EMPLOYER OWNERS CHARGED WITH FELONY FOR NOT PAYING EMPLOYEES FULL WAGES Employers who underpay employees now not only face potential civil lawsuits, but in a historic move, the California Labor Commissioner and Los Angeles District Attorney have joined forces to criminally prosecute employers. Recently, the owners of a manufacturing company...
RITE AID TO FILE CHAPTER 11 BANKRUPTCY: WHAT TO KNOW Rite Aid is in financial trouble, and with over 1000 federal, as well as a number of state-level lawsuits over allegations that the company contributed to the opioid crisis by oversupplying painkillers, etc., it is preparing to file a Chapter...
Bankruptcies: They’re Increasing Bankruptcy filings were up 17% in the first half of 2023 of 2022 numbers and the surge continues. •Chapter 11 commercial filings totaled 2,973 during the first half of 2023, which was a 68% increase compared to the first half of 2022. •Small business filings, which are...
MIND YOUR EMPLOYEE COMPENSATION PRACTICES The California Labor Commissioner just cited Five Wingstop fast food restaurants and their owner $3,161,606 for “wage theft” violations for 551 workers. The owner created separate corporate entities for each of his restaurants, making it seem that each restaurant was a different employer, which deprived...
NEW LAW BANNING EMPLOYEE NON-COMPETE CLAUSES (IN EMPLOYEE HANDBOOKS AND AGREEMENTS) California’s Senate Bill 699 (along with existing laws), bans (actually voids) agreements that purport to restrain an employee from competing with the employer: Existing law (Business & Profession Code 16600) states "Every contract by which anyone is restrained from...
WHAT THE CA SUPREME COURT UBER DECISION MEANS FOR EMPLOYERS Driver Adolph sued Uber Technologies, Inc., claiming employee status, not independent contractor. The issue was whether an employee who was compelled to arbitrate his or her individual claims also maintains under PAGA the right (“standing”) to pursue Private Attorney General...
EMPLOYEE PAGA CLAIMS Employers take note: A California appellate recently court ruled that Private Attorneys General Act (“PAGA”) claims by employees against employers for wage & hour and other claims survive the employer’s (and by implication, the employer’s responsible individual’s) bankruptcy – they are not discharged and must be paid,...
MORE EMPLOYMENT UPDATES – WHEW! We previously updated on the U.S. Supreme Court case of Viking River Cruises, Inc. v. Moriana (“Viking River”) regarding employee arbitration agreement waivers for California Private Attorney General Act (“PAGA”) actions. The U.S. Supreme Court said that employee individual and the PAGA representative claims (like...
ANNOUNCEMENT – NEW I-9 FORM AUG 1ST Attention Employers: The U.S. Citizenship and Immigration Services (“USCIS”) announced today[1] that beginning August 1st, employers are to use a new Form I-9 that is more streamlined and shortened. Here’s the announcement and form. While Employers may continue to use the older Form...
Landlords: Tips When Taking a Lease Guaranty from a Foreign Company When a landlord leases to a U.S. company affiliated with a foreign company, whether a parent company or sister company, the landlord’s being able to collect on a lease guaranty from the foreign company can be tricky. Before deciding...