Class Code 2003
Bakeries And Cracker Mfg
Class Code 2003 covers commercial bakeries and cracker manufacturing operations — from dough mixing and proofing to baking, cooling, packaging and palletizing. The September 1, 2026 approved pure premium rate for California is $6.077 per $100 of payroll, a baseline that directly affects workers' comp costs for employers in the sector.
What Class Code 2003 Covers
This classification applies to facilities where grain-based products are produced at scale: mixing and handling flour and other dry ingredients, dough processing (kneading, sheeting, extruding), proofing and fermentation, high-temperature baking, continuous or batch ovens, cooling tunnels, slicing, packaging, and palletizing for wholesale distribution. It also covers ancillary operations inside the plant such as ingredient receiving and storage (silos and bins), product inspection and quality control labs, routine sanitation and housekeeping of production areas, and in-plant maintenance of bakery equipment. Operations specific to cracker manufacturing — continuous extrusion, drying, flavoring, and lamination — are included. Office staff who work inside the manufacturing facility may be included under the same location but clerical-only work should be segregated for accurate payroll classification. Activities performed off-site (third-party deliveries or retail storefront sales where production is minimal) may require different class codes.
Who It Applies To
- Commercial wholesale bakeries producing bread, rolls, pastries, or crackers
- Co-packers and contract bakeries that produce for multiple brands
- Industrial cracker and snack manufacturers with continuous ovens and extruders
- Par-bake and frozen dough production facilities
- Plant production workers, packaging teams, and maintenance crews at bakery facilities
Common Job Duties
- Operating and monitoring large mixers, dough dividers, sheeters, and extruders
- Loading and unloading ovens, handling hot pans and trays, and operating cooling tunnels
- Packaging, labeling, palletizing, and preparing product for shipment
- Cleaning and sanitation of production lines, conveyors, silos and dust collection systems
- Routine mechanical maintenance and repairs requiring lockout/tagout procedures
- Material handling with forklifts, pallet jacks, and manual lifting of ingredient bags
Common Injury Risks
Understanding the $6.077 Rate
The pure premium rate of $6.077 per $100 of payroll is the base cost assigned to Code 2003 for September 1, 2026; to calculate the pure premium multiply your payroll for workers in this classification (divided by 100) by 6.077. Insurers then apply experience modification factors, schedule credits or debits, policy-level expense loads, state assessments, and any PEO or program discounts, so the actual premium an employer pays will be higher or lower depending on claims history, loss-control programs, payroll accuracy, and how many employees are coded to this class.
Cal/OSHA Compliance Requirements
Cal/OSHA requires an Injury and Illness Prevention Program (IIPP) for all manufacturing employers and enforces machine guarding, lockout/tagout for maintenance, and respiratory protection when flour or ingredient dusts create inhalation hazards. Bakeries must manage combustible dust risks with proper ventilation, industrial vacuuming rather than dry sweeping, and dust collection maintenance; hearing conservation, heat stress prevention and forklift/operator training are common regulatory compliance needs in bakery plants. Keep complete training records, OSHA 300 logs, and maintenance logs to demonstrate compliance during inspections.
How Key HR Helps Employers Under Class Code 2003
A PEO like Key HR can help bakery employers by auditing payroll to ensure correct classification, implementing industry-specific safety programs (IIPP, dust-control protocols, lockout/tagout and heat-stress procedures), and managing claims and return-to-work plans to limit lost-time. Key HR also provides on-site or virtual training, safety audits tailored to bakery hazards, and centralized workers' comp claims handling that can reduce experience-modifier impacts and overall workers' comp cost.
Get a QuoteFrequently Asked Questions
Does Class Code 2003 apply to small retail storefront bakeries that bake on-site?
It depends on the primary activity and scale. If the storefront’s main business is on-site production of baked goods (mixing, proofing and baking) the work is generally coded to 2003. If the operation is primarily retail sales with minimal baking, a different class code may apply. Have payroll and work tasks reviewed to ensure accurate classification.
Are delivery drivers covered under Class Code 2003?
No. Company drivers and route salespeople should be coded under the appropriate transportation or drivers' classification, not 2003. Separating payroll for drivers from plant production staff is important for accurate premium calculation.
What practical steps reduce workers' comp claims and premiums for bakeries?
Focus on controlling flour dust (industrial vacuums, enclosed conveying), machine guarding and LOTO enforcement, heat-stress controls near ovens, powered-lift and ergonomic adjustments to reduce repetitive strains, certified forklift training, prompt post-injury return-to-work programs, and thorough documentation of training and maintenance. These measures directly reduce claim frequency and severity, which lowers experience modifiers and premiums.
Quick Facts
- Class Code
- 2003
- Classification
- Bakeries And Cracker Mfg
- Pure Premium Rate
- $6.077 / $100 payroll
- Effective Date
- September 1, 2026
- Source
- WCIRB Approved Filing
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