In a recent HR.com article, Thompson Coburn partner Michael Kun discusses how California employers continue to face significant exposure under the Private Attorneys General Act (PAGA), despite the amendments enacted in 2024.
Mike explains that the reforms were widely viewed as the most significant changes to PAGA since the law’s enactment, with provisions designed to encourage compliance, reduce penalties, limit standing, and give courts greater authority to manage representative actions. Many employers hoped the amendments would meaningfully curb PAGA litigation and ease the burden of defending costly claims.
However, Mike notes that those expectations have not yet been realized. While the amendments created new opportunities for employers to address and cure violations, PAGA claims remain a significant risk, and litigation activity continues at a high level.
As a result, Mike emphasizes that employers should remain focused on proactive compliance efforts. “For California employers, the practical takeaway is clear and little different from the pre-amendment approach. Continue conducting wage-and-hour audits. Continue investing in compliance. Continue updating policies and training supervisors on those policies,” he wrote.
Read the full article here.
