Major Damage Awards Against Employers—Compliance is Key!

In the last few weeks, two major wage and hour cases awards came down in California in favor of the employees awarding enormous damages.  Last week, the Northern District of California Court in Bernstein v. Virgin America, Inc., awarded employees, flight attendants for Virgin America and Alaska Airlines, $45,337,305.29 (yes you read this right!) in unpaid wages, overtime and meal and rest period violations and restitution.   That does not even include wage statement (pay stubs) and waiting time penalties (failing to pay all wages owed to an employee at time of termination/separation from employment) of over $6 million.

This week, well known Rangoon Ruby, a Burmese restaurant Chain here in the Bay Area, is now having to pay 298 workers $4 million in a settlement over alleged California Labor Law violations including failing to pay minimum wage, paid sick leave, overtime and split shift pay, a case overseen by the California Labor Commissioner’s Office (or DLSE).

The best protection as an employer is to make sure you are in compliance with the California Labor Code.   Large damage awards are becoming more and more frequent these days and can put companies out of business.  As an employer, you must be diligent as the California Labor Laws are always changing.  In 2019 alone there were numerous changes to the laws impacting employers. To make sure you are in compliance, please contact the employer lawyers at Chauvel & Glatt today.

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 or promise similar outcomes.  For information on your particular circumstances, please contact Chauvel & Glatt at 650-573-9500. (Photo credit: 123rf.com)

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