California Employment Law Update

Category Archives: PAGA

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What Appellate Courts Are Missing About PAGA Standing After Viking River Cruises

The California Supreme Court has scheduled oral argument for May 9, 2023 in Adolph v. Uber Technologies, Inc., a closely watched case that concerns whether a Private Attorneys General Act (PAGA) plaintiff loses standing to pursue a representative claim when their individual PAGA claim is compelled to arbitration.  This question was left open by the blockbuster … Continue Reading

The Fate of PAGA Representative Action Waivers in Arbitration Agreements will be Decided by August

As we reported (here), on June 15, 2022, a near unanimous U.S. Supreme Court held that the Federal Arbitration Act (“FAA”) preempted the California Supreme Court’s controversial decision in Iskanian v. CLS Transportation Los Angeles, LLC, 59 Cal. 4th 348 (2014), which held that actions brought under the California Labor Code Private Attorneys General Act (“PAGA”) … Continue Reading

March 2023 California Employment Law Notes

We invite you to review our newly-posted March 2023 California Employment Law Notes, a comprehensive review of the latest and most significant developments in California employment law. The highlights include: No Claim By Employee Who Was Friends With Alleged Harasser Pregnancy Discrimination Lawsuit Was Properly Dismissed Employer That Failed To Layoff Employee Before She Became … Continue Reading

Employee’s PAGA Action Was Not Limited By Sick Pay Statute

Wood v. Kaiser Found. Hosps., 88 Cal. App. 5th 742 (2023) Ana Wood brought a PAGA action against her employer Kaiser for alleged failure to correctly pay for three paid sick days as required under California’s Healthy Workplaces, Healthy Families Act (the “Act”). The Act provided for compensatory relief and civil penalties, but restricted relief … Continue Reading

Court Compels Individual But Not Representative Claims To Arbitration

Piplack v. In-N-Out Burgers, 2023 WL 2384502 (Cal. Ct. App. 2023) In-N-Out Burgers appealed from the trial court’s denial of its motion to compel arbitration. The trial court denied the motion because In-N-Out’s arbitration agreement contained an unenforceable PAGA waiver. After the trial court’s ruling, the United States Supreme Court held in Viking River Cruises, … Continue Reading

Court of Appeal Rules Plaintiff May Recover PAGA Penalties For Violating Sick Pay Statute

In the first ruling of its kind, the California Court of Appeal (4th Dist.) recently ruled that a plaintiff may pursue penalties under the Private Attorneys General Act (PAGA) for alleged violations of California’s sick pay statute, the Healthy Workplaces, Healthy Families Act of 2014.  Wood v. Kaiser Found. Hosps., 2023 WL 2198664 (Cal. Ct. … Continue Reading

Employees Lose on PAGA Claims in Court Following Loss in Arbitration

Earlier this month, the California Court of Appeal (2d Dist.) ruled that issue preclusion bars a derivative Private Attorneys General Act (PAGA) claim where the plaintiff litigates individual Labor Code claims in arbitration and loses.  Rocha v. U-Haul Co. of Cal., 2023 WL 1462594 (Cal. Ct. App. Feb. 2, 2023) (certified for publication).  Rocha, while at … Continue Reading

January 2023 California Employment Law Notes

We invite you to review our newly-posted January 2023 California Employment Law Notes, a comprehensive review of the latest and most significant developments in California employment law. The highlights include: Age/National Origin Case Was Properly Dismissed Despite “Direct Evidence” Of Discriminatory Animus Family Court May Order Employer To Provide Determination Of Arrearages Owed In Spousal … Continue Reading

Employer Need Not Count Overtime Twice In Bonus Calculation

Lemm v. Ecolab Inc., 2023 WL 21795 (Cal. Ct. App. 2023) Stephen Lemm, a route sales manager, brought a PAGA action against his employer, Ecolab, Inc., alleging that Ecolab improperly calculated nondiscretionary bonuses. Pursuant to Ecolab’s incentive plan, an employee could receive a higher monthly bonus based on performance as a percent of gross wages. … Continue Reading

Real Estate Agents Are Independent Contractors As A Matter Of Law If Requirements Met

Whitlach v. Premier Valley, Inc., 86 Cal. App. 5th 673 (2022) James Whitlach, a real estate agent, brought a PAGA suit against Premier Valley, Inc. dba Century 21 MM and Century 21 Real Estate, LLC (collectively, “Century 21”). Whitlach alleged that Century 21’s real estate agents were misclassified as independent contractors. The Court of Appeal … Continue Reading

October 2022 California Employment Law Notes

We invite you to review our newly-posted October 2022 California Employment Law Notes, a comprehensive review of the latest and most significant developments in California employment law. The highlights include: Hollywood Producer Is Not Liable For Drowning Death Of Executive Assistant Employer May Not Inquire Into Former Employee’s Immigration Status Workers’ Comp Determination Does Not Govern … Continue Reading

AutoZone May Not Have “Provided” Suitable Seating To Employees

Meda v. AutoZone, Inc., 81 Cal. App. 5th 366 (2022) Monica Meda worked as a sales associate at an AutoZone for approximately six months before quitting and suing for violation of the Private Attorneys General Act (“PAGA”), asserting AutoZoners (the operating company for AutoZone) had failed to provide suitable seating to employees at the cashier … Continue Reading

California Voters to Decide Future of PAGA in November 2024

The California Secretary of State announced on July 22, 2022 that a measure to replace the California Labor Code Private Attorneys General Act of 2004 (“PAGA”) qualified as an eligible statewide ballot measure for the November 2024 General Election ballot.  PAGA allows “aggrieved” employees to file a representative action on behalf of themselves and other … Continue Reading

The U.S. Supreme Court Says PAGA Representative Action Waivers Are Enforceable After All

On June 15, 2022, in Viking River Cruises, Inc. v. Moriana, Case No. 20-1573,_ U.S. _ (2022), by an 8-1 majority, the U.S. States Supreme Court held that the Federal Arbitration Act (“FAA”) preempts the California Supreme Court’s central holding in Iskanian v. CLS Transportation Los Angeles, LLC, 59 Cal. 4th 348 (2014), that actions brought … Continue Reading

May 2022 California Employment Law Notes

We invite you to review our newly-posted May 2022 California Employment Law Notes, a comprehensive review of the latest and most significant developments in California employment law. The highlights include: Former UCLA Physician Can Proceed With Whistleblower Claims Former Employee Adequately Alleged Disability Under The ADA California Resident May Rely Upon Labor Code § 925 … Continue Reading

Trial Court Should Not Have Dismissed PAGA Claims On Unmanageability Grounds

Estrada v. Royalty Carpet Mills, Inc., 76 Cal. App. 5th 685 (2022) In this PAGA case, the trial court relied upon Wesson v. Staples the Office Superstore, LLC, 68 Cal. App. 5th 746 (2021) in which the Court of Appeal held that trial courts have inherent authority to strike unmanageable PAGA claims. The Court of … Continue Reading

Supreme Court Hears Oral Argument in Advance of Major Ruling on the Arbitrability of PAGA Claims

Last week, the United States Supreme Court heard oral argument in Viking River Cruises, Inc. v. Moriana, Case No. 20-1573,_ U.S. _ (2022). The case addresses whether the Federal Arbitration Act (“FAA”) requires the enforcement of bilateral arbitration agreements that preclude an employee from bringing claims under the Private Attorneys General Act (“PAGA”) on a … Continue Reading

March 2022 California Employment Law Notes

We invite you to review our newly-posted March 2022 California Employment Law Notes, a comprehensive review of the latest and most significant developments in California employment law. The highlights include: California Relaxes Standard For Proving Whistleblower Claims At-Will Employee Can Proceed With Labor Code § 970 Claim Doctor Proved Age/Race/Gender Discrimination Former Owner of Company Is … Continue Reading

Heightened Standard Of Fairness Required For Approval Of Class Action Settlement

Peck v. Swift Transp. Co. of Ariz., 2022 WL 414692 (9th Cir. 2022) In evaluating a settlement of a class action involving Cal. Labor Code § 2802 (employer indemnity for employee expenses), the district court stated that “the parties engaged in arm’s-length, serious, informed and non-collusive negotiations between experienced and knowledgeable counsel … after mediation … Continue Reading

Employer Not Required To Provide Workplace Seating To Grocery Cashiers

La Face v. Ralphs Grocery Co., 2022 WL 498847 (Cal. Ct. App. 2022) Jill La Face, who worked as a grocery store cashier, filed this PAGA claim against her employer, alleging that Ralphs violated an Industrial Wage Commission order that requires employers to provide suitable seating when the nature of the work reasonably permitted the … Continue Reading

January 2022 California Employment Law Notes

We invite you to review our newly-posted January 2022 California Employment Law Notes, a comprehensive review of the latest and most significant developments in California employment law. The highlights include: Manicurist Can Proceed With Hostile Work Environment Claim “Volunteers for Nonprofits Are Not Employees” – Court Affirms Order In Favor Of The American Film Institute … Continue Reading

Flight Attendants Are Entitled To Labor Code Compliant Wage Statements

Gunther v. Alaska Airlines, Inc., 72 Cal. App. 5th 334 (2021) Julie Gunther is an Alaska Airlines flight attendant who lives in San Diego. In this PAGA claim, Gunther alleged that her wage statements are not compliant with Cal. Labor Code § 226 because they fail to state the total hours worked; the number of … Continue Reading

Trial Court Failed To Properly Assess Fairness Of PAGA Settlement

Moniz v. Adecco USA, Inc., 72 Cal. App. 5th 56 (2021) Rachel Moniz filed a PAGA notice with the Labor Workforce and Development Agency (“LWDA”) and a subsequent lawsuit alleging that Adecco, her former employer, maintained and implemented unlawful limitations on the disclosure of information such as wages, working conditions and non-public information of commercial … Continue Reading
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