On-call scheduling: rules and alternatives
Under federal law, on-call time is paid work time when the employee must stay on your premises, and in most cases is not paid when they can wait at home or leave a message where they can be reached, per US DOL Fact Sheet #22. Several states and cities go further: New York City bans on-call shifts for covered retail, Oregon and Los Angeles require pay for an unused on-call shift, and California and New York require reporting or call-in pay when an employee reports for work and is sent home or given less work.
Fact Sheet #22 adds that further limits on the employee's freedom while on call could make the time payable. The table below covers the state and city rules.
On-call rules by place
| Place | Rule | Source |
|---|---|---|
| Federal (FLSA) | On call on the employer's premises = working; on call at home = not working in most cases | DOL Fact Sheet #22 (revised July 2008) |
| California | Reporting time pay: half the scheduled day, minimum 2 and maximum 4 hours, when an employee reports and gets under half the shift. Per the DLSE, being required to telephone the store two hours before a shift (as in Ward v. Tilly's, 2019) counts as reporting. | California DLSE |
| New York State | Call-in pay: an employee who reports for work by request or permission gets at least 4 hours, or the regular shift if shorter, at the basic minimum hourly wage | 12 NYCRR 142-2.3 |
| New York City, retail (20+ employees) | Cannot schedule on-call shifts; cannot cancel a shift with under 72 hours' notice | NYC DCWP |
| Oregon (500+ employees, retail/hospitality/food) | On-call shifts go on the posted schedule; if the employee is not called in, half the regular rate for each scheduled hour | Oregon BOLI |
| Los Angeles (retail, 300+ employees) | On-call shift not called in: hours not worked at half the regular rate | LA Office of Wage Standards |
| San Francisco (formula retail) | On-call shifts must be on the posted schedule, and unused on-call shifts must be paid; an on-call shift is one where the employee must contact or wait to hear from the employer less than 24 hours before it starts | SF OLSE FAQ |
What an unused on-call shift costs
Example (California): an employee scheduled for 8 hours is required to phone in two hours before the shift and is told not to come. Half the scheduled day is 4 hours, within the 2-to-4-hour range, so 4 hours of reporting time pay are due. At $18.00 an hour: 4 × $18.00 = $72.00.
Example (Oregon): a 6-hour on-call shift at $20.00 an hour, employee not called in: 0.5 × $20.00 × 6 = $60.00.
Example (New York State): an employee reports for a scheduled 6-hour shift and is sent home after 1 hour. Call-in pay is the lesser of 4 hours or the regular shift, so 4 hours at the basic minimum hourly wage are due for that day.
Four alternatives to on-call shifts
- A voluntary standby list. Oregon lets covered employers keep a list of employees who request or agree in writing to be offered extra hours for unexpected absences or customer demand. Employees on the list are told in writing how they will be contacted, that they may decline, and that hours accepted this way do not earn schedule-change pay. Any business can run a list like this as a policy.
- Offer open shifts to current staff first. Los Angeles retail rules require 72 hours' written notice of available hours to current qualified employees before hiring; the same order works as a house rule.
- Share staff across stores. With 2 or more locations, a scheduled person at a quieter store can move instead of someone waiting at home; drive time during the shift is paid (Fact Sheet #22). See sharing employees between stores.
- Schedule a short fixed shift instead. Under California reporting time pay rules, a regularly scheduled shift of less than two hours is outside the reporting time pay provision, per the DLSE.
For notice periods that apply to the full schedule, see how far in advance to post a schedule. When someone cannot make a shift, Assistlify staff can request time off from their phone, and the manager sees any overlapping shifts when approving.
This is general information, not legal advice. Check your state labor department for current rules.
This is general information, not legal advice. Check your state labor department for current rules.
Questions
Do employers have to pay for on-call time?
Under federal law, yes if the employee must stay on the employer's premises; on call at home is not working time in most cases, unless other constraints apply (DOL Fact Sheet #22).
Is on-call scheduling illegal in New York City?
For retail businesses with 20 or more employees selling consumer goods in NYC, yes: the DCWP says retail employers cannot schedule employees for on-call shifts.
Do I have to pay if I cancel an on-call shift in California?
If the employee is required to call in before the shift, the DLSE treats that as reporting for work, so reporting time pay of half the scheduled day (2 to 4 hours) can be due.
What is a voluntary standby list?
An Oregon option where employees request or agree in writing to be offered extra hours; hours they accept from the list do not earn schedule-change pay (Oregon BOLI).
Sources
- US DOL Fact Sheet #22: Hours Worked Under the FLSA (revised July 2008) (checked 2026-11-12)
- California DLSE: Reporting Time Pay FAQ (checked 2026-11-12)
- New York State DOL: Minimum Wage Order for Miscellaneous Industries and Occupations, 12 NYCRR Part 142 (as amended effective June 24, 2020) (checked 2026-11-12)
- NYC DCWP: Retail Workers' Rights page (checked 2026-11-12)
- NYC DCWP: Fair Workweek Law in Retail FAQ (dated 4/1/2022) (checked 2026-11-12)
- Oregon BOLI: Predictive Scheduling (checked 2026-11-12)
- City of Los Angeles Office of Wage Standards: Fair Work Week information (checked 2026-11-12)
- San Francisco OLSE: Formula Retail Employee Rights Ordinances FAQ (published August 5, 2015) (checked 2026-11-12)