Assemblymember Ash Kalra of San Jose has filed a measure to expand the Private Attorneys General Act. The 2003 law is infamous among employers for the extraordinary number of lawsuits citing labor violations.
Backed by the California Labor Federation, Kalra’s Assembly Bill 2288 would allow courts to issue injunctive relief during the lawsuits. An employer would have to quickly correct and remediate violations while the lawsuit plays out, such as cutting a paycheck for a worker who claims wage theft.
“Real PAGA reform means making the law more effective in ending wage theft and misclassification,” said Lorena Gonzalez Fletcher, who leads the California Labor Federation. As an assemblymember, Gonzalez Fletcher authored California’s AB 5 law that limits independent contractors and has triggered a new wave of PAGA lawsuits.
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Kalra filed the bill in response to a ballot proposal to repeal PAGA.
According to the Western Growers Association, employers saddled with PAGA lawsuits often “agree to substantial settlements to sidestep legal costs and the risk of heftier penalties.” The California Supreme Court recently ruled against employers in a case regarding “unwieldy” PAGA claims.
California Citrus Mutual reasons the decision could lead to the dismantling of PAGA altogether. The state court allegedly ignored guidance from the U.S. Supreme Court in its ruling, teeing up more legal battles to come.