USA- California | Governor signs new legislation on wage theft

The California’s Governor has signed Assembly Bill 1003, concerning wage theft by employer, into law on September 28, 2021. The highlights of the new legislation are:

 

  • The legislation creates a new offence for the intentional theft of wages by an employer, punishable as either a felony or a misdemeanor.
  • The legislation creates a new type of grand theft for the intentional theft of wages in an amount greater than $950 from any one employee, or $2,350 in the aggregate from two or more employees by an employer in any consecutive 12-month period.
  • The new legislation allows wages, tips, or other compensation that are the subject of a prosecution to be recovered as restitution.
  • The grand theft is punishable either as a misdemeanor by imprisonment in a county jail for up to 1 year or as a felony by imprisonment in county jail for 16 months or 2 or 3 years, by a specified fine, or by a fine and that imprisonment.

*Tanvi Singh, Editorial Assistant has reported this brief.

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