EMPLOYER OWNERS CHARGED WITH FELONY FOR NOT PAYING EMPLOYEES FULL WAGES

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 that employed workers were charged with felony charges of grand theft of wages.  They purportedly underpaid workers, didn’t provide compensation coverage, and violated overtime wage & hour, sick leave and other labor laws.  Both owner defendants also face civil liabilities for failure to provide workers compensation coverage.

Typically, enforcement investigations encompass a payroll audit of the preceding three years to ascertain minimum wage, overtime, and other labor law infringements and to compute the outstanding payments and penalties.  Payroll audits often result from a worker’s reporting of claims to the Commissioner.  If you get notice of an audit, contact counsel.

Employers with Questions on requirements may contact Epps & Coulson, LLP.  We are here to help you plan and grow and protect your business.  Please feel free to contact Dawn at: dcoulson@eppscoulson.com.

Information contained in this Memo is intended for informational and educational purposes only and does not constitute legal advice or opinion, nor is it a substitute for the professional judgment of an attorney.  It is likely considered advertising.  Epps & Coulson, LLP encourages you to call to discuss these matters as they apply to you or your business.  Epps & Coulson, LLP has affiliated Counsel offices in New York and Connecticut with lawyers also admitted in Connecticut, District of Columbia, Massachusetts (pending), New Jersey, Hawaii, European Union, England and Whales, France (Paris Bar) and Sweden.

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