Wage theft

CA New Wage Theft Law

June 20, 20253 min read

California’s New Wage Theft Law, What Every Employee Should Know

Wage theft remains one of the most widespread forms of worker exploitation in California, costing employees an estimated $2 billion annually. Despite the state's strong labor protections, thousands of workers, particularly in low-wage or hourly positions, are still being underpaid or denied fair compensation.

Many don’t even realize it’s happening. Others are too afraid to speak out, worried about retaliation, job loss, or threats to their immigration status. But that may be changing.

In an important step forward, California has passed a bold new law that strengthens enforcement against employers who engage in wage theft, and empowers employees to seek justice more effectively than ever before.

At Lucien Law Group, we’re committed to helping workers understand their rights. In this post, we’ll break down:

  • What wage theft looks like

  • What’s new under California’s updated wage theft law

  • What you can do if you think your employer owes you unpaid wages


What Is Wage Theft?

Wage theft refers to any situation where an employer fails to pay workers what they are legally owed. It can take many forms, including:

  • Paying less than the minimum wage

  • Not paying for overtime hours

  • Forcing off-the-clock work

  • Denying meal and rest breaks

  • Misclassifying employees as independent contractors

  • Taking illegal deductions from paychecks

  • Failing to issue final paychecks after separation

These violations often go unchecked, especially in industries like retail, hospitality, construction, caregiving, and agriculture.


The New Law, A Stronger Stance on Accountability

California’s new wage theft law introduces stricter penalties and broader enforcement tools to combat the crisis of unpaid labor. Here’s what’s changed:

1. Wage Theft Is Now a Criminal Offense

Employers who intentionally withhold wages can now face criminal charges, not just civil penalties. In severe cases, wage theft can be prosecuted as grand theft, making it a felony.

This marks a major shift. While past laws allowed workers to file wage claims, many employers weren’t deterred. The threat of criminal liability changes the stakes.

2. Expanded Enforcement by Local Prosecutors

City and county attorneys are now explicitly authorized to bring wage theft cases, giving workers more avenues to pursue justice beyond the California Labor Commissioner’s Office. This decentralized approach increases pressure on violators and boosts accountability.

3. Greater Protection Against Retaliation

The new law also reinforces existing anti-retaliation protections. Employers who fire or discipline workers for asserting wage rights can face additional fines and penalties, and workers may be entitled to reinstatement and back pay.


What This Means for Workers

If you’re an employee in California, you have the right to be paid fairly for every hour you work. And if your employer fails to comply, you now have stronger tools at your disposal to hold them accountable.

Here’s what to do if you suspect wage theft:

  • Keep records of your hours, pay stubs, and any communication with your employer

  • Document missed breaks or forced off-the-clock work

  • Consult with an employment attorney to review your case and explore your legal options

  • Don’t wait, California law includes strict timelines for filing wage claims


Lucien Law Group Can Help

Wage theft is not just unfair, it’s illegal. At Lucien Law Group, we fight for workers who have been underpaid, misclassified, or retaliated against for speaking up.

Our firm is experienced in handling complex wage and hour claims across California. Whether you’ve been denied overtime, shorted on tips, or pressured to work without breaks, we’re here to protect your rights and pursue the compensation you deserve.


Contact Us Today
📧 [email protected]
📞 (818) 937-4711
📍Serving employees throughout California

Let us help you take back what you’ve earned.

 

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