The New PAGA: Stacking, Injunctive Relief, and Heightened Penalties for Bad Actors

California’s Private Attorneys General Act (PAGA) allows workers to join together to collect civil penalties when their employers violate the Labor Code. With the rise of arbitration agreements that prevent workers from bringing class actions, PAGA plays a critical role in protecting workers by allowing them to join together in representative actions seeking such penalties.

PAGA was amended in three ways in 2024 that help workers do just that. First, it is now clear that PAGA allows “stacking,” or multiple PAGA penalties arising from the same conduct, in some circumstances. Second, PAGA now allows workers to get injunctive relief from the courts barring their employers from continuing to violate the law. Finally, PAGA provides for heightened civil penalties against bad actors.

Read more: The New PAGA: Stacking, Injunctive Relief, and Heightened Penalties for Bad Actors

1. Stacking

    Prior to the 2024 amendments, it was unclear whether workers could stack PAGA penalties, meaning get more than one PAGA penalty for a single act by the employer. (For example, it was not clear whether workers were entitled to one or three penalties if an employer failed to credit a worker for all hours worked, resulting in unpaid overtime, a failure to provide a meal period, and an inaccurate wage statement.)

    Under the new PAGA, Labor Code section 2699(h)(3)(i) now explicitly prohibits stacking of PAGA penalties for violations of sections 201-203, 204, and 226. However, by expressly stating that stacking is not available in these limited circumstances, the statute now implicitly allows stacking in other circumstances.

    This is thanks to the fancy Latin phrase “expressio unius est exclusio alterius,” which provides that the express reference to one thing excludes other things. Applying that concept here, the Legislature expressly provided that stacking was not allowed in certain limited circumstances. There, it is reasonable to conclude that it is generally available in other circumstances.

    2. Injunctive Relief

    PAGA now allows workers to receive injunctive relief, which means a court order prohibiting employers from doing things that violate the Labor Code. See Labor Code section 2699(e)(1). This is important because injunctive relief is sometimes the only way to get employers to change their conduct. It means that PAGA can now be used more effectively to deter future violations of the law.

    3. Heightened Penalties for Bad Actors

    Under the new PAGA, civil penalties are increased to $200 for each aggrieved employee per pay period if the employer has been found or determined within the last 5 years by the Labor and Workforce Development Agency (LWDA) or a court to be in violation of the Labor Code provision at issue. See Labor Code section 2699(f)(2)(B). In other words, repeat bad actors will be subject to higher penalties if they continue to violate the law.

    The penalties are also increased to $200 if the court determines that the employer’s conduct giving rise to the violation was “malicious, fraudulent, or oppressive.” Ibid. This new standard, which is similar to the standard for punitive damages in other contexts, will also help workers hold bad actors accountable.

    Finally, PAGA penalties for employers that have failed to provide an itemized wage payroll statement are not limited by the amendments and are governed by Labor Code section 226.3: $250 per employee per violation in an initial citation and $1,000 per employee for each violation in a subsequent citation.

    If you have questions about your rights under the California Labor Code or your ability to bring a PAGA claim, consider contacting an experienced wage and hour attorney today.

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