California Wage Theft

If you have experienced wage theft while working in California, you may be able to file a claim. California's Wage Theft Prevention Act of 2011 (WTPA), which has been law since January 1, 2012, requires that all non-exempt employees are provided with a written notice which explains their pay and other benefits by their employers. If the employer fails to pay the correct amounts, it is committing wage theft.

In 2022, a new law went into effect in California known as AB 1003. This states that certain incidents of wage theft can now be treated as grand theft. It is a felony when employers are found to intentionally commit grand theft of wages of an amount more than $950 from any one employee, or $2,350 from 2 or more employees, by an employer in any consecutive 12-month period. This could lead to a three-year prison sentence and severe fines.

What Is Wage Theft?

Wage theft in California happens when an employer intentionally fails to pay their independent contractors or employees the correct amounts. This includes the following:

  • paying you less than the minimum wage; 
  • paying you less than you agreed to (including commissions, piece rates or regular wages);
  • keeps your tips;
  • fails to pay overtime;
  • fails to pay for split shifts;
  • fails to pay bonuses or vacations;
  • does not pay the final wage in a reasonable time frame. 

What Should I Do If I’ve Experienced Wage Theft In California?

Employees who can prove they are missing pay or benefits can take action by filing a wage claim online, by mail, or in person with the California Division of Labor Standards Enforcement (DLSE). The DLSE will ask for copies of documents that support your claim. Some of these documents could include the following:

  • time sheets;
  • paychecks/stubs;
  • records of unpaid commissions; 
  • notices from the employer pertaining to your employment information such as overtime rate, pay rate, and whether you’re paid by the hour, day, piece, shift, etc.

Employees do have a limited time to file a claim with the DLSE in California. These vary depending on the sort of violations which are:

  • withheld pay: 1 year to file;
  • breach of oral promise to pay wages greater than minimum wage: 2 years to file;
  • violations of minimum wage, overtime, sick leave, unpaid meal and rest breaks, unpaid reimbursements, or illegal deductions from pay: 3 years to file;
  • breach of written employment contract: 4 years to file.

In addition to filing a wage claim, employees may also be able to sue their employer in civil court for any stolen wages or benefits.

Workers with wage theft claims can win back pay for the wages that have been lost. In some cases, the employer may have to pay legal penalties for the violation of employee rights.

Get Help With Your California Theft Claims

It is never easy winning a wage theft claim as it is hard to prove but seeking help from an attorney may offer a higher chance of winning your wage theft claim than if you try to negotiate the wage theft on your own.

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