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Bill > AB1234


CA AB1234

Employment: nonpayment of wages: complaints.


summary

Introduced
02/21/2025
In Committee
06/05/2025
Crossed Over
06/04/2025
Passed
Dead

Introduced Session

2025-2026 Regular Session

Bill Summary

An act to amend Sections 98, 98.1, and 98.2 of the Labor Code, relating to employment.

AI Summary

This bill revises the process for investigating and resolving employee wage complaints handled by the Labor Commissioner. The bill establishes specific timelines for the Labor Commissioner to notify parties about a wage complaint, requires the defendant to respond within 30 days with details about employment and wages owed, and mandates that the Labor Commissioner conduct a comprehensive investigation within 90 days. The investigation can include mandatory settlement conferences, issuing subpoenas for records, and ultimately issuing a formal complaint. The bill introduces a new administrative fee of 30% on any awarded wages, which will be deposited into a newly created Wage Recovery Fund to help compensate workers who have been victims of wage theft. The Labor Commissioner may waive this fee under certain conditions, such as when no penalty is imposed and the defendant has no prior history of wage violations. The bill also clarifies that appeals of the Labor Commissioner's decisions will be treated as unlimited civil cases, with the court having jurisdiction over the entire wage dispute. Additionally, the legislation provides mechanisms for enforcing judgments, including the ability to create liens on real property and take legal action to ensure workers receive their owed wages.

Committee Categories

Budget and Finance, Justice, Labor and Employment

Sponsors (4)

Last Action

In Senate. Read first time. To Com. on RLS. for assignment. (on 06/05/2025)

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