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| Profit-based Bonus Plan Can Include Worker’s Compensation Expenses |
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The California Supreme Court upheld that an employee bonus plan which was based on a profit figure reduced by employer expenses, on of which was worker’s compensation costs. The court determined including worker’s compensation costs in the profit calculation did not illegally shift employer-costs to employees or otherwise violate wage protection laws. Prachasaisoradej v. Ralphs Grocery (2007) 42 Cal.4th 217
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