The End of The PAGA Era? Part 2

While we are awaiting the United States Supreme Court’s decision on the future of the Private Attorneys General Act (“PAGA”) currently questioned by Viking River Cruises, Inc. v. Moriana, there is another proposed law that may impact the future of PAGA. Currently, there is a proposed state law on the ballot for 2022 called the “Fair Pay and Employer Accountability Act of 2022.” This legislation proposes several important changes to PAGA. At the top of the list is removing the ability for one employee to sue on behalf of the Attorney General, and therefore to sue on behalf of other employees on a representative basis.

Along with this, the proposed legislation will remove the need for a plaintiff to have a private attorney to bring their claim(s). This will ensure the plaintiff is receiving most of the benefit from a successful claim (rather than their counsel) – and will also be the part of the law most likely to cause opposition.

There are other features in the proposal that are likely to result in an overall reduction in lawsuits by employees over alleged labor code violations, including providing the opportunity for employers to correct their alleged wrongs before facing suit.

While we await to see the future of PAGA, it is important as ever for employers to ensure that they are running their business CA labor law compliant in order to minimize your legal risk.

If you have questions about California labor law requirements or are facing a lawsuit, please contact the the Employer Lawyers at Chauvel & Glatt. We are here to help you navigate this process.

This material in this article, provided by Chauvel & Glatt, is designed to provide informative and current information as of the date of the post. It should not be considered, nor is it intended to constitute legal advice.  For information on your particular circumstances, please contact  Chauvel & Glatt at 650-573-9500 for legal assistance near you. (Photo Credit depositphoto.com.)

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