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CA AB1234
Bill
Status
6/4/2025
Primary Sponsor
Liz Ortega
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AI Summary
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Establishes new timelines for Labor Commissioner wage complaint investigations: 60 days to notify defendants of complaints, 30 days for defendants to respond, and 90 days to complete investigations and issue formal complaints after receiving answers
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Creates the Wage Recovery Fund, funded by administrative fees of up to 30% imposed on wage claim awards, to compensate workers who are owed wages when employers fail to pay
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Requires defendants appealing Labor Commissioner decisions to post an undertaking (surety bond or cash deposit) equal to the award amount as a condition of filing an appeal in superior court
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Allows the Labor Commissioner to waive administrative fees for defendants who have no waiting time penalties, no prior wage violations in the past 10 years, and no prior settlement agreements related to wage disputes
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Grants superior courts jurisdiction over entire wage disputes on appeal, including related wage claims not raised before the Labor Commissioner, and classifies such appeals as unlimited civil cases
Legislative Description
Employment: nonpayment of wages: complaints.
Last Action
Ordered to inactive file at the request of Senator Smallwood-Cuevas.
9/3/2025