If Test is Met, Nonprofits Can Use Volunteers Without Violating California Wage Laws

Many nonprofits must rely on individuals volunteering their time in lieu of a paid staff. Last month, a California appellate court, in Spilman v. The Salvation Army, adopted the following two-part test to relieve nonprofits of potential wage and hour liability:

Did the worker freely agree to serve for personal or charitable purposes, not compensation, and is the nonprofit’s use of unpaid labor a subterfuge to evade wage laws.