Labor Code Private Attorneys General Act of 2004.

Existing law, the Labor Code Private Attorneys General Act of 2004 (PAGA) , authorizes an aggrieved employee, as defined, to bring a civil action, on behalf of that employee and other current or former employees, to enforce a violation of any provision of the Labor Code that provides for a civil penalty to be assessed and collected by the Labor and Workforce Development Agency or any of its departments, divisions, commissions, boards, agencies, or employees pursuant to certain notice and cure provisions, as prescribed. This bill would, among other things, instead authorize an aggrieved employee to bring a civil action as described above on behalf of the employee and other current or former employees against whom a violation of the same provision was committed. With respect to a violation by a person of a provision that does not provide for a civil penalty, PAGA makes that person liable for a civil penalty of $500 if, at the time of the alleged violation, the person does not employ one or more employees. If, at the time of the alleged violation, the person employed one or more employees, PAGA makes that person liable for a civil penalty of $100 for each aggrieved employee per pay period for the initial violation and $200 for each aggrieved employee per pay period for each subsequent violation. PAGA requires 75% of civil penalties recovered by aggrieved employees to be distributed to the Labor and Workforce Development Agency for enforcement of labor laws, including the administration of PAGA, and for education of employers and employees about their rights and responsibilities under the Labor Code, as specified, and requires 25% of civil penalties recovered by aggrieved employees to be distributed to the aggrieved employees, except as prescribed. This bill would instead, if, at the time of the alleged violation, the person employed one or more employees, make that person liable for a civil penalty of $100 for each aggrieved employee per pay period, except if certain mitigating factors apply, including that the alleged violation resulted from an isolated, nonrecurring event that did not extend beyond the lesser of 30 consecutive days or 4 consecutive pay periods, in which case the bill would make the civil penalty $25 or $50, except as provided. The bill would, subject to an exception, also reduce the civil penalties prescribed by PAGA by 15% or 30%, as specified, if a person accused of a violation has taken all reasonable steps to comply with the provisions alleged to have been violated in the required notice provided by the aggrieved employee, as prescribed. This bill would apply its provisions to a civil action brought on or after June 19, 2024, except as specified. This bill would become operative only if SB 92 of the 2023–24 Regular Session is enacted and takes effect on or before January 1, 2025. This bill would declare that it is to take effect immediately as an urgency statute.