For the first time, the California Labor and Workforce Development Agency (“LWDA”) has proposed regulations concerning the administrative processes and review requirements of Labor Code Private Attorneys General Act of 2004 (“PAGA”).

Key Provisions

The proposed regulations, if finalized as written, include the following noteworthy provisions:

• High-Frequency and Vexatious Filers: § 17415(a)(2) addresses “documented instances of some attorneys filing PAGA notices that are based on templates alleging frivolous, conclusory, or boilerplate violations of the Labor Code[,]” which “interferes with the [LWDA]’s role and ability to perform its responsibilities under the law,” “deprives employers of fair and proper notice of the violations alleged against them, including for purposes of identifying the bases for the violations alleged so they may take appropriate corrective or prospective compliance measures,” and therefore is “detrimental and harmful to the interests of workers whom the law is intended to protect.” The LWDA also expressly calls out these filings as often part of “an apparent strategy of using PAGA notices as a bargaining chip in seeking quick individual settlements and attorneys’ fees recoveries.” Accordingly, the proposed regulations include “certain safeguards … to prevent such abusive practices” in the form of additional cover letter and certification requirements.
• Cure for Smaller Employers: The proposed regulations flesh out how the cure mechanisms work...

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