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The California Supreme Court just ruled that public employers are not subject to civil penalties under the state’s Private Attorneys General Act of 2004 (PAGA). In a pivotal decision, the court held that public entities,...more
On July 1, 2024, California Governor Gavin Newsom signed two legislative bills (AB 2288, amending Labor Code Section 2699; and SB 92, amending Section 2699.3) into law, effective July 1, 2024. The new law significantly...more
In Naranjo v. Spectrum Security Services, Inc., Case No. S279397 (May 6, 2024), the California Supreme Court held that if an employer reasonably and in good faith believed it was providing a complete and accurate wage...more
On May 6, 2024, the California Supreme Court, in Naranjo v. Spectrum Security Services, Inc., clarified that an employer is not liable for statutory penalties for inaccurate wage statements when it had a good faith and...more
Earlier this week, a unanimous California Supreme Court held that employers have a viable good faith defense to claims for statutory penalties arising out of wage statement violations. The Court's decision, in Naranjo v....more
The Question - The basics of California’s wage statement requirements should be familiar to employers. The consequences for failing to comply with these requirements can be severe....more
The California Supreme Court handed employers a consolation prize this week, holding that an employer does not incur monetary penalties if there is a reasonable, good faith dispute over whether the employer violated the wage...more
In a rare victory for employers, the California Supreme Court unanimously held in Naranjo v. Spectrum Sec. Serv., Inc., S279397 (Decided 6 May 2024) that an employer’s “objectively reasonable, good faith belief” that it has...more
On Monday May 7, the California Supreme Court confirmed, in Naranjo v. Spectrum Securities Services, Inc., S279397.PDF (ca.gov), that penalties authorized under Labor Code Section 226 (“Section 226”) for “knowing and...more
Illinois employers who use staffing agencies should take note. The state’s Day and Temporary Labor Services Act (the “Act”), which was last revised by the General Assembly in 2017, was significantly amended this past...more
Last year, in Naranjo v. Spectrum Security Services, Inc., 13 Cal.5th 93 (2022), the California Supreme Court held that an employer’s failure to timely pay premium pay for meal and rest break violations could subject the...more
Last summer, we reported here the California Supreme Court ruling that premium payments owed under Labor Code section 226.7 for meal and rest break violations constitute “wages.” The Naranjo et al. v. Spectrum Sec. Servs.,...more
Employers operating in Illinois should be aware that as of January 2023, they will be required to provide additional rest and meal breaks to most non-exempt employees. On May 13, 2022, Illinois Governor J.B. Pritzker signed...more
On May 23, 2022, the California Supreme Court issued its decision in Naranjo v. Spectrum Sec. Servs. Inc. (Naranjo), holding that meal and rest break premiums (also known as extra pay or premium pay) constitute “wages” that:...more
The California Supreme Court, on May 23, 2022, issued a seminal opinion in Naranjo v. Spectrum Security Services, Inc., which found that employees can recover penalties for failure to timely pay wages at termination and...more
On May 23, 2022, the California Supreme Court issued its opinion in Naranjo v. Spectrum Security Services, Inc., concluding that the one hour of additional compensation that is owed to an employee who does not receive a...more
In addition, on a point with broader implications, the Supreme Court held that wage statements must include all wages earned, and not just wages paid, with any wages earned but unpaid possibly triggering penalties for an...more
On May 23 2022, the California Supreme Court reversed the Second Appellate District Court of Appeal and made clear that meal and rest period premiums (or “extra pay” or “premium pay”) constitute “wages” and must be accurately...more
On May 23, the California Supreme Court issued an opinion that will drastically increase the potential exposure for employers facing meal and rest break class actions. The court, in Naranjo v. Spectrum Security Services,...more
In plain English, PAGA allows a Court to award a penalty for each pay period that includes a wage-and-hour violation. It does not include the damages for the underlying violation, just the discretionary penalty, which starts...more
Update February 10, 2021: This blog has been updated to reflect current guidance about California meal and rest break laws. On September 26, 2019, California’s Second District Court of Appeals in Gustavo Naranjo, et al. v....more
The filing of class actions against California employers for meal and rest break violations remain as prevalent as ever, but the California Courts of Appeal have recently issued two rulings that may help employer-defendants....more
Any employer that has faced a wage & hour lawsuit in California knows that minor violations can quickly add up to significant liabilities....more
On December 10, 2018, the California Supreme Court unanimously held in Gerard v. Orange Coast Memorial Medical Hospital that section 11(D) of Industrial Welfare Commission (“IWC”) Wage Order No. 5, which permits health care...more
The Oregon state agency charged with enforcing the state’s wage and hour laws has announced the largest civil penalty against an employer in its long history – nearly $277,000. According to the Oregon Bureau of Labor and...more