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New California penalties for minimum-wage violations

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in Compensation and Benefits,Human Resources

Among the flurry of new California labor laws passed in 2014 is an amendment to the labor code that allows the state Labor Commissioner to issue a civil penalty for failure to pay less than the minimum wage.

The bill, AB 1723, authorizes the Labor Com­­missioner to also issue “waiting time penalty” citations to employers who willfully fail to pay the wages of a discharged employee or an employee who has resigned in a timely fashion.

A similar provision directed solely at the entertainment industry, AB 2743, allows employees hired through a hiring hall or other system covered by a collective bargaining agreement to collect waiting time penalties from employers that violate the contract.

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