Wage Theft in California: 7 Common Employer Violations and How to Fight Back

Every year, thousands of California workers lose hard-earned wages because their employers fail to follow wage and hour laws. This practice—commonly known as wage theft—is not limited to shady employers or small businesses. It happens across industries, from restaurants and retail shops to construction sites, hospitals, and tech companies.

For workers, wage theft means more than just missing money on a paycheck. It often creates stress, late bills, and uncertainty about how to support a family. Fortunately, California law provides some of the strongest worker protections in the nation, and with the help of an experienced attorney, employees can hold employers accountable. At California Trial Law Group, we fight for employees who have been denied the pay they rightfully earned.

What Is Wage Theft?

Wage theft occurs when an employer fails to pay workers according to the law. It is broader than simply refusing to hand over a paycheck—it includes any practice that deprives workers of the wages, benefits, or protections they are entitled to. This might mean denying overtime pay, forcing employees to work “off the clock,” or even providing incomplete pay stubs that make it difficult to track hours.

Understanding what wage theft looks like is the first step toward protecting your rights.

Seven Common Employer Violations

1. Unpaid Overtime

California requires employers to pay overtime when employees work more than eight hours in a single day, more than 40 hours in a week, or more than six consecutive days. Double time kicks in after 12 hours in a day or after the eighth hour on the seventh day.

Many employers try to avoid overtime by misclassifying employees as “exempt” or encouraging them to clock out and continue working. Both practices are illegal, and employees may be owed significant back pay.

2. Off-the-Clock Work

Even if an employee is only asked to work 15 minutes before or after a shift, those minutes must be paid. Common examples include setting up a workstation, cleaning up after a shift, attending mandatory meetings, or responding to work emails from home. Employers cannot require or “allow” this work without paying for it.

3. Unpaid Final Wages

California law requires that final wages be paid promptly. If you are fired, you must receive your final paycheck immediately. If you quit with at least 72 hours’ notice, you must be paid on your last day. Failure to do so can trigger “waiting time penalties” of up to 30 days’ wages.

4. Meal and Rest Break Violations

Most employees are entitled to a 30-minute meal break for shifts longer than five hours, and two meal breaks for shifts longer than ten hours. In addition, workers must receive a paid 10-minute rest break for every four hours worked.

If an employer fails to provide these breaks or requires employees to stay “on call” during them, the employer must pay an additional hour of pay for each violation.

5. Employee Misclassification

Employers sometimes label workers as “independent contractors” to avoid paying overtime, providing benefits, or covering payroll taxes. Under California’s ABC test, a worker is presumed to be an employee unless the company can prove otherwise. Misclassified workers may be entitled to back pay, benefits, and penalties.

6. Tip and Gratuity Theft

Tips belong to the workers who earn them. California law prohibits managers and supervisors from taking any portion of an employee’s tips. While tip pooling may be legal in some situations, it must be distributed only among eligible employees, not management. Employers also cannot use tips to offset minimum wage obligations.

7. Inaccurate or Incomplete Pay Stubs

Employers must provide detailed pay stubs showing the total hours worked, hourly rate, deductions, and employer information. Missing or incorrect information is itself a violation and can result in penalties. For employees, reviewing pay stubs regularly is critical to spotting wage theft early.

Legal Remedies for Wage Theft Victims

California workers have several options when facing wage theft:

• Labor Commissioner Claim (DLSE): Employees can file a wage claim with the Division of Labor Standards Enforcement, which investigates and may hold a hearing.
• Civil Lawsuits and Class Actions: Workers can sue individually or join with others in a class action for widespread violations.
• Private Attorney General Act (PAGA): Allows employees to step into the state’s shoes to enforce labor laws and recover penalties.

Successful claims can result in back pay, penalties, interest, attorney’s fees, and sometimes additional damages.

Steps to Take if You Suspect Wage Theft

1. Document Everything – Keep copies of pay stubs, time cards, schedules, and any communications with supervisors.
2. Track Hours Worked – Maintain your own record of start times, breaks, and end times.
3. Report Internally if Safe – Sometimes payroll errors are unintentional. However, be mindful of retaliation.
4. Seek Legal Help Early – Time limits apply. Consulting an attorney ensures you do not miss deadlines and maximizes your chances of recovery.

How California Trial Law Group Can Help

At California Trial Law Group, we understand the financial and emotional toll wage theft takes on workers and their families. Our firm investigates claims thoroughly, negotiates aggressively with employers, and when necessary, takes cases to trial.

Attorney Ike Kaludi and our legal team have represented hundreds of employees across California in wage and hour cases, from unpaid overtime to large-scale class actions. We are committed to ensuring that workers receive every dollar they are owed.

Conclusion

Wage theft is a serious problem that affects workers in every industry, but California law provides strong protections. If you suspect your employer has denied you proper pay, you do not have to fight alone. With the right legal guidance, you can recover your wages and hold your employer accountable.

Contact California Trial Law Group today for a confidential consultation and learn how we can help you fight back against wage theft.