Need to Know: PAGA Waivers Saved

In 2018, UCON was instrumental in securing PAGA waivers for construction companies. In 2024, we helped do it again. In early 2024, UCON took the lead to help advance legislation extending the PAGA waiver sunset from 2025 to 2038. Just last week, the Governor signed the bill, AB 1034, securing contractors legal protections against often predatory lawsuits for more than a decade.  

For those unfamiliar, the Private Attorney General Act (PAGA) allows attorneys to stand in the shoes of the state and file claims against employers for alleged wage and hour violations. Unfortunately, PAGA has been misused by ambulance-chasing attorneys, resulting in thousands of claims leading to hundreds of millions of dollars of losses for employers since PAGA’s inception 20 years ago.  

Dozens of contractors in our industry commonly paid out six (6) or even seven (7) figure sums for items as inconsequential as paystub violations and have faced predatory class actions from former and current employees.  

Many PAGA claims have been eliminated or mitigated since UCON secured PAGA waivers and CBA provisions prohibiting class action lawsuits. If you’d like to learn more about how to better protect your company against PAGA claims or wage and hour lawsuits, check out the recording of UCON’s seminar – Legal Armor: How to Harness Your Union Agreement against PAGA and Legal Claims, or contact UCON's Labor & Member Services Team at (925) 855-7900.