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ARTICLE · 23 DECEMBER 2021

Volunteer Loses Bid For Employee Classification

Allen Matkins Leck Gamble Mallory & Natsis LLP
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Nonprofit organizations depend heavily upon their volunteers. What if a court were to hold that volunteers were in fact employees entitled to minimum and overtime wages, meal and rest breaks...

United StatesEmployment and HR

Nonprofit organizations depend heavily upon their volunteers.  What if a court were to hold that volunteers were in fact employees  entitled to minimum and overtime wages, meal and rest breaks, wage statements and other benefits required by law?  The impact of such a ruling would likely result in the demise of many nonprofit organizations and their programs.   

Ms. Laurie Woods worked as a volunteer for the American Film Institute for four days.  She later filed a putative class action against the AFI contending that she and other volunteers were actually employees.   While Ms. Woods did not dispute that some nonprofit organizations may use volunteer labor, she argued that only organization dedicated to helping the poor or the "needy or suffering" could do so.  The Court of Appeal disagreed finding that her position lacked "any legal support or policy justification".  Woods v. American Film Institute,  2021 Cal. App. LEXIS 1061.  

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