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California Proposes Rules for the Private Attorneys General Act

04 Mar

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On February 6, 2026, California proposed rules for the Private Attorneys General Act (PAGA). The California Labor and Workforce Development Agency (LWDA) issued a notice of proposed rulemaking to adopt the first comprehensive regulations for the Private Attorneys General Act. When a notice of proposed rulemaking is issued, the next step is an open public comment period; a set window during which anyone can submit written feedback that the agency must review before finalizing the rule. The public comment period closes on March 23, 2026, and a public hearing will be held only if requested at least 15 days in advance of the hearing.

California’s Private Attorneys General Act (PAGA) is a state law that allows employees to sue their employer on behalf of the state for Labor Code violations and recover civil penalties as if they were acting as state enforcement agents.

This update is applicable to all employers, and the comment period began on February 6, 2026, and ends on March 23, 2026 (45 days).

Overview

  • Purpose and Context: The proposed rules carry out the administrative changes required by the 2024 PAGA reform package. They create consistent notice requirements, explain the steps employers must follow to cure (fix) violations, and improve the information submitted to the LWDA after a claim is filed.
  • Rule Structure: The LWDA would add new sections 17400–17463 to Title 8 of the California Code of Regulations, covering definitions, filing and service, time calculations, certifications, cure (correction) communications, investigations, and settlement submissions.
  • Filing and Privacy: Most submissions must be filed through the online PAGA portal. The proposal confirms the $75 filing fee, provides waiver options, and requires redaction of specified personal identifiers.
  • Notice Content (Standardization): Notices must use an LWDA form and provide short, plain, claimant-specific facts and theories for each alleged violation. Bare legal conclusions or boilerplate are insufficient. Litigation and settlements cannot expand beyond what is stated.
  • Cure (correction) Procedures for Smaller Employers: Employers with fewer than 100 employees receive a detailed process for correcting alleged violations. The rules explain who qualifies, what a cure plan must include, how conferences work, timelines, and how appeals are handled. All correction-related communications are confidential under the California Evidence Code § 1152.

Why This Matters

  • Clearer, Higher-quality Notices: Expect fewer vague “assembly-line” notices and earlier clarity on what is actually alleged.
  • Earlier Resolution Opportunities: Small employers gain a clearer path to cure alleged violations before litigation proceeds.
  • More Rigorous Settlement Review: Approvals will likely take longer and require broader coordination when multiple employees have overlapping claims.
  • Potential Impact on Current Cases: If applied to existing matters, current strategies may need to adjust midstream.

What Employers Need to Do

  • Set up a Notice-intake Playbook: Create a centralized workflow for portal-delivered notices and a rapid process to pull claimant-specific facts (role, location, duties, pay practices).
  • Decide Now on the ‘Under 100’ Cure Track: Pre-draft a cure-statement template, evidence plan, and timelines that satisfy the proposed content and confidentiality rules.
  • Plan for Settlement Lead Time: Budget for fulfilling packages (motions, declarations, exhibits), a 45-day LWDA review, and notice to other employees with pending actions.
  • Tighten Wage-statement and Records Controls: Run a preventive audit; stage corrective actions knowing cure communications are protected under the California Evidence Code § 1152.

Source References

Resources

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This communication is intended solely for the purpose of conveying information. The present post might incorporate hyperlinks directing readers to websites managed by third-party entities. The inclusion of any links within this communication is meant to serve as points of reference and could encompass opinion articles from various law firms, articles from HR associations, official websites, news releases, and documents of government agencies, and other relevant third-party sources. Vensure has no authority over these external websites and bears no responsibility for their content. Furthermore, Vensure does not endorse the materials present on these websites. The contents of this communication should not be interpreted as legal advice or as a legal standpoint concerning specific facts or scenarios. Nor should it be deemed an exhaustive compilation of facts potentially pertinent to federal, state, or local laws. It is strongly advised that employers solicit legal guidance from an employment attorney when undertaking actions in response to any legal updates provided. This is due to the possibility of future alterations occurring in federal, state, and local laws, regulations, as well as the directives and guidelines issued by governing agencies. These changes may transpire at any given time, potentially rendering certain portions of the content within this update void or inaccurate.

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