Wage theft is one of the most common employment law violations in California — and it is rarely accidental. When employers misclassify workers, deny required breaks or fail to pay overtime, the law provides meaningful remedies.

California's Labor Code, Industrial Welfare Commission Wage Orders and the Private Attorneys General Act (PAGA) collectively create one of the most comprehensive wage and hour enforcement frameworks in the country. These laws impose specific, detailed requirements on employers — and provide employees with powerful tools to recover what they are owed when those requirements are violated.

Wage and hour violations are frequently widespread within a single employer — affecting many similarly situated employees through the same unlawful policies. In appropriate cases, individual wage claims can be pursued as class actions or PAGA representative actions, dramatically amplifying the practical impact of the enforcement.

Eagan Law represents individual employees and groups of workers in wage and hour claims — from the initial demand through resolution — pursuing back wages, interest, statutory penalties and attorneys' fees.

One of the most powerful tools in California wage and hour enforcement is the Private Attorneys General Act (PAGA), which allows employees to sue on behalf of themselves and other aggrieved employees for Labor Code violations — with penalties that can be substantial. Exempt vs. non-exempt misclassification is among the most frequently litigated wage issues: employers regularly classify employees as exempt from overtime to avoid paying it, often without legal basis. Employees who are fired, demoted or retaliated against for reporting wage theft have independent retaliation claims under California Labor Code § 1102.5.

Wage and hour violations frequently occur alongside other employment law violations — including wrongful termination where an employee is fired for complaining about unpaid wages, and workplace discrimination where wage disparities reflect differential treatment of protected classes. For executives, compensation disputes may also involve bonus and equity claims in severance negotiations.

California's $20+ Minimum Wage

California's minimum wage significantly exceeds the federal minimum. Many local jurisdictions — including Los Angeles — have enacted even higher local minimums. Employers who pay below the applicable minimum wage are liable for back wages, interest and penalties.

Waiting Time Penalties

Under California Labor Code § 203, an employer who willfully fails to pay all wages due upon separation is subject to a waiting time penalty equal to the employee's daily wage for each day of delay — up to 30 days. These penalties can be substantial in high-wage cases.

PAGA Representative Actions

California's Private Attorneys General Act allows employees to pursue civil penalties for Labor Code violations on behalf of themselves and other aggrieved employees — acting as a private attorney general. PAGA claims are a powerful enforcement tool and cannot be waived by arbitration agreements.

Wage & Hour Violations We Pursue

01

Unpaid Overtime

California requires employers to pay overtime at 1.5 times the regular rate for hours worked over 8 in a day or 40 in a week, and double time for hours over 12 in a day. Employers who require or permit off-the-clock work, manipulate time records or misclassify employees to avoid overtime obligations are liable for unpaid overtime wages plus interest and penalties.

  • Daily overtime (over 8 hours/day) violations
  • Weekly overtime (over 40 hours/week) violations
  • Double time violations (over 12 hours/day)
  • Off-the-clock work claims
  • Altered or falsified time record claims
02

Meal & Rest Break Violations

California Labor Code §§ 226.7 and 512 require employers to provide a 30-minute uninterrupted meal period for shifts over 5 hours and a 10-minute rest period for every 4 hours worked. For each missed, shortened or interrupted meal or rest break, the employer owes the employee one additional hour of pay at the regular rate — a premium that accumulates quickly for workers whose breaks are routinely denied.

  • Missed meal period premium pay claims
  • Shortened or interrupted meal break claims
  • Missed rest period premium pay claims
  • On-duty meal period agreement disputes
  • Second meal period violation claims
03

Worker Misclassification

Employers frequently misclassify employees as independent contractors to avoid paying overtime, providing meal and rest breaks, contributing to payroll taxes and providing workers' compensation insurance. California's ABC test — codified in Labor Code § 2775 — establishes a strict standard for contractor classification that most workers cannot meet, making misclassification a widespread and significant violation.

  • Independent contractor misclassification claims
  • ABC test analysis (Labor Code § 2775)
  • Unpaid overtime from misclassified workers
  • Benefits denial from misclassification
  • Expense reimbursement from misclassified workers
04

Unpaid Wages & Final Pay

California employers must pay all earned wages on regular paydays and must pay all wages due immediately upon involuntary termination and within 72 hours upon resignation with notice. Failure to pay final wages subjects the employer to waiting time penalties under Labor Code § 203 — equal to the employee's daily wage for each day of delay, up to 30 days.

  • Unpaid regular wages claims
  • Waiting time penalty claims (Lab. Code § 203)
  • Wage statement (pay stub) violation claims
  • Vacation and PTO payout claims
  • Commission and bonus non-payment claims

Recovering What Employees Are Owed

California's wage and hour laws provide powerful remedies for employees whose rights are violated. Eagan Law pursues the full scope of available recovery — back wages, penalties, interest and fees.

1

Full Scope of Penalties and Back Pay

Wage and hour claims in California can support back wages, interest, statutory penalties, PAGA civil penalties and attorneys' fees. Eagan Law calculates the complete exposure from the outset — not just the immediate back wages — to ensure nothing is left on the table.

2

PAGA Representative Actions

In appropriate cases where violations affect multiple workers, PAGA allows individual employees to pursue civil penalties on behalf of all aggrieved employees. PAGA claims are a powerful enforcement mechanism that employers cannot eliminate through arbitration agreements.

3

Misclassification Analysis

Worker misclassification is among the most common and consequential wage and hour violations in California. Eagan Law performs a rigorous ABC test analysis at the outset of each engagement to identify whether misclassification claims exist alongside other wage violations.

4

Personal Involvement at Every Stage

Todd Eagan is personally involved in every matter at the firm. Wage and hour cases — particularly those involving complex payroll practices or employer defenses — require consistent, senior-level engagement from the attorney responsible for the matter.

California Wage & Hour Law

California's wage and hour framework is among the most comprehensive in the country. The Labor Code establishes minimum wage, overtime and final pay requirements. The Industrial Welfare Commission Wage Orders — industry-specific regulations promulgated by the IWC — govern meal and rest break requirements, reporting time pay and other working condition standards. The Division of Labor Standards Enforcement (DLSE) enforces these requirements administratively, and employees may also pursue civil claims directly in superior court.

California Labor Code § 1197.1 prohibits employers from paying wages below the applicable minimum wage and authorizes civil penalties in addition to back pay. Labor Code § 510 governs daily and weekly overtime requirements. Labor Code § 226.7 creates a premium pay remedy for missed meal and rest breaks. Labor Code § 203 imposes waiting time penalties for failure to pay final wages promptly.

Statute of Limitations: Wage and hour claims have varying limitations periods in California. Claims under the Labor Code generally have a three-year limitations period. Unfair business practices claims under Business and Professions Code § 17200 (sometimes used to extend the recovery period) have a four-year limitations period. PAGA claims must be filed with the LWDA within one year of the violation and within 65 days of the LWDA's response.

California's ABC test — codified in Labor Code § 2775 following the Dynamex decision — establishes a presumption that workers are employees rather than independent contractors. To classify a worker as an independent contractor, the employer must show that (A) the worker is free from the employer's control, (B) the work is outside the employer's usual course of business and (C) the worker is engaged in an independently established trade or occupation. Failure to satisfy all three prongs means the worker is an employee entitled to the full protection of California's wage and hour laws.

Frequently Asked Questions

What is the overtime rate in California?

California requires overtime pay at 1.5 times the employee's regular rate of pay for hours worked over 8 in a single workday or over 40 in a single workweek. Double time — twice the regular rate — is required for hours worked over 12 in a single workday and for all hours worked on the seventh consecutive day of a workweek over 8 hours. These daily overtime requirements are stricter than federal law, which only requires overtime for hours over 40 in a workweek.

What happens if my employer denies me meal or rest breaks?

For each meal period that is not provided — or that is shortened, interrupted or not duty-free — your employer owes you one additional hour of pay at your regular rate. The same applies to each rest period that is not provided. These premium pay obligations accumulate for each violation and can add up significantly over time, particularly for employees whose breaks are routinely denied. Claims for missed meal and rest break premiums can be brought for up to three years of violations.

Am I an employee or an independent contractor under California law?

California applies the ABC test — codified in Labor Code § 2775 — to determine whether a worker is an employee or independent contractor. Under this test, the employer must prove all three of: (A) the worker is free from the employer's control and direction, (B) the work is outside the employer's usual course of business and (C) the worker is engaged in an independently established trade or occupation. This is a strict test — most workers who challenge their classification are found to be employees entitled to California's wage and hour protections.

What is PAGA and how does it work?

The Private Attorneys General Act allows an individual employee to pursue civil penalties for Labor Code violations on behalf of themselves and all other aggrieved employees — acting as a private attorney general. PAGA penalties are in addition to unpaid wages and are calculated per violation per pay period. Seventy-five percent of recovered civil penalties go to the California Labor and Workforce Development Agency; twenty-five percent go to the aggrieved employees. Critically, PAGA claims cannot be waived by arbitration agreements — they must be heard in court.

What if my employer owes me wages but claims I owe them money too?

An employer generally cannot withhold earned wages to offset a claimed debt — California Labor Code § 224 prohibits deductions from wages except those required by law or expressly authorized in writing by the employee. If your employer claims you owe them money, that dispute must be resolved separately — it does not eliminate or reduce their obligation to pay wages earned. Eagan Law can advise on how to address offset claims while pursuing full wage recovery.

Discuss Your Matter

California's wage and hour laws provide powerful remedies. All consultations are completely confidential.

Service Areas
Santa MonicaBeverly Hills MalibuPacific Palisades Los AngelesWest Hollywood Bel AirStudio City
(310) 304-3302 Free Consultation