Labor and business reach deal on law that addresses workplace abuses

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After secret negotiations this month, the battle brewing over California workers’ unique right to sue their bosses has been settled.

A deal has been struck between business and labor groups that puts an end to a long battle over a unique California law that allows workers who believe they have been victims of wage theft or other workplace abuses to sue employers not only for themselves but also for other workers. Some of the largest companies in the state had banded together to place a measure on the November ballot that sought to effectively repeal the law, known as the Private Attorneys General Act, or PAGA.

“There is near universal consensus that PAGA is broken and not working for workers or employers,” said Brian Maas, president of the California New Car Dealers Assn., according to a news release from businesses that sought to repeal PAGA. “We need sensible reforms to fix the broken system. We support this legislative reform and encourage lawmakers to swiftly pass the measure.

 

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