Purpose: This group piece rate program is intended to reward Esparza Enterprises, Inc. Employees in the Grimmway Organic Vegetable Harvesting Division who
deliver high productivity and quality. Employees will share compensation based on the productivity of their crew. Each employee eligible for piece pay will be paid
based on the daily piece production of the entire crew. Separate from the group piece rate, eligible employees will be paid an hourly rate for any work time where
they cannot earn piece rate, known as non-productive time (“NPT”). Eligible employees will also be paid the average hourly rate or minimum wage, whichever is
greater, for rest and recovery periods in accordance with California Law.
Eligibility: All Esparza Enterprises, Inc. Employees with the job code FARM LABORER (or BUNCHING when designated) who work on a crew designated by
management for the Group Piece Program (Program), and who meet minimum productivity standards, will be eligible for the Program. Certain positions on the crew
may not be eligible for the Program and will be paid by the hour. For example, the following positions are not eligible for the Program: Foreman, Harvest Support
positions, and Truck Drivers. Other positions may be added to the excluded job list. Please see your Foreman if you have any questions about your position’s
eligibility.
Pay Details: For members of an eligible crew in the Program; each eligible employee will receive piece compensation for an average number of pieces packed by
the crew for that job. The average piece count per job is determined by the number of pieces packed by the crew divided by the number of hours worked by eligible
piece employees.
Crew Example-Piece Count Calculation:
- 168 pieces packed
- 10 employees worked 4 hours
- 1 employee worked 2 hours
- 168 pieces/42 hours = 4 pieces per hour
- 10 employees who worked 4 hours get credit for 16 pieces
- 1 employee who worked 2 hours gets credit for 8 pieces
Each crew’s piece productivity per job will be calculated from the total pieces packed per job by the total number of employee hours worked for the job. Each
employee will be credited a certain number of pieces based on their number of employee hours worked. An individual’s daily pay will be determined by evaluating
the pay for all piece jobs in a given day. The employee will be paid the greater of the piece compensation or hourly compensation (if the piece rate was not
achieved that day.)
Crews whose overall daily piece work productivity is equal to, or below, the minimum productivity standards will be paid at minimum wage (or the employee’s base
wage, whichever is higher) for the piece hours worked that day. Overtime will be paid in accordance with California Law. Other non-productive time will be paid as
hourly work, see explanation below.
Non-Productive Time (NPT): As noted above, separate from the group piece rate, eligible employees will be paid an hourly rate for any work time where they
cannot earn piece rate. This time is known as NPT. NPT will be paid at the employee’s base hourly rate and will not be included in the calculation of piece pay. The
following is a list of some tasks, but not all tasks, that would be paid at an hourly rate for NPT:
- Traveling between work locations.
- Attending meetings (e.g. safety meetings)
- Attending job trainings.
- Doing warm-up calisthenics.
- Donning and doffing personal protective equipment or protective clothing.
- Waiting for arrival of bins, boxes, or other containers in which crops are placed.
- Waiting for the repair or replacement of equipment necessary to harvest pieces.
- Waiting for weather or other environmental conditions to change so that piece-production work can start or resume.
- Other work time when scheduled to work but not able to earn piece rate.
Meal and Rest Periods: Organic harvest crews must take their meal and rest periods in accordance with Company Policy and California Law. To ensure
employees to take their meal and rest periods, productivity standards are based on the time a crew is physically working so employees can take their meal and rest
periods without taking away from their opportunity to earn piece pay.
As stated above, eligible employees will also be paid the average hourly rate, or minimum wage, whichever is greater, for rest and recovery periods. The average
hourly rate for rest and recovery periods is calculated by dividing the total compensation for the workweek, exclusive of compensation for rest and recovery periods
and any premium compensation for overtime, by the total hours worked during the workweek, exclusive of rest and recovery periods.
Promoting Safety and Rewarding Teamwork: Employees must still follow all Company safety, quality, and food safety procedures and requirements. If an
employee commits an un-safe act while working (whether the act results in an accident or incident), the crew foreman or management will evaluate further program
eligibility and ongoing employment status.
Posted Performance: Daily crew performance by commodity will be posted at the worksite and available in writing upon request.
End of Employment: When an eligible employee leaves the Company mid-week, the employees pay will be determined based on any piece incentives earned to
date. Employee will be paid all wages owed.
When earned, piece rate payments will be included in the calculation of the following: (1) the regular rate for overtime, if worked; (2) paid rest periods as
defined above; (3) sick leave, if taken; and (4) meal/rest period premiums earned in the work week the piece rate is earned in accordance with California Law.
Program Changes: The Company reserves the right to make changes to the Program. Any changes will be announced prior to the effective date and will be
available in writing from your Foreman.
Questions: If you have any questions about the Group Piece Program, please speak to your crew Foreman or Supervisor or a Human Resources Representative.
By signing below, as an employee of Esparza Enterprises, Inc., I have read and I understand all the above, and I agree to all the above.