AB 1870

The Labor Code Private Attorneys General Act of 2004 authorizes an aggrieved employee, as defined, to bring a civil action on behalf of that employee, and other current or former employees against whom a violation of the same provision of the Labor Code was committed, to enforce a violation of any provision of the Labor Code that provides for a civil penalty to be assessed and collected by the Labor and Workforce Development Agency, as specified, pursuant to certain notice and cure provisions, as prescribed. In a civil action under the act, existing law caps the civil penalty that may be recovered at 15%, if, prior to receiving the notice of violation, or prior to receiving a certain request for records from the aggrieved employee or the employee’s counsel, the employer has taken all reasonable steps to be in compliance with all provisions identified in the notice, as specified. Similarly, existing law caps the civil penalty at 30% if within 60 days of receiving the notice of violation, the employer has taken all reasonable steps to prospectively be in compliance with all provisions identified in the notice. The act requires an evaluation of whether the employer’s conduct was reasonable to be based on a totality of the circumstances. This bill would specify certain practices that may support a finding that the employer took all reasonable steps. Notwithstanding the above-described totality of the circumstances evaluation requirement, the bill would create a rebuttable presumption that the employer took all reasonable steps if they comply with specified compliance activities within the 24 months preceding the alleged violation period, provide documentation to the Labor and Workforce Development Agency, and certify under penalty of perjury that the violation has been cured, as specified. By expanding the scope of the existing crime of perjury, this bill would impose a state-mandated local program. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason.