By Susan Breslauer, SPHR, PHRca
Many businesses appreciate employees who volunteer in their communities, and may welcome volunteers, interns, or community members to help with events and special projects. However, volunteers are only permitted in for-profit companies in limited circumstances. In the DLSE Enforcement Manual, it states, “Volunteers, who intend to donate their services to religious, charitable, or similar non-profit corporations without contemplation of pay and for public service, religious, or humanitarian objectives, are not employees.” (O.L. 1988. 10.27) In California, whether in a for-profit or non-profit business, calling someone a “volunteer” does not necessarily make them one. Separate standards distinguish volunteers from employees.
For employers, the distinction matters because California wage and hour laws generally apply to employees; this includes minimum wage, overtime, meal periods and rest breaks, and other workplace protections.
Workplace Laws and Rules Still May Apply
Even when someone isn’t an employee for wage and hour purposes, other workplace laws may still apply. California’s Civil Rights Department expressly states that harassment protections extend to interns and volunteers. That means when utilizing volunteers, business owners, supervisors, managers, and Human Resources (“HR”) should still think about anti-harassment, discrimination and retaliation and related complaint procedures, appropriate supervision and training, workplace conduct, safety and security, confidentiality and appropriate boundaries.
Before you can determine which laws apply, you need to know which classification the individual fits in.
Red Flags: When a Volunteer Starts Looking Like an Employee
You may want to revisit the unpaid volunteer status of an individual if they: fill an employee vacancy; perform the same work as paid employees or as a part of the organization’s regular business operations; are required to work a regular, set schedule; serve in an ongoing position rather than occasional service; are supervised and have the same productivity or performance requirements as an employee; or receive compensation-like stipends or benefits.
What About Employees Who Volunteer?
This distinction is important for managers to consider. An employee who chooses to volunteer for a company-sponsored charitable activity is still an employee. Employers should not assume that labeling the activity “volunteer work” means the employee’s time is automatically unpaid.
Similarly, employers should avoid asking employees to perform their normal job duties “off-the-clock” as volunteer work.
A Good 2026 HR Checkup
For non-profit organizations, review volunteer roles and confirm that they are structured around genuine volunteer service rather than replacing paid positions. For all employers, don’t assume “volunteer” means “unpaid.” Look at the actual work and the relationship first. And while volunteer documentation is important, don’t rely on paperwork alone.
Misclassifying employees as volunteers can be very costly. Damages might include unpaid wages and overtime, penalties for missed meal periods and rest breaks, and fines for other California Labor Code violations.
When in doubt, involve HR before the work begins. Spending a few minutes reviewing the details up front can help prevent a much more complicated employment issue later.
If you have questions, please contact your Silvers HR Consultant.