A class action lawsuit against Amazon was certified by the California Federal court in late September 2025. The lawsuit alleges that Amazon neglected to pay new employees for the time required during mandatory onboarding activities.
New employees were required to complete I-9 forms, undergo background checks and drug tests, have their photo taken for a badge, and attend a welcome presentation. One of the central questions in this lawsuit is: when does onboarding become work?
When Time Becomes Work
California labor law stipulates that if an employee is under the company’s control or performing tasks for the company’s benefit, the employer must compensate the employee for that time. This rule applies even when the employee is not actively performing the duties defined in their job description, and if the employment hasn’t officially started. In simple terms, if your employer tells you where to be, what to do, and when to do it, that time usually needs to be compensated under California law.
On the other hand, the Federal Law, as described in the Fair Labor Standards Act (FLSA), has a more limited definition. The FLSA focuses on whether the activities performed were “integral and indispensable” to the employee’s primary job duties. This distinction could imply that some pre-shift or post-shift tasks, such as security checks, may not qualify as paid work under federal standards, even though California law might treat them as compensable.
What Workers Say Happened
According to the plaintiffs in this case, new hires were required to attend unpaid onboarding sessions lasting 30-60 minutes before starting their paid shifts. These sessions were mandatory for new hires in California and may have involved tasks for Amazon’s internal benefit. Workers joining the lawsuit are moving to hold the company responsible for their unpaid time.
Amazon’s Position
Amazon holds that much of the onboarding activities performed during the meetings hosted by the company involved legally required screenings that typically take place before employment officially begins. With this reasoning, Amazon argues that it does not have to pay for the time new hires spend at the mandatory onboarding events.
The Court’s Split Decision
The California court certified a class action allowing affected employees to seek compensation. However, the court says that not all activities during the onboarding event are compensable. Time spent on badge photos and welcome presentations may be compensable. On the other hand, time spent on I-9s, background checks and drug tests is not.
Beyond the Amazon Lawsuit
While Amazon’s actions requiring unpaid time by their employees are questionable, they are hardly the only employers that incur in such practices. Unpaid time is an issue that occurs throughout the United States and across various industries, including retail, manufacturing, healthcare, and logistics. The outcome of the Amazon lawsuit could shape how employers structure onboarding in other states.
Notwithstanding, it is always wise for employees to keep a record of the time they work, including mandatory pre-shift and post-shift activities. Similarly, employers may be able to avoid lawsuits for unpaid wages by reviewing their work and onboarding procedures to ensure employees are being paid for all mandatory and work-related tasks. Beyond avoiding lawsuits, compensating employees adequately could help companies by boosting morale in the workplace.
Respecting Workers’ Time
When people seek employment, they think of earning a fair wage. The Amazon lawsuit is about pursuing fairness in the workplace, ensuring that companies pay their employees for the time they work. It’s not about punishing Amazon; it’s about avoiding practices that take an unfair advantage of employees. Onboarding is the first impression an employer makes in the workplace, and that impression should start with fairness and transparency. If you believe you weren’t paid all the time you worked, our attorneys can help you understand your rights and legal options.