![]() ![]() Some plaintiffs’ firms have filed hundreds of nearly identical PAGA lawsuits against employers across the state, accusing them in the same vague terms of not paying for all time worked, not providing compliant meal and rest period, and not providing accurate wage statements. Over time, lawyers and the media began to refer to it instead by its acronym – “PAGA” – not because the original nickname was inaccurate, but out of convenience, if nothing else.Īs history has proved, however, the original “Bounty Hunter” sobriquet was an accurate one. When the Private Attorneys General Act went into effect back in 2004, it was commonly referred to as “the Bounty Hunter law.” That’s what employment lawyers called it. Who would be largely cut out of the process? The plaintiffs’ bar, which has benefited more than anyone from the statute - and which is likely to fight the ballot initiative tooth and nail should it in fact end up before California voters. Among other things, employees would receive 100% of any recovery, rather than just 25% under PAGA. The Fair Pay and Employer Accountability Act of 2022 would provide a streamlined process to address claims – and larger potential recoveries for employees in the event they are treated unlawfully. The proposed ballot initiative effectively seeks to repeal PAGA and replace it with a new law called Fair Pay and Employer Accountability Act of 2022. It appears the fate of the much-maligned statute could be left in the hands of California voters if a proposed ballot initiative makes its way onto the next ballot. ![]() Will 2022 be the year that PAGA is repealed? The in terrorem effect of PAGA lawsuits, in which a plaintiff need not satisfy class certification criteria to represent an entire workforce, has led many employers to pay large settlements just to avoid legal fees and the possibility of larger awards, even when the evidence of unlawful conduct is spotty or entirely absent. ![]() Employers with operations both large and small in California are all too familiar with California’s Private Attorneys General Act (“PAGA”), the controversial statute that permits a single employee to stand in the shoes of the state’s attorney general and file suit on behalf of other employees to seek to recover penalties for alleged Labor Code violations. ![]()
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