WCIRB class code 2063 covers manufacturing operations that produce dairy products (milk processing, cheese, butter, yogurt) and in-plant ice production. The September 1, 2026 California pure premium rate for 2063 is $5.004 per $100 of payroll, a baseline used to estimate workers' compensation cost for plants and processing facilities.
This classification applies to on-site processing and packaging activities for fluid milk and manufactured dairy products as well as in-plant ice manufacturing (blocks, cubes, flake, and packaged ice). Typical operations include receiving and chilling raw milk, pasteurization and homogenization, cheese vats and butter churns, culturing and fermentation rooms, freeze tunnels and blast freezers, packaging lines, automated filling, and bulk storage. It also covers plant support functions performed inside the production facility such as sanitation/CIP crews, QA lab testing, maintenance on processing equipment, refrigeration system servicing, and material handling inside the plant. Drive-away delivery drivers or separate hauling operations are generally coded separately, while employees who perform loading/unloading and packaging inside the facility fall under 2063.
The WCIRB pure premium rate of $5.004 per $100 of payroll is the actuarial baseline the insurer uses to price expected claim costs for class code 2063. To estimate premium, multiply your payroll (divided by 100) by 5.004 — for example, $100,000 payroll yields about $5,004 in pure premium before modifiers. The final premium an employer pays will vary with experience modification (loss history), insurer adjustments, California assessments, payroll audits, deductible programs, and whether payroll is properly allocated across class codes.
Dairy and ice manufacturing must comply with California General Industry requirements including hazard communication, lockout/tagout for equipment servicing, confined space entry procedures for tanks and silos, and PPE for chemical handling and cold exposure. Refrigeration systems (especially ammonia-based) require leak detection plans, emergency response procedures and trained service personnel. Employers must also maintain required training records, injury/illness logs, and ensure forklift and machine-guarding compliance to reduce regulatory risk.
A PEO like Key HR can help California dairy and ice manufacturers lower workers' comp costs through classification accuracy, payroll reporting, and proactive loss control programs tailored to dairy operations (machine guarding, CIP safety, refrigeration response, forklift and confined space training). Key HR also provides dedicated claims management, nurse case management and return-to-work coordination to speed recovery, reduce indemnity exposure, and help improve experience modification over time.
Get a QuoteNo. On-farm milking and agricultural livestock operations are typically classified under farm/agriculture codes. Class 2063 applies to manufacturing and processing performed inside a dairy or ice production facility.
Implement machine guarding and lockout/tagout, formal CIP chemical training and HAZCOM, wet-floor controls and slip-resistant footwear, forklift operator certification, early-return-to-work light-duty programs, and accurate payroll classification to avoid misrating.
If sanitation workers are employees of the manufacturer performing in-plant cleaning, they are typically coded to 2063. Independent contractors who carry their own workers' comp coverage should be documented with certificates of insurance and contract language shifting liability.
Key HR provides pay-as-you-go workers' comp for California employers — no large deposits, no audits, better rates.
Get a Quoteor call (800) 922-4133Key HR provides California employers with pay-as-you-go workers' comp, HR compliance support, and payroll — all through one PEO partnership.