HR Management & Compliance

Employer’s Default on Wage Claims Leads to Long Legal Battle






A new case offers a
cautionary tale for employers that don’t respond promptly to claims filed
before the state labor commissioner. On termination from her employment in the
home of Vladimir Beck and family, Josepha Gonzalez filed an unpaid wage claim
with the labor commissioner. After the Becks didn’t respond to the claim or
appear at the hearing, Gonzalez obtained a $70,238 award of wages and penalties
from the commissioner, and a default judgment was entered in court in her
favor. The Becks, claiming they never received proper notice of the wage claim,
asked the court to throw out the default judgment. The court has now ruled that
under California Labor Code provisions governing wage claims, the Becks—because
they never responded to the claim until default was entered—have no right to
relief from a court and must instead go back to the labor commissioner and seek
to have the award set aside.
1

 

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1 Gonzalez v. Beck, Calif. Court of Appeals
(Dist. 2) No. B191819, 2007

 


The HR Management & Compliance Report: How To Comply with California Wage & Hour Law, explains everything you need to know to stay in compliance with the state’s complex and ever-changing rules, laws, and regulations in this area. Coverage on bonuses, meal and rest breaks, overtime, alternative workweeks, final paychecks, and more.


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