In this guide10 sections
- Who Wage Order 1 covers
- Which wage order applies to me? Industry vs. occupation
- Exemptions: who is not protected by the hours rules
- Hours, overtime and alternative workweeks
- Meal and rest breaks
- Minimum wage, reporting time and split-shift pay
- Uniforms, tools, deductions and meals and lodging
- Seats, temperature, change rooms and records
- What to do if your employer is violating Order 1
- Frequently asked questions
California Wage Order 1 (IWC Order No. 1-2001) sets the wage, hour and working-condition rules for people employed in the manufacturing industry, from assembly-line and machine operators to the office staff of a manufacturing company. It covers overtime, alternative workweeks, meal and rest breaks, reporting-time and split-shift pay, uniforms and tools, meal and lodging credits, seating, temperature and recordkeeping.
The order is enforceable law. Under Labor Code section 1198, the hours and working conditions it sets are the legal standard, and employing someone under conditions the order prohibits is unlawful. A single missed meal break is worth an extra hour of pay, and those hours add up over the three years you generally have to bring a wage claim.
This guide explains who Order 1 covers, which numbers later state law has updated, and what each section means for your paycheck, based on the official text the Department of Industrial Relations (DIR) posts as of October 2026.
- Wage Order 1 covers the manufacturing industry, including the office, warehouse and cafeteria staff of a manufacturing business.
- Overtime is owed after 8 hours a day or 40 a week, with double time after 12 hours, unless a valid alternative workweek was adopted by a two-thirds secret ballot.
- The printed minimum wage is $16.90 in 2026 and becomes $17.40 on January 1, 2027; higher city rates and the Labor Code control where they give you more.
- Exempt status requires the duties tests and a salary of at least $70,304 a year in 2026.
- Each missed meal or rest period earns one extra hour of pay, and most wage claims must be brought within three years.
Who Wage Order 1 covers
Order 1 defines the manufacturing industry as any business operated to prepare, produce, make, alter, repair, finish, process, inspect, handle, assemble, wrap, bottle or package goods, in whole or in part. It does not cover activities that fall under the more specific orders for canning, freezing and preserving (Order 3), handling products after harvest (Order 8), preparing agricultural products for market on the farm (Order 13), or the motion picture industry (Order 12).
The Labor Commissioner’s classification guide, Which IWC Order?, lists examples such as aircraft, auto, apparel and electronics manufacturing; food manufacturing such as non-retail bakeries, breweries, soft-drink bottling and tortilla makers; dental and optical labs; sheet metal shops; sawmills; oil and sugar refineries; printing and publishing; shoe manufacturing and repair; recycling plants that process material; and electrical utilities.
Coverage follows the business, not your job title. If the company’s main purpose is manufacturing, Order 1 generally covers everyone it employs, including the receptionist, the bookkeeper, the warehouse crew and the worker in the factory cafeteria.
Which wage order applies to me? Industry vs. occupation
California has 17 wage orders. Most are industry orders; five are occupation orders (Orders 4, 14, 15, 16 and 17). The Labor Commissioner’s rule: first ask whether your employer’s business is covered by an industry order. Only if it is not do you look to an occupation order.
- Main purpose controls. A manufacturer that also runs a sales office is still an Order 1 business.
- Separate operations can differ. Distinct operations of one company may fall under different orders if they serve different purposes and are managed separately at all levels.
- Same job, different order. An office assistant at a carmaker is under Order 1; the same assistant at a law firm is under Wage Order 4, because a law firm is not covered by an industry order.
The guide is persuasive but not binding on courts, so have a lawyer review close cases.
Exemptions: who is not protected by the hours rules
- Executive, administrative and professional employees are exempt from sections 3 through 12 only if they meet the duties tests and earn a monthly salary of at least two times the state minimum wage for full-time work. In 2026 that is $70,304 a year ($16.90 × 40 × 52 × 2); it rises to $72,384 on January 1, 2027.
- Hourly computer software employees can be exempt only if they meet strict duties tests and earn at least $58.85 an hour in 2026, the rate DIR set under Labor Code 515.5.
- Outside salespersons, the employer’s parent, spouse or child, and national service participants such as AmeriCorps members are excluded. Government employees are covered only by sections 1, 2, 4, 10 and 20.
A job title does not make you exempt. If you spend most of your time on production, inspection or routine office work, you are probably owed overtime. See our guide to misclassified exempt employees.
Missed breaks, unpaid overtime and off-the-clock work add up fast. Get a free, confidential case review.
Hours, overtime and alternative workweeks
Section 3 of Order 1 tracks Labor Code 510. Nonexempt adults must be paid 1.5 times the regular rate for hours over 8 in a workday, over 40 in a workweek, and for the first 8 hours on the seventh consecutive day of work, and double the regular rate for hours over 12 in a day and over 8 on the seventh consecutive day.
An employer may adopt an alternative workweek schedule of up to 10 hours a day within a 40-hour week without daily overtime, but only through a secret-ballot election approved by at least two-thirds of the affected employees in a work unit, after written disclosure and a noticed meeting at least 14 days before the vote, with results reported to DIR within 30 days. The schedule must provide at least four hours in any shift and two consecutive days off, and hours beyond the agreed schedule still earn overtime. See our guide to alternative workweeks and long shifts.
💡 Example: Ana runs a CNC machine at $24 an hour. One Tuesday she works 10 hours with no alternative workweek in place. She is owed 8 × $24 = $192 plus 2 × $36 = $72 in overtime, a total of $264. Under a valid 10-hour alternative workweek, all 10 hours would be straight time ($240), but an 11th hour would be paid at $36.
Meal and rest breaks
You must get a 30-minute meal period for a work period of more than five hours; it can be waived by mutual consent only if six hours or less completes the day. A second 30-minute meal period is required after 10 hours; it can be waived only if you work 12 hours or less and did not waive the first. Unless you are relieved of all duty, the meal period counts as time worked, and an “on duty” meal is allowed only when the nature of the work prevents relief and you agreed in writing, which you can revoke at any time. Order 1 also lets the parties to a union contract set a meal period that starts after no more than six hours.
Rest periods are 10 paid minutes for every four hours worked “or major fraction thereof,” near the middle of each work period where practicable. None is required if you work less than three and a half hours.
For each workday a required meal or rest period is not provided, your employer owes one additional hour of pay at your regular rate of compensation (Labor Code 226.7). See California meal and rest break premiums. On shifts that begin or end between 10 p.m. and 6 a.m., Order 1 also requires a way to get or heat hot food and drink and a sheltered place to eat.
Minimum wage, reporting time and split-shift pay
Section 4 of the 2026 order prints the state minimum wage of $16.90 an hour for every employer regardless of size. DIR amends those printed figures each year under Labor Code 1182.13 and has announced $17.40 from January 1, 2027. Many cities require more, and the higher rate controls; see California minimum wage by city. Piece-rate and commission pay must still equal at least minimum wage for all hours worked.
Reporting-time pay: if you report for a scheduled shift and get less than half of it, you are owed half the scheduled day, at least two and no more than four hours, at your regular rate. A second call-in the same day with less than two hours of work earns two hours. Exceptions: threats to people or property, a recommendation from civil authorities, a utility failure, or an act of God or other cause outside the employer’s control.
Split-shift pay: when your workday is broken by an unpaid, non-working period set by the employer (other than a real meal or rest break), you are owed one hour’s pay at minimum wage on top of the minimum wage for that day, unless you live at the workplace. See split-shift and reporting-time pay or use our wage and hour calculator.
Uniforms, tools, deductions and meals and lodging
- Uniforms: a required uniform (apparel or accessories of distinctive design or color) must be provided and maintained by the employer. Protective apparel regulated by Cal/OSHA falls under those standards instead.
- Tools: required tools and equipment must be provided and maintained by the employer, except that an employee earning at least twice the minimum wage can be required to supply hand tools customarily required by the trade. Labor Code 2802 also requires reimbursement of necessary work expenses.
- Shortages and breakage: no deductions unless the loss was caused by a dishonest or willful act or gross negligence, and never for normal wear and tear.
- Meals and lodging credits: allowed toward minimum wage only under a voluntary written agreement and only up to DIR’s 2026 amounts: breakfast $6.10, lunch $8.42, dinner $11.28; a room occupied alone $79.46 a week, a shared room $65.59 a week; an apartment at two-thirds of rental value up to $954.43 a month ($1,411.85 if a couple both work for the employer).
Seats, temperature, change rooms and records
| Section | What Order 1 requires |
|---|---|
| 13. Change rooms, resting facilities | Lockers or equivalent; change rooms when the job requires changing; resting areas separate from toilet rooms |
| 14. Seats | Suitable seats when the work reasonably permits; nearby seats for standing jobs during downtime |
| 15. Temperature | Reasonable comfort; all feasible means to reduce excessive heat or humidity; a heated room of at least 68°F when work requires temperatures under 60°F |
| 16. Elevators | Adequate elevator or similar service when you work four floors or more above or below ground |
| 7. Records | Start and end of each work period, meal periods, split-shift intervals and daily hours, kept at least three years and available to you on reasonable request |
The order’s pay-stub section lists only a few items, but Labor Code 226 requires much more, including total hours worked, every rate and the hours at each rate, and only the last four digits of your Social Security number. Where the Labor Code gives you more, it controls. Cal/OSHA’s indoor heat illness standard also applies to indoor work areas that reach 82°F.
What to do if your employer is violating Order 1
- Confirm the order. Find the posted Order 1 notice and compare it with what actually happens.
- Keep your own records. Note start, stop and break times daily; your employer cannot forbid a personal record of your hours (Labor Code 1174).
- Request your time and payroll records, which you may inspect on reasonable request.
- Estimate what you are owed for overtime, missed breaks and reporting-time pay.
- Watch the deadline. Most wage claims must be brought within three years (Code of Civil Procedure 338), four in some cases.
- Get advice on a Labor Commissioner claim versus a lawsuit. Retaliation for complaining about pay is illegal.
Frequently asked questions
Does Wage Order 1 cover office workers at a factory?
Generally yes. Industry orders cover all employees of a business in that industry; the Labor Commissioner’s own example is an office assistant at an auto manufacturer, who falls under Order 1 rather than Order 4.
Is the minimum wage in Wage Order 1 still accurate?
The 2026 posting shows $16.90, which matches state law. It becomes $17.40 on January 1, 2027, and a higher local minimum wage always controls.
Can my plant make me work 10-hour days without overtime?
Only under a valid alternative workweek adopted by a two-thirds secret-ballot vote after proper disclosure and reported to DIR. Without one, hours over eight in a day earn overtime.
What penalties apply to wage order violations?
Besides back wages and break premiums, Labor Code 558 provides civil penalties of $50 per underpaid employee per pay period for a first violation and $100 for later ones, plus the unpaid wages, which go to the employee.
Where can I read the other wage orders?
DIR posts all of them at dir.ca.gov/iwc. In this series, see Wage Order 3 (canning, freezing and preserving) and Wage Order 6 (laundry and dry cleaning).
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