reasonable percentage of their cell phone bills." Forbes recommends businesses that require cell phone use for employees either provide cell phones to employees or establish forms for reimbursement, and that businesses that do not require cell phones establish a formal policy.
Not uncommon for a salesman to have two cell phones. One provided by the company, and their personal. Aside from the PITA of packing and charging both devices, it makes since to keep both the phone numbers and billing separate.
Life is not for the lazy.
"From now on you are NOT to use your personal cellphones or other mobile devices for any work purposes. You will not be reimbursed. Use a payphone instead, and present all receipts to accounting for prompt reimbursement. Thank you for your help as we prioritize our cost metrics and structure our teamgroups toward innovative human-centered investment"
Should companies pay for part of the cable bill when employee are required to work from home?
To me it all centers around: Was BYOD optional?
If they offered a company device and you refused, then i say you are on your own.
If they didnt offer one but you NEED it to do your job, then i say they are on the hook, as well as tax credit ramifications.
If they dont offer and you only use it as its a convenience to make your life easier, then again, you are on your own.
Furthermore, if you are optionally using your device for office work, they get to mandate policy on its use, up to and including MDM type control.
BYOD is just a bad idea. Companies should give employees the tools they need for their job, and forbid personal devices.
---- Booth was a patriot ----
I've seen this before at a company in California. My company would only reimburse for work related calls.
You couldn't just submit the entire bill for reimbursement, as if you called your wife and kids 50% of the time you couldn't get reimbursed for that.
We were required to take the physical bill and cross out those calls which were personal so you could demonstrate what % of the bill was work related vs. personal. Doing this for what could be hundreds of calls per month caused people to just not reimburse their usage as it was too much of a pain to do.
This isn't the tool (cellphone is to hammer) - this is the consumables (minutes is to nails).
W..w..W - Willy Waterloo washes Warren Wiggins who is washing Waldo Woo.
This is what I don't understand about companies. They are too cheap to just reimburse you at a flat $50 rate for your cell phone, and so they will require you, an employee that costs them probably $100-$200 an hour, to go through and cross out the non-work related calls, then they will require someone else in HR who costs about the same to crosscheck what you did to make sure you are not lying, then they will reimburse you $45 because the phone bill was $90 and half the calls were company related. Total dollars recovered? $5. Dollars spent saving that money? $50-$100.
It is the same way with travel. Rather than give you a per diem of $100, they want itemized receipts, which you have to collect, enter into the system, submit, your manager has to review and approve, and then Travel has to audit and approve. All because they don't want you to go eat Ramen and pocket the other $97. They spend thousands of dollars of company time to save a few hundred dollars on travel expenses.
If you are not allowed to question your government then the government has answered your question.
In fact, they probably are quietly applauding the court's decision. Because the IRS.
The Internal Revenue Service frequently nit-picks employee reimbursement and compensation decisions to death. Pay some key personnel for expenses incurred and some auditor will nit-pick the decision to death. Taxable, not taxable. Reasonable business expense vs discretionary employee benefit. Screw it. The courts has ruled. We have to pay our employees. So you lousy auditors can crawl back into your rat-holes and stay out of private business decisions.
Have gnu, will travel.