Class code 3178 applies to California employers that manufacture electronic elements and small electronic components. Work includes assembly, soldering, coating, testing and packaging of parts; the September 1, 2026 approved pure premium rate is $1.923 per $100 of payroll. Understanding this classification helps ensure correct payroll reporting and appropriate safety controls.
This classification covers manufacturing operations that produce electronic elements — discrete components and small electronic parts — including assembly of leads, coil winding, trimming, manual and automated soldering (reflow, wave, hand), conformal coating, cleaning, inspection, testing and final packaging. It includes both manual bench assembly and automated production lines where operators load machines, perform quality checks, and run functional test stations. Processes that involve handling fluxes, solvents, rosin, plating chemistries, or use of pick-and-place and reflow ovens are typical. Work performed in cleanroom-like environments or electrostatic discharge (ESD) controlled areas is included when those spaces are part of the manufacturing operation.
The pure premium rate of $1.923 per $100 of payroll represents the estimated loss cost (expected claim payments) for this class before insurer expenses, trend and profit loads. To calculate basic premium multiply your class payroll by the rate (payroll/100 x 1.923), then insurers add underwriting/administrative loads and any applicable credits or debits. Your actual workers' comp premium is affected by factors such as your experience modification (ex-mod), payroll accuracy by class, claim frequency and severity, and any loss-prevention programs you implement.
California employers manufacturing electronic components must maintain a written Injury and Illness Prevention Program (IIPP) under Title 8 section 3203 and comply with Hazard Communication (Cal/OSHA 5194) for fluxes, solvents and plating chemistries. Respiratory protection requirements (Title 8, 5144) and Permissible Exposure Limits for airborne contaminants (Title 8, 5155) apply where soldering fumes or solvent vapors exceed allowable levels; local exhaust ventilation and exposure monitoring are common controls. Employers should also implement electrical safety practices and ESD controls consistent with Cal/OSHA electrical safety orders and industry standards.
A PEO like Key HR can help employers in this class with proper classification audits, payroll allocation by class code, and proactive claims management to control costs. Key HR provides access to standardized safety program templates (IIPP, HazCom, respiratory protection), employee training, return-to-work programs and centralized claims advocacy — all of which reduce claim severity and the employer's experience modifier over time.
Get a QuoteIf your work is limited to assembling or soldering small electronic elements and components as discrete part production or small-part assembly, class 3178 may apply; however, full PCB assembly or electronics manufacturing that is part of larger device assembly can fall under different WCIRB classes. A payroll classification audit is recommended to ensure correct coding.
Key steps include implementing an effective IIPP, engineering local exhaust ventilation for soldering stations, enforcing HazCom and PPE use, instituting ESD controls, training on safe soldering and ergonomic workstations, and creating a formal light-duty/return-to-work program to limit claim duration and reduce your experience modification.
Conduct exposure monitoring when processes produce visible fumes or when material Safety Data Sheets indicate respiratory hazards; if measured exposures exceed Cal/OSHA Permissible Exposure Limits, implement engineering controls (ventilation) first and provide respirators per the Respiratory Protection standard until exposures are controlled.
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