Understanding PAGA

The Private Attorneys General Act

The Private Attorneys General Act (PAGA), enacted in 2004, allows individual employees to file lawsuits to recover civil penalties on behalf of the State of California for Labor Code violations. It essentially deputizes private individuals to act as attorneys general.

How PAGA Works

Step 1

Pre-Filing Notice: The employee submits an online notice to the Labor and Workforce Development Agency (LWDA) and serves the employer via certified mail.

Step 2

65-Day Waiting Period: The LWDA has 65 days to decide whether to investigate. If they don’t respond (common), the employee can proceed with filing suit.

Step 3

File the Lawsuit: The employee files a representative action in superior court on behalf of themselves and all similarly situated “aggrieved employees.”

Step 4

Settlement or Trial: Any settlement must be submitted to the LWDA and approved by the court.

Key Facts About PAGA

  • No class certification required — making PAGA cases easier to pursue than class actions
  • Penalty distribution: 35% goes to aggrieved employees, 65% to the LWDA
  • Who can file: Any current or former employee who personally experienced the alleged violations
  • Statute of limitations: 1 year for PAGA penalties, but underlying wage claims can extend to 3 years
Why restaurants are targets: High employee turnover, complex scheduling, multiple shifts, and the difficulty of managing breaks during peak service hours make restaurants disproportionately vulnerable to PAGA claims.

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