Question presented
“Parts and support” is an organizational label, not a legal category. One dealership may group parts-counter employees, drivers, porters, detailers, BDC representatives, office staff, and vendor crews even though their duties, employer entities, locations, schedules, and pay formulas differ.
The question is which path applies to each person and period. That requires a roster: employer, location, establishment activity, weekly duties, promised compensation unit, and available work and expense records.
Rule architecture
FLSA section 13(b)(10) contains a federal overtime route for a qualifying “partsman” at a qualifying nonmanufacturing establishment primarily engaged in selling vehicles to ultimate purchasers. Section 779.372 ties the category to actual parts functions and defines “primarily engaged” as more than half of the employee’s time in the workweek. A title is insufficient. Requisitioning, stocking, and dispensing parts must be separated from delivery, cashiering, clerical, cleaning, and other work using credible weekly evidence.
That partsman route affects federal overtime only. Federal minimum wage, hours-worked principles, and record duties remain. Porters, detailers, BDC agents, shuttle drivers, office employees, and vendor personnel require their own coverage analysis. Any different federal overtime route needs its own predicates. When federal overtime is due, mixed and incentive pay must be classified for the Part 778 regular-rate calculation.
California does not inherit the federal result. Its daily and weekly overtime, minimum-wage, time, break, record, and expense rules remain separate. Dealer- or gas-station-connected repair generally routes to Wage Order 7, while a standalone repair garage generally routes to Wage Order 9. Multiple entities may share a campus, so an address is not decisive.
The next classification is the pay unit. A parts-sales percentage may be commission compensation, a per-delivered-part amount may be piece-rate compensation, and an appointment or CSI payment may instead be a production bonus or another incentive. The formula, earning event, and relation to a sale or unit matter more than the earning-code name. When piece-rate work occurs in a California pay period, Labor Code section 226.2 adds separate rest/recovery and other-nonproductive-time requirements and specified records. It does not turn every minute without a unit into nonproductive time; hours worked and direct relation to the piece-paid activity come first.
Time analysis is role-specific. Opening the parts cage, pre-punch car movement, required logins, post-shift calls, shuttle inspections, training, and closing inventory may be work depending on control and knowledge. System events establish activity at points, not continuous intervals. Meal records and rest evidence remain separate; a missing rest punch does not show a missed rest, and any section 226.7 premium requires its own provision and rate analysis.
Worker identity supplies another branch. Labor Code section 2775 generally starts with California’s ABC framework, subject to statutory exceptions and any alternative test they invoke. A 1099, vendor corporation, or invoice is not itself the test. Vendor status and any client-employer route are distinct inquiries.
Expenses do not collapse into wage classification. Labor Code section 2802 addresses necessary expenditures caused by duties or direction, and section 2804 prevents contractual waiver of that protection. Wage Orders 7 and 9 separately address uniforms and tools. Twice the 2026 statewide minimum is $33.80, but the hand-tool rule still depends on the governing order, actual earnings, item category, and apprenticeship facts. Shop equipment, safety items, phones, and mileage require separate treatment.
Decision sequence
- Build a person-level roster. Record the employing and paying entity, location, manager, schedule, job label, actual recurring duties, pay method, and any vendor relationship.
- Classify the establishment. Determine the dealership or standalone connection, principal business activity, ultimate-purchaser sales facts, and Wage Order 7 or 9 route.
- Measure weekly duties. Use representative ordinary and unusual weeks to allocate parts functions and non-parts work. Preserve variation instead of averaging different employees together.
- Test federal routes. Apply section 13(b)(10) only to a qualifying partsman and establishment. Test any other federal overtime theory separately; retain minimum-wage, time, and record analysis.
- Classify every pay component. State its unit, formula, earning event, payment timing, and reversal condition before selecting hourly, piece-rate, commission, bonus, or mixed-plan rules.
- Reconstruct work and breaks. Align raw time with schedules, access, DMS, CRM, phones, vehicle systems, delivery records, and manager knowledge. Separate meal proof from rest proof.
- Test identity and expenses. Apply the correct employee-contractor branch, then trace each required item or trip from direction and receipt through reimbursement and payroll.
Evidence map
Establishment and duty proof includes entity records, licenses, sales mix, descriptions, interviews, schedules, and sampled weekly activity. Descriptions cannot replace actual-duty evidence. Raw punches and edits, meal entries, access logs, DMS or CRM events, calls, telematics, and alarm data can corroborate sequence and knowledge without proving every minute between events.
Role-specific output records include parts tickets, inventory scans, delivery logs, detailed vehicles, appointments, warranty claims, and office transactions. The plan identifies the promised unit and formula; payroll and statements show what was paid and reported. Those records do not alone establish the formula’s legal classification.
For vendor personnel, gather contracts, invoices, worker agreements, staffing and supervision evidence, equipment ownership, schedules, and onsite control. For expenses, align directions with receipts, mileage, device use, required items, earnings, apprenticeship facts, and reimbursement lines.
Worked example
Assume one franchised dealership uses the same “support” cost center for four people. A parts-counter employee spends a sampled week 60 percent requisitioning, stocking, and dispensing vehicle parts, 15 percent processing warranty returns, and 25 percent making deliveries. Those records may support the actual-duty portion of the federal partsman route, but the establishment’s vehicle-sales facts and the treatment of the remaining duties still require review. Even if the route is supported, California overtime and the other state rules remain.
A porter receives $20 per hour plus $5 for each vehicle prepared for delivery. The $5 amount could be piece-rate compensation if the actual formula pays a defined completed unit. If piece-rate work occurred, the analyst should test section 226.2 using clock time, vehicle records, the plan, rest compensation, other nonproductive activities, and statement fields. It would be premature to label every minute without a completed vehicle as nonproductive; moving vehicles, obtaining supplies, and preparation steps may be directly related to the unit, while a mandatory all-hands meeting may fall elsewhere.
A remote BDC representative receives $25 for each appointment that appears and must use a personal phone. The payment could require commission, piece-rate, or bonus analysis depending on its formula and connection to a sale; “appointment commission” does not decide it. CRM events can corroborate unrecorded activity but not continuous hours. Phone use creates a separate section 2802 inquiry under Cochran into necessity, notice, method, and amount.
Finally, a detailer is paid through a vendor that invoices per car, while dealership managers assign cars, sequence work, inspect results, and control access to the worksite. The invoice and vendor entity are evidence, not the employee-classification result. Section 2775’s applicable path, any exception, and any client-employer question must be tested from the complete relationship. The porter, BDC representative, and detailer cannot inherit the parts-counter employee’s federal analysis merely because all four appear in one cost center.
Strategic implications
For a dealer, the best control is a role matrix linked to period records. Payroll and operations should agree on employer entity, wage order, duty branch, compensation unit, time-capture path, and expense owner before assigning earning codes. Vendor oversight should preserve contracting boundaries and actual operating facts rather than rely on paper labels. Sampling by role also prevents a genuine partsman analysis from spreading to dissimilar support jobs.
For a worker, the useful evidence is specific to the asserted issue: dated duties for a federal route, punches and corroborating events for time, unit records and plan versions for incentive pay, meal records and rest circumstances for breaks, and directions plus receipts for expenses. Recording which manager directed a task or required an item often matters more than a broad statement that the department was busy.
Both sides should reconcile ordinary, inventory, promotion, and short-staffed weeks to see whether duties and time capture materially change.
Analysis limits
This framework does not decide a worker’s employer, wage order, federal overtime route, pay-method classification, hours, break facts, or reimbursement amount. It does not determine whether a statutory contractor exception applies, whether a client is an employer, or whether a particular item is a customary hand tool, uniform, safety device, or shop equipment. Remedies, penalties, mental-state requirements, limitations periods, local rates, and authority after the source-check date require separate verification.
Primary authority
The federal nodes are FLSA sections 6, 7, and 13(b)(10), 29 C.F.R. section 779.372, Part 785, and Part 778. California nodes include Labor Code sections 226.2, 226.7, 2775, 2802, 2804, 510, and 1174; Wage Orders 7 and 9; MW-2026; DIR’s wage-order guide; and Cochran v. Schwan’s Home Service. The authority panel supplies official links and the proposition and limit attached to each source.
Evidence boundaries 7 domains
Verify the inference
Evidence domains used in this guide
Time proof
- Raw punches and edit audit trail
- Schedules, meal punches, attestations, and waivers
- Can establish
- Recorded work intervals, facial meal timing, schedule expectations, and who changed a punch for a stated reason.
- Cannot establish alone
- The complete span of controlled or suffered-permitted work, off-clock activity, or whether an authorized rest was actually provided.
System activity
- DMS, CRM, repair-order, OEM training, access, and alarm timestamps
- Messages, email, phone, device, and workstation events
- Can establish
- Activity at identified points, sequence, employer knowledge, regularity, and potential contradictions in the scheduled or recorded day.
- Cannot establish alone
- Continuous work between events, the legal character of every interval, or the amount of uncompensated time without a reasonable inferential method.
Output and transaction proof
- Flag ledger, repair orders, parts tickets, and warranty events
- Deal jackets, delivery, funding, cancellation, return, and reversal records
- Can establish
- Units produced, transactions, attribution, timing, identified reversals, and the output or deal events used by a pay formula.
- Cannot establish alone
- All hours worked, whether a component is legally a commission or piece rate, or whether a debit from pay is permitted.
Pay proof
- Payroll register, wage statements, earning codes, and rate tables
- Draw reconciliations, bonus or spiff tables, premiums, and later true-ups
- Can establish
- Amounts paid, dates, rates and codes used, statement presentation, reconciliations, and changes between original and later payroll.
- Cannot establish alone
- Whether missing work occurred, whether every payment was correctly classified, or whether a written earning condition is valid and satisfied.
Plan proof
- Signed commission plan, receipt, effective versions, and amendments
- Piece-rate or incentive formula, policies, guarantees, and deduction terms
- Can establish
- The promised pay unit, written earning condition, formula, effective version, receipt, and stated treatment of advances or later events.
- Cannot establish alone
- Actual practice, actual duties, complete hours, whether a condition occurred, or whether a term satisfies every applicable wage rule.
Establishment and duty proof
- Legal entities, dealer or franchise connection, business activity and sales records
- Job descriptions, actual-duty samples, schedules, and time allocation
- Can establish
- Facts used to select a wage order, retail-establishment status, dealership status, employer identity, and duty-based exemption route.
- Cannot establish alone
- Pay accuracy for a period, the regular rate, hours worked, or whether the written job description matches actual work.
Expense proof
- Required-item inventory, policies, receipts, mileage, device, and subscription records
- Reimbursement calculations, payment lines, apprentice status, and employee earnings
- Can establish
- What the work required, employee expenditure, amount, reimbursement method, earnings threshold, item category, and payment made.
- Cannot establish alone
- Whether an expense was legally necessary or whether a wage-order hand-tool exception applies without direction, item, establishment, and earnings facts.