Private Attorneys General Act (PAGA)
If an employer violates California Labor Laws, employees have the right to hold them responsible. The Private Attorney General Acts, known as PAGA, allows the enforcement of wage and hour laws, as well as other rights that California law grants, via the use of lawsuits.
In the past, employees had fewer ways of holding their employers responsible for labor law violations that impact them and other workers, but the Private Attorneys General Act gives them the chance to fight for compensation by acting as their own Attorney General. Because this requires knowledge of the law, however, it’s always a good idea to hire a lawyer to help.
By turning to the California Civil Rights Law Group, you can find an experienced Private Attorney General Acts lawyer in California to help you fight for your rights. Learn more about this option and when it may be time to begin legal action against your employer.
Understanding PAGA and Its Impact on Employers
The California Private Attorney General Act makes it possible for employees to sue their employers on behalf of the state for labor code violations. It gives them the power to act as Attorneys General to enforce labor laws and prevent future violations. PAGA actions result in civil penalties, not damages, so settlement agreements are never as substantial as you can receive in traditional lawsuits.
There are a number of common violations that the PAGA law covers, beginning with the failure to pay minimum wages. All employees are entitled to the minimum wage in California, which is $16.50 per hour. If an employer fails to offer this, they are committing a labor code violation, which could mean that taking PAGA action is possible.
The California Private Attorneys General Act also addresses the failure of an employer to pay overtime. Employees who work overtime are entitled to wages that are 1.5 times their regular wages. Overtime in California applies to hours worked that are over 40 hours a week or eight hours a day. Your work classification plays a role, however, which brings up the next type of violation.
Another common issue that PAGA addresses is the misclassification of workers. Employers who label employees as independent contractors are depriving them of the benefits they deserve, including overtime pay and health insurance. It’s possible to begin PAGA cases against employers who engage in this behavior.
PAGA claims can be brought forward when employers don’t provide the meal and rest breaks that labor laws require. In California, employers must allow employees to take 30-minute meal breaks for every five hours of work and 10 minutes of rest for every four hours of work.
Other labor code violations that the Private Attorney General Acts Law covers involve discrimination, harassment, and retaliation. Employers are not permitted to take any of these actions against employees who exercise their rights under the California Labor Code or who have certain protected characteristics.
PAGA actions are possible if violations of any applicable labor code occurred. For employers, this means facing PAGA penalties that include serious fines while also suffering reputational losses.
PAGA Reforms and Amendments
To address some of the issues associated with the California Private Attorney General Act, the state has recently imposed a number of amendments. One of the recent PAGA reforms involves cure provisions.
There has been an expansion into the range of violations that an employer can cure during the notice period. The cure process allows employers to take reasonable steps to remedy violations, which can help them avoid severe penalties.
The claims that can now be cured include necessary expense reimbursement, minimum wage issues, meal and rest break problems, and concerns involving itemized wage statements and other technical violations. Cures require making aggrieved employees whole and avoiding subsequent violations.
The law prohibits businesses and individuals from fraudulently billing the governAdditionally, the PAGA penalties have been simplified. These reforms reduce fee ambiguities so that employers know what it will cost them if a violation occurs. Employers who act in good faith to resolve the problem by, for example, performing periodic payroll audits and taking other appropriate corrective action can have penalty caps that ease some of the financial burden.
Reforms also include enhanced state oversight, which requires a stricter review process to ensure that PAGA litigation is appropriate. It can reduce the risk of frivolous lawsuits, especially in cases involving isolated violations.
Employers now also have further pre-litigation resolution options they can try, including extended timelines in which to address the issues that aggrieved employees have brought forward.
Managing PAGA Claims and Penalties
To manage PAGA lawsuits, legal counsel is often necessary for both employers and employees. For employers, one of the most important steps is to address an employee issue as soon as possible before it can become a PAGA complaint.
Once the PAGA action begins, it’s wise to try to remedy alleged violations with the help of an attorney who can make it easier to remain compliant with California labor laws.
The moment that an employer receives a PAGA claim notice, the clock starts ticking. Within a little over a month, employers must address the labor code violation by either rectifying the problem or letting the aggrieved employee and the Labor and Workforce Development Agency (LWDA) know that they are taking steps to do so.
If the LWDA doesn’t investigate or the employer doesn’t make an attempt to address the concern, the employee has the right to begin a PAGA claim. In that case, both parties need to prepare for a lawsuit.
The Role of a Private Attorney General Acts Lawyer
A Private Attorney General Act California lawyer represents employees who are claiming their employers have violated California labor laws. The lawyer, together with the employee, will function as the Attorney General and fight to enforce labor laws.
Our team at the California Civil Rights Law Group can help you file the lawsuit and negotiate for a settlement agreement that addresses all of the concerns you have and prevents subsequent violations. If a settlement isn’t possible, then an experienced Private Attorney General Acts lawyer in California can represent the PAGA case in court.
Best Practices for Compliance
Employers who are worried about labor code violations and the PAGA penalties these could cause can take numerous steps to remain compliant. One option is to conduct regular audits on payroll documents, wage statements, and timekeeping records. These audits should take place regularly.
They should also write and maintain comprehensive policies that address what overtime is, what an employee can expect per pay period when it comes to wages, and even termination procedures.
It’s essential to train managers on labor laws and what steps to take after an employee brings up a concern. Staying updated on the latest labor law changes is essential, as well, to keep the business compliant.
All employees should have a clear idea of what constitutes a violation and how to report it. Offering guidelines on their rights as employees and what the next steps should be if there are labor issues they’ve been impacted by can save everyone time and might even prevent claims in the first place.
Employers can benefit from allowing employees to express issues anonymously. This makes it easier to take appropriate corrective action before the problem impacts others or leads to a PAGA claim.
It can also be helpful to speak with a Private Attorney General Acts lawyer in California to get an objective overview of how the business is holding up when it comes to labor law compliance.
Contact California Civil Rights Law Group for Assistance
At California Civil Rights Law Group, our team of attorneys can help with PAGA cases. We provide the experienced legal counsel you need if you’ve experienced labor code violations at work. With legal professionals well-versed in these types of cases, you have a chance to fight for your rights and those of your fellow employees. Contact our team to schedule a consultation with one of our lawyers.
PAGA Claim FAQs
Do you have questions about PAGA lawsuits? Our team may be able to help.
Each PAGA case is unique, and many factors can impact the settlement amount, including the number of violations involved. Keep in mind that the amount that employees receive is not substantial. These claims are not for damages but to fix a problem so that it doesn’t occur again. Employees typically receive about $1,000.
Any violation of the California Labor Code can prompt a PAGA claim.
The Private Attorney General Representative Action allows employees to file lawsuits on behalf of the state of California to hold employers responsible for any labor law violations. These actions can result in civil penalties for the employer.
It’s a representative action because the employee is filing on behalf of themselves and other employees who have experienced the same violations.
PAGA claims transform employees and their legal counsel into private Attorneys General, making it possible for them to seek civil penalties and relief for other employees who have been similarly impacted by labor code violations.
PAGA can address wage and hours violations, wage statement issues, failure to pay overtime, not providing meal and rest breaks as required by the state, and even violations related to reimbursements. PAGA can also help with issues related to the failure to pay wages after employment termination.
Unlike other types of lawsuits, these claims don’t focus on getting damages for the plaintiffs. Instead, the penalties will be distributed to the state and the impacted employees. These lawsuits are representative in nature, though they’re not traditional class action suits, either.
There have been recent reforms to PAGA that have limited the scope of the claims. Although any type of labor code violation can result in a PAGA claim, an employee cannot begin one if they didn’t experience the problem themselves.
No. California allows aggrieved employees to bring forth these claims, whether they are current or former employees of the company in question. Bringing a claim as a former employee may make the process a bit more challenging, however, so hiring legal counsel is imperative.
In California, you typically have one year from the date of the last labor code violation. Filing later than that will mean a case dismissal.
Yes, as long as you file within a year of the last violation, you can begin a PAGA claim. It doesn’t matter if you don’t currently work at the company.
