Bloomberg Law:

Apple Inc. violated California law when it failed to pay employees for time they spend waiting for mandatory bag and iPhone searches at the end of their shifts, the California Supreme Court ruled.

The Feb. 13 decision is the latest in the battle over pay for off-the-clock work and marks the California high court’s third wage and hour opinion in two years interpreting the state’s employee-protective wage requirements. Apple won at the trial level in U.S. District Court for the Northern District of California, which said employees of the Cupertino, Calif., tech company chose to bring bags to work and thus subject themselves to the company’s search policy. On appeal, the U.S. Court of Appeals for the Ninth Circuit turned to the state court to interpret California law.

Compensation turns on the issue of whether the employee is controlled by the employer. Apple workers “are clearly under Apple’s control while awaiting, and during, the exit searches,” Chief Justice Tani Cantil-Sakauye said.

This case is an excellent example of the fact that, while Apple appears customer friendly, they have some very employee unfriendly policies.