August 2, 2019

Reforms Needed to Calif. PAGA Law, Watchdog Says

The executive director of California Citizens Against Lawsuit Abuse called the state’s Private Attorneys General Act (PAGA) the “biggest threat” facing businesses there, the Northern California Record reports.

PAGA, signed into law in 2003, gives private attorneys the power to enforce the state’s labor laws over even the most minor infractions. Ken Barnes, the group’s executive director, said a “small PAGA action can have you face a settlement of $500,000 or $600,000, and that’s game over for many of these nonprofits and small businesses.” Potential reforms could include a window to cure the infraction before legal action starts.

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