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California Labor Code Violations: Complete 2025 Guide

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Quick Answer

What are the most common California Labor Code violations?

The most common violations are: (1) unpaid overtime, (2) denied meal/rest breaks, (3) employee misclassification, (4) unpaid wages, and (5) wage statement errors. Penalties range from $50-$25,000 per violation. PAGA claims can result in $100-$200 per employee per pay period. Free consultation: (877) 619-8966.

Overview

California Labor Code contains over 7,000 sections protecting employee rights. Violations can result in civil penalties, private lawsuits, and PAGA claims. Last Updated: October 10, 2025

Most Common Labor Code Violations in California

1. Wage and Hour Violations (Labor Code §§ 200-244)

  • Section 204: Failure to pay wages on time (semi-monthly or bi-weekly)
  • Section 226: Failure to provide accurate wage statements
  • Section 226.7: Failure to provide meal/rest breaks
  • Section 510: Failure to pay overtime (1.5x after 8 hours/day or 40 hours/week)
  • Penalties: $50-100 per violation + waiting time penalties

2. Meal and Rest Break Violations (Labor Code § 512)

  • Requirement: 30-minute meal break for shifts over 5 hours
  • Requirement: 10-minute paid rest break for every 4 hours worked
  • Penalty: 1 hour of pay for each day meal break denied
  • Penalty: 1 hour of pay for each day rest break denied
  • Example: Employee working 8-hour shifts denied breaks = $15/hour × 2 hours × 250 workdays = $7,500/year

3. Employee Misclassification (Labor Code § 2750.3)

  • Violation: Classifying employees as independent contractors
  • Test: ABC Test (AB 5) – must meet all 3 criteria for IC status:
    • A. Free from control and direction
    • B. Performs work outside usual course of business
    • C. Customarily engaged in independently established trade
  • Penalties: $5,000-25,000 per violation + back wages + benefits

4. Retaliation (Labor Code § 1102.5)

  • Protection: Cannot terminate, demote, or harass for reporting violations
  • Whistleblower: Protected for reporting to government agencies
  • Remedies: Reinstatement + back pay + front pay + emotional distress damages

PAGA (Private Attorneys General Act) – Labor Code § 2698

Employees can sue on behalf of state for Labor Code violations:

  • Employee Share: 25% of civil penalties
  • State Share: 75% of civil penalties
  • Penalties: $100 per employee per pay period (initial) + $200 per employee per pay period (subsequent)
  • Example: 100 employees × $200 × 104 pay periods (2 years) = $2,080,000 total penalties

Statute of Limitations by Violation Type

Violation Type Statute of Limitations Legal Basis
Unpaid Wages 3 years Labor Code § 338
Meal/Rest Break 3 years Labor Code § 226.7
Discrimination 3 years (CRD) + 1 year (lawsuit) Gov Code § 12960
PAGA Claims 1 year from violation Labor Code § 2699.3
Contract Breach 4 years (written contract) CCP § 337

How to File a Labor Code Violation Claim

  1. Document violations: Keep pay stubs, time records, emails
  2. Report internally: Use company reporting system (optional)
  3. File with Labor Commissioner: DLSE can investigate wage claims
  4. File CRD complaint: Required for discrimination claims
  5. Consult attorney: Especially for PAGA or class action potential

Damages Available

  • Unpaid wages: All wages owed
  • Waiting time penalties: 30 days of wages (Labor Code § 203)
  • PAGA penalties: $100-200 per employee per pay period
  • Attorney fees: Employer pays if employee wins
  • Emotional distress: For severe violations
  • Punitive damages: For malicious/fraudulent conduct

Recent 2025 Updates

  • Minimum wage: $16.50/hour (CA statewide) as of Jan 1, 2025
  • Fast food minimum: $22/hour for chains with 60+ locations
  • Healthcare minimum: $25/hour phased implementation
  • Sick leave: Increased to 5 days (40 hours) minimum

Contact a Los Angeles Employment Attorney

Free Consultation: (877) 619-8966
Email: info@toddflaw.com
Location: Los Angeles, California


Last Updated: October 2025
Source: California Labor Code, Civil Rights Department Guidelines, DLSE Enforcement Policies