California Wage Theft Alert – October 19, 2025
Hello, equity enforcers! Our perusal of the California Department of Industrial Relations (DIR) latest updates indicates no new citations or enforcement actions from the Labor Commissioner’s Office today.
Spotlight: Restaurant Wage Theft – Sick Leave Denials and Wage Discrepancies
Amid ongoing challenges in the food service sector, employers frequently withhold paid sick leave and furnish incomplete wage statements, forcing staff to work while ill and obscuring their earnings. This exacerbates health risks and financial instability for low-wage employees in suburban eateries. Today’s feature spotlights an Orange County enforcement action that combines citations and litigation, demonstrating DIR’s multifaceted approach to recover entitlements through the Healthy Workplace, Healthy Families Act.
February 27, 2025: Buena Park Restaurant Issued Over $1.1 Million in Penalties for Wage and Sick Leave Violations
- Employer: Food Source LLC
- Location: Buena Park (enforcement from Santa Ana)
- Workers Affected: At least 90 total; 73 compensated via citations
- Violations: Unpaid wages, overtime, and contract wages; liquidated damages; incomplete wage statements; denying paid sick leave access/documentation on stubs; failing to inform of rights; no COVID-19 supplemental sick leave
- Amounts Assessed: Over $1.1M total—$532,561 in citations for wage theft (to 73 workers); $575,803 in lawsuit for sick leave violations/penalties
- Case Overview: LCO’s action targets systemic non-compliance with California’s sick leave laws since 2014. Urges workers to contact hotlines for claims; part of broader outreach like Reaching Every Californian to combat such abuses.
Labor Commissioner Lilia García-Brower stated: “Employees should not be forced to choose between their health and earning a livelihood. My office is committed to ensuring workers are properly paid for their labor and receive all the benefits they earn and rightfully deserve.”
This case supports BOFE’s recoveries surpassing $43M since 2022, emphasizing integrated enforcement.
Restaurant Protections: Sick Leave, Wages, and Statements
- Key Rights: Accrue 1hr sick leave/30hrs worked (up to 48hrs/year, usable after 90 days); overtime at 1.5x/2x; complete stubs detailing hours, rates, deductions, sick leave balance.
- Worker Strategies: Track sick leave usage/denials with records; report violations anonymously via Paid Sick Leave Hotline (855-526-7775) or wagetheftisacrime.com. File claims at dir.ca.gov/dlse/HowToFileWageClaim.htm (retroactive 3-4 years).
- Employer Practices: Implement tracking software for accruals/statements; train on Healthy Workplace Act at dir.ca.gov/dlse/Paid_Sick_Leave.htm. Engage in self-audits with LCO resources to prevent lawsuits/citations.
Inquiries to 833-LCO-INFO (multilingual).
Back tomorrow. From DIR announcements.