How to Sue for Back Pay in California
When it comes to employment rights, violations can occur easily. This includes being owed back pay and wages. So how can you best handle this situation under California law?
Read for all the details.
Introduction
When you work for a company, you expect to receive compensation. Sometimes, however, things don’t go as planned and an employer may violate one of California’s wage and hour laws. The result could be that you are owed back pay and wages – with interest!
Below is some information about back pay to help you determine what you are owed – and how to get the money into your hands where it belongs.
What is Back Pay and Wages?
According to California’s Labor Code:
“Wages” includes all amounts for labor performed by employees of every description, whether the amount is fixed or ascertained by the standard of time, task, piece, commission basis, or another method of calculation.
(b) “Labor” includes labor, work, or service whether rendered or performed under contract, subcontract, partnership, station plan, or other agreement if the labor to be paid for is performed personally by the person demanding payment.”
Back pay under calculates the money owed to an employee and may include things such as:
- Unpaid sick leaves
- Overtime violations
- Unpaid final wages
- Unpaid meal and rest breaks
- Unpaid reimbursements
- “Off the clock” work
- Denied promised promotions
- Minimum wage violations
- Illegal payroll deductions
- Misclassified exemptions
Back pay wages are not to be confused with unpaid wages. The latter simply occurs when an employee didn’t receive his or her full paycheck due to, say, an incorrect calculation. Back pay, on the other hand, is money determined to be owed when the employer has violated one of California’s wage and hour laws.
Determining Back Pay
The State of California‘s Division of Labor Standards Enforcement (DLSE) will often audit and investigate companies. If back pay is determined to be owed, most employees will be notified. The DLSE will usually send out a written notice listing the state or federal wage violation and that they are owed money. Though, as convenient as this sounds, it doesn’t always happen. Sometimes it is left up to you to determine any violation that may be taking place.
As a California, non-exempt employee, you are, by law, entitled to minimum wage, overtime pay, lunch breaks, and off-the-clock restrictions. To monitor your pay, make sure you are tallying your own pay and then comparing it to what your paycheck is. For instance, track the hours you work each day by writing your start and end time and when you take your meals and breaks. Keep this for your records.
When you receive your pay stub, you can compare them and should question anything that doesn’t seem right – or that doesn’t match what you have tracked. Always keep your pay stubs for your records.
What is My Claim Worth?
If you feel that you are owed back pay or you have been advised that you are, then you probably want to know what that amount is, right? Of course, calculating this amount is important for filing a claim to get your money, too.
So, how much is your claim worth? Well, it depends on the violation and the employer’s action. For example, if it can be determined that it was a genuine mistake, you may receive the unpaid wages you are owed as well as interest up to 10%.
However, if the back pay stems from violations of the labor code, then the employer may also be liable for damages and penalties as stated in the law. These amounts may include:
- The unpaid wages amount in the violation
- Interest up to 10%
- Hourly wage rate for missed meal and rest breaks (up to 1 hour’s wages)
- Reasonable attorney fees and court costs
Suing for Back Pay in California
Filing a lawsuit for back pay can help you to recover the monies owed to you. And, as we have just discussed, this can include interest, fees, and costs. It is best to speak to an attorney for guidance through the process – or determine whether it is even the best course of action.
Lawsuits for back pay will usually be heard in California’s superior court. There will be a settlement conference and a hearing. Evidence of the back pay must be presented and legal arguments will be made. After both sides are heard, an order will be filed with the ruling. Hopefully, the ruling is in your favor and the employer will be ordered to pay you back pay. If not, your attorney may want to pursue an appeal.
Keep in mind that lawsuits can be costly. And, if you aren’t found in favor again, then it could potentially cost you time and money. Having an experienced attorney on your side will help in determining the best course of action.
It should be noted that California employment laws clearly prohibit employers from retaliating against an employee for filing a wage lawsuit or for even mentioning the violation.
When Should I File a Lawsuit for Back Pay?
Right away!
It is important to know that there is a time limit when it comes to filing a lawsuit in California for back pay – though just how long you have will depend on the type of claim. The statute of limitations for most claims is 3 years from the date of the most recent violation. However, those violations that stem from a breach of contract have a statute of limitations of 2 or 4 years – two years for those with an oral agreement (no written contract) and four years for those with a written contract.
If your lawsuit is not filed within the appropriate amount of time, your claim for back pay may likely be denied.
The Need For an Attorney
You work to get paid. That’s the way it is supposed to go. When things don’t end up that way, it is important to take steps to see that you are compensated for your time. The law is behind you. But, in seeking back pay, you have several different options in California. It is in your best interest to hire an experienced attorney so you can feel confident that you will receive the pay you are entitled to.
Are you in search for a certified attorney to represent you?
Let us help you find one today!